Pilgrims Pride Corp (PPC)

Pilgrim’s reported Q2 results below our expectations, with weakness across all three major regions. Mexico represented the largest miss; volumes were significantly stronger than anticipated but pricing was pressured by very heavy local production and…

The U.S. chicken market continued to deteriorate throughout Q2 primarily reflecting heavier supply, but also demand deterioration. The market in Mexico did not fare much better either, again due to a combination of stronger supply…

Q2 markets were characterized by continued margin deterioration. QTD broiler margins improved sequentially but currently lag the Q1 average. Both fresh pork and hog production margins contracted yr/yr and beef margins deteriorated further. Unsurprisingly, the…

China’s latest (15th) Five-Year Plan (2026-2030) approved this past March echoed the 14th FYP’s emphasis upon foodstuff security as a priority. The latest iteration calls out diversification and modernization of agricultural systems as key to…

Pilgrim’s 1Q results materially trailed our already tempered expectations with the biggest miss in the U.S.; Europe also came in lower than expected. We had expected plant conversions (at the plant level and in live)…

Our coverage is greatly impacted by most global conflicts, given its intersection with global grain and energy markets. The Iran conflict’s impact on energy prices was immediate, but reverberations are expanding each day as critical…

Q1 is not yet finished, but based upon QTD trends, we have revised our estimates lower. Our Q1 goes to $0.67 from $1.05 and our full-year estimate now equals $3.19 ($3.76). Our 2027 goes to…

PPC delivered a materially stronger -than-expected Q4 on U.S. and Europe outperformance. The former was related to much higher-than-expected production and better pricing, while the robust European showing reflected extremely strong volumes (we estimate a…

S&D dynamics should remain favorable for much of our coverage in 2026, but we continue to believe full-year conditions will be looser than last year in both the U.S. and ROW. Given disease and weather,…

Pilgrim’s posted Q3 results ahead of both our and consensus estimates. Relative to us, the beat was driven by a much improved cost performance in the U.S. operations as both Mexico and Europe put up…