Smithfield posts strong Q4 on packaged meats growth
Company lifts dividend, sees modest gains in 2026
25 March 2026
1 minute read
By: Smithfield Foods reported a 7% rise in fiscal fourth-quarter net sales, beating analyst expectations, while adjusted earnings per share came in at $0.83, reported Reuters.
The US packaged meats and pork producer also announced it will increase its dividend to $1.25 per share for 2026.
Looking ahead, Smithfield expects fiscal 2026 sales to rise in the low single digits compared to 2025. The company forecast adjusted operating profit between $1.325 billion and $1.475 billion and capital expenditures of $350 million to $450 million.
Performance in the quarter was supported by strength across key segments. The packaged meats division benefited from an improved product mix, expanded retail distribution and higher foodservice volumes, despite increased input costs and cautious consumer spending.
In fresh pork, the company said it largely offset market spread compression and export disruptions by adapting to market conditions and expanding sales into adjacent channels.
Hog production also improved, with the company citing a rightsizing strategy and productivity gains on retained farms as drivers of a significant year-over-year increase in operating profit.
Analyst sentiment on the stock remains positive. The average rating is “buy,” with six “strong buy” or “buy” recommendations, one “hold,” and no “sell” ratings. The broader food processing sector also holds an average “buy” recommendation.
Wall Street’s median 12-month price target for Smithfield Foods is $29.00, about 23.5 per cent above its March 23 closing price of $23.48. The stock recently traded at 10 times forward earnings, up from a price-to-earnings ratio of 9 three months earlier.
