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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 8/10

vs
industry
vs
history
Cash to Debt 1.47
SAFM's Cash to Debt is ranked higher than
71% of the 1426 Companies
in the Global Packaged Foods industry.

( Industry Median: 0.75 vs. SAFM: 1.47 )
SAFM' s 10-Year Cash to Debt Range
Min: 0   Max: 5.41
Current: 1.47

0
5.41
Equity to Asset 0.77
SAFM's Equity to Asset is ranked higher than
89% of the 1415 Companies
in the Global Packaged Foods industry.

( Industry Median: 0.53 vs. SAFM: 0.77 )
SAFM' s 10-Year Equity to Asset Range
Min: 0.4   Max: 0.79
Current: 0.77

0.4
0.79
Interest Coverage 33.52
SAFM's Interest Coverage is ranked higher than
72% of the 907 Companies
in the Global Packaged Foods industry.

( Industry Median: 16.52 vs. SAFM: 33.52 )
SAFM' s 10-Year Interest Coverage Range
Min: 0.27   Max: 262.09
Current: 33.52

0.27
262.09
F-Score: 8
Z-Score: 10.18
M-Score: -2.90
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 8/10

vs
industry
vs
history
Operating margin (%) 7.67
SAFM's Operating margin (%) is ranked higher than
78% of the 1415 Companies
in the Global Packaged Foods industry.

( Industry Median: 5.72 vs. SAFM: 7.67 )
SAFM' s 10-Year Operating margin (%) Range
Min: -9.52   Max: 13.71
Current: 7.67

-9.52
13.71
Net-margin (%) 4.87
SAFM's Net-margin (%) is ranked higher than
76% of the 1416 Companies
in the Global Packaged Foods industry.

( Industry Median: 3.99 vs. SAFM: 4.87 )
SAFM' s 10-Year Net-margin (%) Range
Min: -6.42   Max: 8.35
Current: 4.87

-6.42
8.35
ROE (%) 19.45
SAFM's ROE (%) is ranked higher than
93% of the 1399 Companies
in the Global Packaged Foods industry.

( Industry Median: 7.24 vs. SAFM: 19.45 )
SAFM' s 10-Year ROE (%) Range
Min: -25.07   Max: 32.73
Current: 19.45

-25.07
32.73
ROA (%) 14.13
SAFM's ROA (%) is ranked higher than
96% of the 1412 Companies
in the Global Packaged Foods industry.

( Industry Median: 3.79 vs. SAFM: 14.13 )
SAFM' s 10-Year ROA (%) Range
Min: -13.4   Max: 24.38
Current: 14.13

-13.4
24.38
ROC (Joel Greenblatt) (%) 30.12
SAFM's ROC (Joel Greenblatt) (%) is ranked higher than
88% of the 1410 Companies
in the Global Packaged Foods industry.

( Industry Median: 15.01 vs. SAFM: 30.12 )
SAFM' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -22.7   Max: 63.68
Current: 30.12

-22.7
63.68
Revenue Growth (%) 10.50
SAFM's Revenue Growth (%) is ranked higher than
82% of the 1093 Companies
in the Global Packaged Foods industry.

( Industry Median: 5.70 vs. SAFM: 10.50 )
SAFM' s 10-Year Revenue Growth (%) Range
Min: 1.7   Max: 19
Current: 10.5

1.7
19
EBITDA Growth (%) 0.70
SAFM's EBITDA Growth (%) is ranked higher than
71% of the 974 Companies
in the Global Packaged Foods industry.

( Industry Median: 2.90 vs. SAFM: 0.70 )
SAFM' s 10-Year EBITDA Growth (%) Range
Min: -55.1   Max: 155.6
Current: 0.7

-55.1
155.6
EPS Growth (%) -2.10
SAFM's EPS Growth (%) is ranked higher than
68% of the 890 Companies
in the Global Packaged Foods industry.

( Industry Median: 3.80 vs. SAFM: -2.10 )
SAFM' s 10-Year EPS Growth (%) Range
Min: -15.8   Max: 49.8
Current: -2.1

-15.8
49.8
» SAFM's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

SAFM Guru Trades in Q1 2013

Paul Tudor Jones 4,700 sh (New)
Joel Greenblatt 64,415 sh (+28.01%)
Manning & Napier Advisors, Inc Sold Out
Steven Cohen Sold Out
Chuck Royce 2,565,597 sh (-0.01%)
Arnold Schneider 17,255 sh (-0.46%)
Jim Simons 143,800 sh (-31.1%)
» More
Q2 2013

SAFM Guru Trades in Q2 2013

Steven Cohen 65,400 sh (New)
Paul Tudor Jones 21,000 sh (+346.81%)
Arnold Schneider Sold Out
Chuck Royce 2,173,597 sh (-15.28%)
Joel Greenblatt 33,330 sh (-48.26%)
Jim Simons 25,500 sh (-82.27%)
» More
Q3 2013

SAFM Guru Trades in Q3 2013

Jim Simons 66,317 sh (+160.07%)
Joel Greenblatt 79,225 sh (+137.7%)
Paul Tudor Jones 18,800 sh (-10.48%)
Chuck Royce 1,866,014 sh (-14.15%)
Steven Cohen 12,864 sh (-80.33%)
» More
Q4 2013

SAFM Guru Trades in Q4 2013

Jim Simons 324,917 sh (+389.95%)
Joel Greenblatt 131,419 sh (+65.88%)
Chuck Royce 1,876,314 sh (+0.55%)
Steven Cohen Sold Out
Paul Tudor Jones 11,000 sh (-41.49%)
» More
» Details

Insider Trades

Latest Guru Trades with SAFM

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Joel Greenblatt 2013-12-31 Add 65.88%0.09%$60.62 - $72.44 $ 81.8723%131419
Joel Greenblatt 2013-09-30 Add 137.7%0.1%$64.02 - $75.07 $ 81.8718%79225
Joel Greenblatt 2013-06-30 Reduce -48.26%0.09%$54.44 - $71.18 $ 81.8730%33330
Joel Greenblatt 2013-03-31 Add 28.01%0.04%$47.55 - $56.09 $ 81.8759%64415
Joel Greenblatt 2012-12-31 Add 220.95%0.1%$43.25 - $50.57 $ 81.8774%50319
Joel Greenblatt 2012-09-30 New Buy0.05%$36.51 - $45.89 $ 81.8798%15678
Lee Ainslie 2012-06-30 Sold Out 0.25%$45.23 - $54.88 $ 81.8757%0
Lee Ainslie 2011-09-30 New Buy0.2%$38.69 - $47.3 $ 81.8790%298603
George Soros 2011-06-30 Sold Out $40.73 - $48.64 $ 81.8780%0
Joel Greenblatt 2011-03-31 Sold Out $38.59 - $48.47 $ 81.8792%0
George Soros 2011-03-31 Add 55.17%$38.59 - $48.47 $ 81.8792%9000
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

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Ratios

vs
industry
vs
history
P/E(ttm) 11.20
SAFM's P/E(ttm) is ranked higher than
88% of the 1168 Companies
in the Global Packaged Foods industry.

( Industry Median: 19.40 vs. SAFM: 11.20 )
SAFM' s 10-Year P/E(ttm) Range
Min: 6.2   Max: 111.86
Current: 11.2

6.2
111.86
P/B 2.50
SAFM's P/B is ranked lower than
52% of the 1342 Companies
in the Global Packaged Foods industry.

( Industry Median: 1.66 vs. SAFM: 2.50 )
SAFM' s 10-Year P/B Range
Min: 1.26   Max: 4.26
Current: 2.5

1.26
4.26
P/S 0.69
SAFM's P/S is ranked higher than
68% of the 1446 Companies
in the Global Packaged Foods industry.

( Industry Median: 0.90 vs. SAFM: 0.69 )
SAFM' s 10-Year P/S Range
Min: 0.26   Max: 1.08
Current: 0.69

0.26
1.08
PFCF 10.40
SAFM's PFCF is ranked higher than
83% of the 824 Companies
in the Global Packaged Foods industry.

( Industry Median: 19.20 vs. SAFM: 10.40 )
SAFM' s 10-Year PFCF Range
Min: 5.74   Max: 79.61
Current: 10.4

5.74
79.61
EV-to-EBIT 7.20
SAFM's EV-to-EBIT is ranked higher than
92% of the 1237 Companies
in the Global Packaged Foods industry.

( Industry Median: 15.33 vs. SAFM: 7.20 )
SAFM' s 10-Year EV-to-EBIT Range
Min: 3.4   Max: 55.6
Current: 7.2

3.4
55.6
PEG 1.60
SAFM's PEG is ranked higher than
75% of the 686 Companies
in the Global Packaged Foods industry.

( Industry Median: 2.28 vs. SAFM: 1.60 )
SAFM' s 10-Year PEG Range
Min: 0.15   Max: 6
Current: 1.6

0.15
6
Shiller P/E 42.30
SAFM's Shiller P/E is ranked lower than
57% of the 681 Companies
in the Global Packaged Foods industry.

( Industry Median: 20.60 vs. SAFM: 42.30 )
SAFM' s 10-Year Shiller P/E Range
Min: 9.24   Max: 53.04
Current: 42.3

9.24
53.04

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 0.90
SAFM's Dividend Yield is ranked lower than
76% of the 1038 Companies
in the Global Packaged Foods industry.

( Industry Median: 2.00 vs. SAFM: 0.90 )
SAFM' s 10-Year Dividend Yield Range
Min: 0.57   Max: 2.54
Current: 0.9

0.57
2.54
Dividend Payout 0.10
SAFM's Dividend Payout is ranked higher than
94% of the 858 Companies
in the Global Packaged Foods industry.

( Industry Median: 0.37 vs. SAFM: 0.10 )
SAFM' s 10-Year Dividend Payout Range
Min: 0.05   Max: 3.67
Current: 0.1

0.05
3.67
Dividend growth (3y) 4.60
SAFM's Dividend growth (3y) is ranked higher than
76% of the 564 Companies
in the Global Packaged Foods industry.

( Industry Median: 4.90 vs. SAFM: 4.60 )
SAFM' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 36.7
Current: 4.6

0
36.7
Yield on cost (5-Year) 1.18
SAFM's Yield on cost (5-Year) is ranked lower than
67% of the 1070 Companies
in the Global Packaged Foods industry.

( Industry Median: 2.17 vs. SAFM: 1.18 )
SAFM' s 10-Year Yield on cost (5-Year) Range
Min: 0.74   Max: 3.32
Current: 1.18

0.74
3.32
Share Buyback Rate -1.10
SAFM's Share Buyback Rate is ranked higher than
73% of the 794 Companies
in the Global Packaged Foods industry.

( Industry Median: -0.80 vs. SAFM: -1.10 )
SAFM' s 10-Year Share Buyback Rate Range
Min: 1.9   Max: -3.1
Current: -1.1

Valuation & Return

vs
industry
vs
history
Price/Net Current Asset Value 71.80
SAFM's Price/Net Current Asset Value is ranked lower than
76% of the 339 Companies
in the Global Packaged Foods industry.

( Industry Median: 10.60 vs. SAFM: 71.80 )
SAFM' s 10-Year Price/Net Current Asset Value Range
Min: 11.81   Max: 1638
Current: 71.8

11.81
1638
Price/Tangible Book 2.70
SAFM's Price/Tangible Book is ranked lower than
53% of the 1215 Companies
in the Global Packaged Foods industry.

( Industry Median: 1.90 vs. SAFM: 2.70 )
SAFM' s 10-Year Price/Tangible Book Range
Min: 0.76   Max: 3.36
Current: 2.7

0.76
3.36
Price/DCF (Projected) 2.30
SAFM's Price/DCF (Projected) is ranked lower than
52% of the 644 Companies
in the Global Packaged Foods industry.

( Industry Median: 1.50 vs. SAFM: 2.30 )
SAFM' s 10-Year Price/DCF (Projected) Range
Min: 0.57   Max: 66.11
Current: 2.3

0.57
66.11
Price/Median PS Value 1.30
SAFM's Price/Median PS Value is ranked lower than
54% of the 1305 Companies
in the Global Packaged Foods industry.

( Industry Median: 1.10 vs. SAFM: 1.30 )
SAFM' s 10-Year Price/Median PS Value Range
Min: 0.28   Max: 1.69
Current: 1.3

0.28
1.69
Price/Graham Number 1.20
SAFM's Price/Graham Number is ranked higher than
65% of the 1027 Companies
in the Global Packaged Foods industry.

( Industry Median: 1.30 vs. SAFM: 1.20 )
SAFM' s 10-Year Price/Graham Number Range
Min: 0.62   Max: 4.08
Current: 1.2

0.62
4.08
Earnings Yield (Greenblatt) 13.90
SAFM's Earnings Yield (Greenblatt) is ranked higher than
92% of the 1310 Companies
in the Global Packaged Foods industry.

( Industry Median: 6.40 vs. SAFM: 13.90 )
SAFM' s 10-Year Earnings Yield (Greenblatt) Range
Min: 1.8   Max: 29.3
Current: 13.9

1.8
29.3
Forward Rate of Return (Yacktman) -0.34
SAFM's Forward Rate of Return (Yacktman) is ranked higher than
63% of the 884 Companies
in the Global Packaged Foods industry.

( Industry Median: 7.11 vs. SAFM: -0.34 )
SAFM' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -21.9   Max: 52.4
Current: -0.34

-21.9
52.4

Business Description

Industry: Consumer Packaged Goods » Packaged Foods
Compare:NSRGY, UL, UN, DANOY, GIS » details
Traded in other countries:SF9.Germany
Sanderson Farms, Inc. was incorporated in Mississippi in 1955, and is a fully-integrated poultry processing company engaged in the production, processing, marketing and distribution of fresh and frozen chicken products. In addition, the Company is engaged in the processing, marketing and distribution of prepared chicken through its wholly-owned subsidiary, Sanderson Farms, Inc. (Foods Division). The Company sells ice pack, chill pack, bulk pack and frozen chicken, in whole, cut-up and boneless form, mainly under the Sanderson Farms brand name to retailers, distributors, and casual dining operators principally in the southeastern, southwestern, northeastern and western United States, and to customers who resell frozen chicken into export markets. The Company conducts its chicken operations through Sanderson Farms, Inc. (Production Division) and Sanderson Farms, Inc. (Processing Division), both of which are wholly-owned subsidiaries of Sanderson Farms, Inc. The production subsidiary, Sanderson Farms, Inc. (Production Division), which has facilities in Laurel, Collins, Hazlehurst and McComb, Mississippi; Bryan, Waco, and Robertson County, Texas; Adel, Georgia and Kinston, North Carolina, is engaged in the production of chickens to the broiler stage. Sanderson Farms, Inc. (Processing Division), which has facilities in Laurel, Collins, Hazlehurst and McComb, Mississippi; Hammond, Louisiana; Bryan and Waco, Texas; Moultrie, Georgia and Kinston, North Carolina, is engaged in the processing, sale and distribution of chickens. The Company's chicken operations presently encompass 8 hatcheries, 7 feed mills and 9 processing plants, which includes the facilities at its new Kinston, North Carolina complex. The Company's prepared chicken product line includes approximately 75 institutional and consumer packaged partially cooked or marinated chicken items that it sells nationally and regionally, primarily to distributors and food service establishments. Its prepared chicken items are sold nationally and regionally, mainly to distributors and national food service accounts. Sales of such products are handled by sales personnel of the Company and by independent food brokers. Prepared chicken items are distributed from the Company's plant in Jackson, Mississippi, through arrangements with contract carriers. The Company's chicken processing plants are subject to continuous on-site inspection by the USDA. The Sanderson Farms, Inc. (Foods Division) prepared chicken plant operates under the USDA's Total Quality Control Program, which is a strict self-inspection plan written in cooperation with and monitored by the USDA.

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