Smithfield FoodsSFD -1.09%30 ROE % is 14.40% as of Mar. 2026, which is 30% above its 10-year median of 11.11. GuruFocus rates SFD with a GF Score™ of 30/100. The stock has 2 warning signs investors should review. Among 1,916 Consumer Packaged Goods companies, Smithfield Foods ranks better than 78.13% on this metric.
The historical rank and industry rank for Smithfield Foods's ROE % or its related term are showing as below:
SFD'
s ROE % Range Over the Past 10 Years
Min: 0.23 Med: 11.11 Max: 16.54
Current: 15.45
During the past 13 years, Smithfield Foods's highest ROE % was 16.54%. The lowest was 0.23%. And the median was 11.11%.
SFD's ROE % is ranked better than 78.13% of 1916
companies
in the Consumer Packaged Goods industry
Industry Median: 6.735
vs SFD: 15.45
Smithfield Foods (NAS:SFD) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Smithfield Foods ROE % Related Terms
Smithfield Foods ROE % Historical Data
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The historical data trend for Smithfield Foods's ROE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Packaged Foods subindustry, Smithfield Foods's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Smithfield Foods ROE % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Smithfield Foods's ROE % distribution charts can be found below:
* The bar in red indicates where Smithfield Foods's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Smithfield Foods (SFD) has a ROE % of 14.40% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Smithfield Foods and its competitors. This is 30% above median its historical median of 11.11. Over the past decade, Smithfield Foods' ROE % has ranged from 0.23 to 16.54. According to the industry distribution chart, Smithfield Foods ranks #419 out of 1916 companies in the Consumer Packaged Goods industry, placing it in the top 21.9%.
Is Smithfield Foods' ROE % too high?
Smithfield Foods' current ROE % of 14.40% is 30% above median its 10-year median of 11.11. Over the past 10 years, this metric has ranged from a low of 0.23 to a high of 16.54. The Consumer Packaged Goods industry median ROE % is 6.74. Smithfield Foods' value of 14.40% is 113.8% above this industry median. Based on the distribution chart, Smithfield Foods ranks #419 out of 1916 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, Smithfield Foods has a GF Score™ of 30/100, reflecting its overall financial health beyond just this single metric.
How does Smithfield Foods' ROE % compare to DAR and SJM?
According to the Consumer Packaged Goods industry distribution chart, Smithfield Foods ranks #419 out of 1916 companies for ROE %. This places Smithfield Foods in the top 22% of its industry — outperforming the majority of peers. The industry median ROE % is 6.74. Smithfield Foods' value of 14.40% is 113.8% above this benchmark. Historically, Smithfield Foods' own ROE % has ranged from 0.23 to 16.54 over the past decade. While the company's 10-year median is 11.11 vs. the industry median of 6.74, Smithfield Foods has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Consumer Packaged Goods company?
The median ROE % among Consumer Packaged Goods companies is 6.74, based on 1,916 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Smithfield Foods's current ROE % of 14.40% is 113.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Smithfield Foods and its competitors. For the Consumer Packaged Goods industry, the median ROE % is 6.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Smithfield Foods's current ROE % is 14.40%, which is 30% above median its own 10-year median of 11.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Smithfield Foods stock overvalued right now?
Smithfield Foods (SFD) has a current ROE % of 14.40%. The current ROE % is 14.40%, which is 30% above median its 10-year median of 11.11 and 113.8% above the Consumer Packaged Goods industry median of 6.74. Smithfield Foods' overall GF Score™ is 30/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Smithfield Foods (SFD), the current ROE % is 14.40% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Smithfield Foods Inc is a hog producer and pork processor based in the United States of America. The company conducts its operations through three reportable segments: Packaged Meats, Fresh Pork, and Hog Production. The company generates the maximum of its revenue from the Packaged Meats segment. The Packaged Meats segment consists of the company's U.S. operations that process fresh meat into a wide variety of packaged meats products, including bacon, sausage, hot dogs, deli and lunch meats, dry sausage products (such as pepperoni and genoa), ham products, ready-to-eat products and prepared foods (such as pre-cooked entrees, bacon and sausage).
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