In this article, we discuss the 13 biggest meat processing companies in USA. If you want to skip our discussion on the latest developments in the meat processing industry, go directly to the 5 Biggest Meat Processing Companies in USA.
The worldwide meat products market increased 7.4% on a YoY basis to reach $865 billion in 2022. Due to the rising demand for meat, businesses that specialize in its production might be able to improve their sales in the upcoming years. The meat market is estimated to reach $1,345.9 billion by 2029, growing at a 5.7% CAGR from 2022 to 2029.
The meat industry is going through major upheavals. For example, a dramatic rise in the number of consumers preferring vegetarian food has forced companies to develop plant-based meat products. Companies like Impossible Foods and Beyond Meat are revolutionizing how we consume meat. The Good Food Institute reported a 27% rise in these products’ sales in the US.
According to estimates, the U.S. meat industry would increase from $172.94 billion in 2021 to $215.76 billion in 2028, with a CAGR of 3.21% during the forecast period of 2021–2028. Some of the well-known names in the meat processing industry in the US include Sysco Corporation (NYSE:SYY), The Kraft Heinz Company (NASDAQ:KHC), and The Kroger Co. (NYSE:KR).
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Biggest Meat Processing Companies in USA
13. SpartanNash Company (NASDAQ:SPTN)
Market Cap as of December 11: 1.125 B
Number of Hedge Fund Holders: 13
SpartanNash Company (NASDAQ:SPTN) sells and distributes grocery items. It sells meat, seafood, and other items to individual and national retailers, food service distributors, e-commerce providers, and corporate-owned retail outlets.
As of December 11, 2022, SpartanNash Company (NASDAQ:SPTN) had a $1.13 billion market capitalization. The price-earnings ratio for SpartanNash Company (NASDAQ:SPTN) is 20.7.
Jim Simons’ Renaissance Technologies, with approximately 1.12 million shares worth $32.52 million, is the largest shareholder of SpartanNash Company (NASDAQ:SPTN) as of Q3.
12. The Chefs’ Warehouse, Inc. (NASDAQ:CHEF)
Market Cap as of December 11: $1.26 B
Number of Hedge Fund Holders: 17
The Chefs’ Warehouse, Inc. (NASDAQ:CHEF) and its subsidiaries distribute specialized food goods in the United States and Canada. The firm produces high-quality foreign and local specialty foods such as truffles, hormone-free chicken, custom-cut beef, and many more products. Fine dining restaurants, specialty food stores, cruise lines, hotels, and menu-driven institutions are all served by the firm. Through its e-commerce platform, The Chefs’ Warehouse, Inc. directly sells center-of-the-plate goods to customers.
Among the hedge funds tracked by Insider Monkey, Joe Milano’s Greenhouse Funds is the most notable stakeholder of The Chefs’ Warehouse, Inc. (NASDAQ:CHEF) as of Q3 2022, with 1.95 million shares worth $56.57 million. The hedge fund has boosted its stake in the firm by 18% in the third quarter.
11. Sprouts Farmers Market, Inc. (NASDAQ:SFM)
Market Cap as of December 11: $3.57 B
Number of Hedge Fund Holders: 19
Sprouts Farmers Market, Inc. (NASDAQ:SFM) owns and runs a retail grocery store network. The company sells meats and other goods to customers in the United States. Renaissance Technologies, with approximately 5.92 million shares worth $164.35 million, is the largest shareholder of Sprouts Farmers Market, Inc. (NASDAQ:SFM) as of Q3.
Sprouts Farmers Market, Inc. (NASDAQ:SFM) uses Grass Run Farms for its grass-fed beef. Revenue for Sprouts Farmers Market, Inc. (NASDAQ:SFM) is projected to reach $6.78 billion in 2023, up 6% from the previous year. In 2023, its EPS is anticipated to increase by 3.4% year over year to $2.41. In all four of the previous quarters, it outperformed EPS expectations.
ClearBridge Investments mentioned Sprouts Farmers Market, Inc. (NASDAQ:SFM) in its Q3 2022 investor letter. Here is what the firm has to say:
“We exited a number of stocks during the period, including Sprouts Farmers Market (NASDAQ:SFM). Strong investor sentiment for consumer staples helped bolster Sprouts’s stock price to a level we believe reflected the fair value of the company, and we exited the position to capture the positive returns on the stock.”
10. Pilgrim’s Pride Corporation (NASDAQ:PPC)
Market Cap as of December 11: $5.80 B
Number of Hedge Fund Holders: 22
Pilgrim’s Pride Corporation (NASDAQ:PPC) manufactures, processes, markets, and distributes fresh, frozen, and value-added chicken and pork in the United States, Mexico, the Middle East, Asia, the United Kingdom, continental Europe, and internationally.
Pilgrim’s Pride Corporation (NASDAQ:PPC) is the world’s second-largest poultry producer, accounting for 62% of 2021 sales in the United States, 26% in Europe, and 12% in Mexico. Pilgrim’s Pride Corporation (NASDAQ:PPC) operates over 30 distribution hubs, 35 feed mills, 50 hatcheries, 45 processing plants, more than 35 prepared food cook factories, four pet food plants, and about ten rendering facilities.
Cliff Asness’ AQR Capital Management is the biggest stakeholder of Pilgrim’s Pride Corporation (NASDAQ:PPC) as of September this year, increasing its stake in the company by 35% in Q3, holding 1.56 million shares worth almost $35.91 million.
9. US Foods Holding Corp. (NYSE:USFD)
Market Cap as of December 11: $7.87 B
Number of Hedge Fund Holders: 41
US Foods Holding Corp. (NYSE:USFD) markets and distributes fresh, frozen, and dry food and non-food goods to foodservice clients in the United States through its subsidiary, US Foods, Inc. Meat, fish, and other culinary items are sold by the company. The stock has gained 8% over the past 12 months. Of the 41 hedge funds having stakes in the company, Scott Ferguson’s Sachem Head Capital had the most significant position in US Foods Holding Corp. (NYSE:USFD).
8. Performance Food Group Company (NYSE:PFGC)
Market Cap as of December 11: $9.29 B
Number of Hedge Fund Holders: 33
Performance Food Group Company (NYSE:PFGC) promotes and sells food and food-related goods in the United States through its subsidiaries. It operates in three divisions: Foodservice, Vistar, and Convenience. The firm sells beef, pig, poultry, seafood, and other items. Performance Food Group Company (NYSE:PFGC) had an excellent fiscal 2021, increasing revenue by 21% and earning $0.56 in adjusted EPS, $1.42 more than 2020. In FY22, revenues increased to $50.9 billion, continuing the upward trend. In fiscal 2023, the business intends to increase adjusted EBITDA by $200 million to $1.2 billion at the midpoint of its forecast.
Here is what ClearBridge Investments said about Performance Food Group Company (NYSE:PFGC) in its Q4 2021 investor letter:
“Performance Food Group is another example of a quality franchise bought during a depressing period for the foodservice industry that has flexed its balance sheet to make acquisitions of weaker players and continues to consolidate its leading market share.”
7. Albertsons Companies, Inc. (NYSE:ACI)
Market Cap as of December 11: $11.44 B
Number of Hedge Fund Holders: 34
Albertsons Companies, Inc. (NYSE:ACI), a Cerberus Capital Management LP affiliate, operates a grocery and medicine store network. The company also processes and sells meat at its stores.
Albertsons Companies, Inc. (NYSE:ACI) will be acquired by The Kroger Co. (NYSE:KR) for $25 billion in cash. The merger deal is expected to be completed by Kroger early 2024.
The forward P/E ratio for Albertsons Companies, Inc. (NYSE:ACI) is 6.86. This contrasts with the forward P/E of 16.30 for the sector as a whole.
Stephen Feinberg’s Cerberus Capital Management is the largest stakeholder of Albertsons Companies, Inc. (NYSE:ACI), with 151.82 million shares.
6. Campbell Soup Company (NYSE:CPB)
Market Cap as of December 11: $16.67 B
Number of Hedge Fund Holders: 29
Campbell Soup Company (NYSE:CPB), also known as Campbell’s, is an American manufacturer of processed foods and snacks. Many of the company’s goods, such as soups, broths, biscuits, and crackers, include animal-derived components. Its latest soup offerings include chunky spicy chicken noodle.
Campbell Soup Company has had EPS growth of 17% annually over the last three years.
Campbell Soup Company (NYSE:CPB) stock has risen 23.69% year to date, displaying an amazing capacity to survive a roaring bear market. The strength of this corporation as a safe harbor stock resides in its goods. Jim Simons’s Renaissance Technologies featured as the leading position holder in Campbell Soup Company (NYSE:CPB), with 3.36 million shares worth approximately $158.51 million.
Like Campbell Soup Company (NYSE:CPB), Sysco Corporation (NYSE:SYY), The Kraft Heinz Company (NASDAQ:KHC), and The Kroger Co. (NYSE:KR) are the most prominent meat processing companies in USA.
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Disclosure: None. 13 Biggest Meat Processing Companies in USA is originally published on Insider Monkey.
