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DAR vs SFD

DAR
Darling Ingredients Inc.
NEUTRAL
Price
$60.18
Market Cap
$9.55B
Sector
Consumer Defensive
AI Confidence
85%
SFD
Smithfield Foods, Inc.
BULLISH
Price
$29.00
Market Cap
$11.41B
Sector
Consumer Defensive
AI Confidence
85%

Valuation

P/E Ratio
DAR
154.31
SFD
11.55
Forward P/E
DAR
14.03
SFD
11.08
P/B Ratio
DAR
2.01
SFD
1.68
P/S Ratio
DAR
1.56
SFD
0.73
EV/EBITDA
DAR
14.96
SFD
7.54

Profitability

Gross Margin
DAR
24.01%
SFD
13.44%
Operating Margin
DAR
8.05%
SFD
9.63%
Profit Margin
DAR
1.02%
SFD
6.35%
ROE
DAR
1.52%
SFD
15.21%
ROA
DAR
2.5%
SFD
7.17%

Growth

Revenue Growth
DAR
20.6%
SFD
7.0%
Earnings Growth
DAR
-44.6%
SFD
54.5%

Financial Health

Debt/Equity
DAR
0.87
SFD
0.34
Current Ratio
DAR
1.5
SFD
2.97
Quick Ratio
DAR
0.71
SFD
1.5

Dividends

Dividend Yield
DAR
--
SFD
4.31%
Payout Ratio
DAR
0.0%
SFD
39.84%

AI Verdict

DAR NEUTRAL

DAR presents a stark contrast between fundamental value and market momentum, anchored by a stable Piotroski F-Score of 6/9. While the stock has seen a massive 1Y price surge of 97.6%, it trades at a severe premium to its Graham Number ($16.21) and Intrinsic Value ($2.73). The current P/E of 154.31 is unsustainable, though a Forward P/E of 14.03 suggests the market is pricing in a significant earnings recovery. Despite a 'Strong Buy' analyst consensus, bearish insider activity and razor-thin profit margins (1.02%) warrant extreme caution.

Strengths
Strong YoY revenue growth of 20.60%
Stable financial health indicated by Piotroski F-Score (6/9)
Attractive Forward P/E (14.03) suggesting expected earnings recovery
Risks
Extreme current P/E ratio (154.31) indicating severe overvaluation
Very thin net profit margins (1.02%) leaving little room for error
Bearish insider sentiment with CEO and Officers selling shares
SFD BULLISH

SFD presents a compelling value opportunity, trading below its Graham Number ($31.26) and significantly below its growth-based intrinsic value ($74.04). While the Piotroski F-Score of 4/9 indicates only stable financial health, this is offset by an exceptionally strong balance sheet featuring low debt (D/E 0.34) and high liquidity (Current Ratio 2.97). Explosive earnings growth of 54.5% YoY suggests significant operational efficiency gains. Despite a bearish technical trend, the fundamental disconnect between price and value creates a high-margin-of-safety entry point.

Strengths
Deep value valuation with P/E (11.55) well below sector average (34.76)
Exceptional earnings growth (54.5% YoY) and consistent EPS beats
Strong liquidity profile with a Current Ratio of 2.97
Risks
Extremely bearish technical trend (10/100) suggesting strong selling pressure
Low insider sentiment (40/100) and lack of recent insider buying
Thin profit margins (6.35%) typical of the packaged foods industry

Compare Another Pair

DAR vs SFD: Head-to-Head Comparison

This page compares Darling Ingredients Inc. (DAR) and Smithfield Foods, Inc. (SFD) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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