LIVESTOCK HIGHLIGHTS : Top Stories of the Day

TOP STORIES

Nathan's Records Lower Pricing on Beef-Market Effects -- Commodity Comment

Nathan's Famous Inc. said Friday that prices in its branded-products program declined year-over-year in the latest quarter, partially due to effects from beef pricing.

"Our average selling price, which is partially correlated to the beef markets, decreased by approximately 4.5% compared to the prior year period," the company said of its branded-products program.

Saputo's Outlook Improving But Short-Term Challenges Remain -- Market Talk

0757 ET - National Bank of Canada says it was disappointed in Saputo's quarterly results but thinks the Canadian dairy-products maker's outlook is improving. The investment bank says Saputo faces four broad near-term hurdles: unfavorable U.S. market factors, pervasive cost inflation, supply chain tightness, and low labor availability. National Bank of Canada "is optimistic" Saputo can execute on these challenges, but wants to see concrete steps. "Longer term, the challenge is whether SAP can deliver rising returns on capital and acquire prudently," National Bank of Canada says.([e-mail])

HelloFresh's 2021 Adjusted Earnings Guidance is Below Expectations -- Market Talk

0735 GMT - HelloFresh posted preliminary revenue and adjusted Ebitda ahead of consensus for the second quarter and raised revenue growth guidance for the year, but the German meal-kit maker lowered its adjusted Ebitda margin target, bringing it below consensus, Bryan Garnier says. "The reasons behind the new Ebidta margin cut are more related to capacity expansion and tech investments," Bryan Garnier says, noting that HelloFresh needs to open more capacity than initially expected to address higher demand. The company targets an adjusted Ebitda margin between 8.25% and 10.25%, which implies a miss of about 13% on consensus at the mid-range, Bryan Garnier says. HelloFresh shares trade 6.4% lower at EUR73.00. ([e-mail]; @MauroOrru94)

STORIES OF INTEREST

Post: 8th Avenue Business Prospects Are Unchanged but Delayed -- Market Talk

14:17 ET - Post says that the business prospects of 8th Avenue Food & Provisions remain "unchanged but delayed." Chief Executive Robert Vitale says the company had expected to complete the expansion of a factory in Troy, Ala., and move in some equipment from the Conagra deal. "For a number of issues that expansion went very poorly, part of it delayed simply in getting equipment, part of it delays driven by labor and part of it just some poor planning on our part," he says on an earnings call, adding that it would take three to six months to get to full capacity. ([e-mail]; @mjarmental)

Push for US-China Trade Negotiation Restart Boosts Grains -- Market Talk

1134 ET - 11:33 ET - Calls for the Biden Administration to restart trade negotiations with China and potentially drop tariffs placed on China during the Trump Administration are providing CBOT grain futures with a boost Friday. In a letter addressed to Treasury Secretary Janet Yellen and US Trade Representative Katherine Tai yesterday, nearly three dozen major US business groups--including some representing US agriculture--called for the US to renew negotiations, stating that China has fulfilled "important benchmarks and commitments" laid out in the Phase One trade agreement. CBOT grain futures are higher Friday, with corn up 0.8%, soybeans rising 0.5%, and wheat climbing 1%. ([e-mail]; @kirkmaltais)

FUTURES MARKETS

Livestock Curbs Morning Fall -- Market Talk

1516 ET - After sliding to begin the trading day, livestock futures changed course, turning higher to close the session. Most-active lean hog futures finished up 0.6% to 87.6 cents per pound, while live cattle futures closed up 0.2% to $1.27875 per pound. For hogs, today's finish marks a turnaround from yesterday's limit-down close--although hog futures finished trading for the week slightly lower, down 0.7%. Pork cutouts, which have been driving hog futures recently, turned higher Friday, led by pork butt--which rose $10.33 per hundredweight midday.([e-mail]; @kirkmaltais)

(END) Dow Jones Newswires

08-06-21 1743ET