Cal-Maine Foods, Inc. (CALM)

Over the past six months, Cal-Maine Foods' stock price has decreased. Recent financial results for the third quarter of fiscal 2026 showed significant declines in revenue and net income, attributed to the normalization of egg prices. Cal-Maine Foods announced an agreement to acquire assets from Tyson Foods, Inc. and completed the acquisition of the assets of Creighton Brothers LLC. The company has also been cooperating with a Justice Department probe into egg price increases.

Demand for Cal-Maine Foods' products exhibits seasonality, with a boost leading up to Thanksgiving. The egg market is characterized by cyclicality, with average egg selling prices fluctuating significantly. Cal-Maine Foods is actively working to mitigate this cyclicality by expanding into specialty eggs and prepared foods.

Cal-Maine Foods is the largest producer and distributor of fresh shell eggs in the United States, operating within the food/beverage sector. The company offers conventional and specialty eggs, and is expanding into value-added egg products. Its products are sold under various brand names.

Cal-Maine Foods' operations are primarily concentrated across the United States, selling the majority of its shell eggs in the southwestern, southeastern, mid-western, and mid-Atlantic regions. The company maintains an extensive network of facilities, including breeding facilities, feed mills, hatcheries, processing and packaging facilities, pullet facilities, shell egg production facilities, egg products processing facilities and prepared food facilities.

In November 2023, Cal-Maine Foods was found liable in a lawsuit alleging collusion to reduce the supply of eggs and increase prices. There is an ongoing Department of Justice (DOJ) antitrust probe investigating allegations of profiteering and collusion related to egg price increases during avian flu shortages.

Cal-Maine Foods has a mixed ownership structure comprising institutional, retail, and individual investors. Institutional investors hold a significant portion of the company's stock. The Adams family retains a controlling interest in the company through a dual-class voting structure.