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Tyson's Enterprise to Fight Obesity - Analyst Blog

Posted
1/3/2013 4:59:00 PM
By: Zacks.com
Referenced Stocks:FB;TSN;WMT

Leading meat processor Tyson Foods Inc. ( TSN ) recently joined forces with healthy and low calorie food specialist Hungry Girl Lisa Lillien to provide new variants of low-calorie meals for calorie-conscious customers.

The company also launched a new page on Facebook Inc. ( FB ) on January 1, 2013 where it will introduce new recipes, provide tips and prizes to encourage participants. The website will showcase meat dishes prepared from the Tyson Grilled & Ready product line, which is 98% fat free and devoid of preservatives. The Tyson Grilled & Ready chicken and Grilled & Ready beef products that are being promoted here are conveniently packed and targeted at busy women.

It is a well-known fact that primarily three kinds of women are most concerned about calories - those with less time, less will power or higher cravings. With this endeavor, Tyson is looking to reach out to women in each of these categories.

The decision to involve social media (Facebook) is also a positive since social interactions will greatly increase awareness and the chances of drawing more women into the program. Roping in a popular figure such as Lisa Lillien further increases the chances of success.

Meat companies have been focusing on fat-free meat products after First Lady Michele Obama's fitness campaign 'Let's Move,' kicked off nearly two years back with the intention of protecting children from obesity.

The 'Let's Move' campaign has changed the way Americans eat. Mrs. Obama has addressed governors, mayors, school groups, food makers and other constituencies, urging them to promote a healthy and obesity-free lifestyle for the future of America.

Mrs. Obama's campaigns have forced retailers to reconsider things, as most recently Walmart Stores Inc. ( WMT ), the country's largest retailer, promised to cut the levels of salt, fat and sugar in its products. It also pledged to bring down the prices of fresh fruit and vegetables so that they are easily available to people striving for healthy eating habits.

Currently, we have a Neutral recommendation on the stock. Tyson holds a Zacks #2 Rank (Buy).



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