Tyson Foods shares plunged 5.11% during Monday's intraday trading session, as investors reacted to the company's disappointing fiscal third-quarter results and a lowered full-year profit outlook.

The meat processing giant reported quarterly sales of $13.87 billion, missing analysts' estimates of $14.07 billion, while adjusted earnings per share of $0.99 were in line with expectations. More significantly, Tyson slashed its fiscal 2026 adjusted operating income forecast to a range of $2.1 billion to $2.3 billion, down from its previous guidance of $2.2 billion to $2.4 billion. The company cited persistently tight U.S. cattle supplies as a major headwind, which have driven livestock costs sharply higher and widened losses in its beef business. Tyson now expects an adjusted operating loss of $500 million to $650 million in its beef segment, compared to a prior loss forecast of $350 million to $500 million.

Beef sales volumes tumbled 15.9% during the quarter as soaring prices curbed consumer demand. The U.S. cattle herd has shrunk to its smallest size in 75 years due to prolonged drought conditions, squeezing meatpacker margins. While the chicken segment showed some resilience with a 1% volume increase, it was not enough to offset the weakness in beef, prompting the downward revision to Tyson's annual outlook.