High cattle prices and rising input costs coupled with volatility have forward-thinking cattle feeders and backgrounders doing some calculations to determine what they can pay for feeder calves, and/or what they should forward contract them for. To assist with this task UW-Madison Division of Extension has assembled a set of projections using price and cost estimates as of early October 2026.
These projections are intended to serve as an initial guide. They are based on regional averages; therefore, producers are strongly encouraged to use their own numbers rather than these estimates to evaluate their specific situation.
Download Fall 2026 Cattle Feeder Enterprise Projections examples
Projected sale prices were estimated by looking at futures contract prices and considering seasonal and cyclical trends in addition to current placements and animal breed influence on prices. Note that commodity prices change daily due to market volatility and could affect producer projections.
The projections suggest there is an opportunity for profit for some of the enterprises if cash prices follow what the futures market is predicting. However, market and input cost volatility can result in rapid changes in margins
We encourage producers to use the UW-Madison Extension Feedlot Enterprise Budget Tool (xls) to evaluate their own scenario. It includes sections for determining ration, yardage and labor and management costs that the projections file does not. Using the enterprise budget tool or similar tools with your own numbers is more valuable to help you with your decisions. The projections are intended to be an initial guide.
Source : wisc.edu