Roasted peanuts are a popular food with significant contents of high quality protein and favorable lipid profiles. Almost 2 million tons are produced each year in the USA valued at over a billion dollars at the farm level. Many peanut cultivars are now have fatty acid profiles comparable to olive oil with up to 80% monounsaturated content and more favorable lipid nutrition. Peanuts also contain significant levels of niacin, folates and Vitamin E. Current research in human nutrition has shown peanuts and peanut containing foods have health effects ranging from increased satiety to vasodilation. While the roasted seed is the most familiar part of the plant for food use, peanut flour, protein isolates, peanut oil and even peanut skins can be utilized to make appealing and health promoting processed products. While peanut allergies present a challenge in using peanuts and their byproducts in foods, they can be considered part of a healthy diet. In addition, by further processing, other parts of the peanuts such as skins and shells can be removed from the agricultural waste stream and used to produce both functional food ingredients and animal feed components. New methods for further processing of these waste materials will be presented.