Hormel Foods (NYSE:HRL) Releases Earnings Results, Beats Expectations By $0.02 EPS

Hormel Foods (NYSE:HRL) announced its earnings results on Thursday. The company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.30 by $0.02, Briefing.com reports. The business had revenue of $3.19 billion for the quarter, compared to the consensus estimate of $3.24 billion. Hormel Foods had a return on equity of 10.06% and a net margin of 6.26%.The company’s revenue was up 1.5% on a year-over-year basis. During the same period last year, the business posted $0.42 EPS. Hormel Foods updated its FY 2026 guidance to 1.430-1.51 EPS.

Hormel Foods Stock Performance

Shares of HRL stock opened at $24.16 on Friday. The stock has a market capitalization of $13.29 billion, a price-to-earnings ratio of 17.63, a PEG ratio of 5.34 and a beta of 0.33. Hormel Foods has a one year low of $21.03 and a one year high of $33.80. The company’s 50-day simple moving average is $23.20 and its 200-day simple moving average is $26.78. The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.12 and a current ratio of 2.47.

Hormel Foods Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, February 17th. Stockholders of record on Monday, January 12th will be paid a $0.2925 dividend. This is a boost from Hormel Foods’s previous quarterly dividend of $0.29. The ex-dividend date is Monday, January 12th. This represents a $1.17 dividend on an annualized basis and a dividend yield of 4.8%. Hormel Foods’s dividend payout ratio (DPR) is currently 84.67%.

Analyst Upgrades and Downgrades

Several analysts have issued reports on HRL shares. Piper Sandler reaffirmed a “neutral” rating on shares of Hormel Foods in a research report on Friday. The Goldman Sachs Group set a $27.00 price target on shares of Hormel Foods and gave the company a “buy” rating in a report on Thursday, October 30th. JPMorgan Chase & Co. cut their price objective on shares of Hormel Foods from $30.00 to $27.00 and set an “overweight” rating on the stock in a report on Friday, November 21st. Weiss Ratings restated a “sell (d+)” rating on shares of Hormel Foods in a research note on Wednesday, October 8th. Finally, Bank of America dropped their target price on Hormel Foods from $35.00 to $28.00 and set a “neutral” rating on the stock in a research report on Friday, August 29th. Three analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, Hormel Foods currently has an average rating of “Hold” and an average price target of $28.86.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the company. CIBC Private Wealth Group LLC raised its position in shares of Hormel Foods by 8.3% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 11,306 shares of the company’s stock valued at $280,000 after acquiring an additional 863 shares in the last quarter. CIBC Bancorp USA Inc. acquired a new position in Hormel Foods in the third quarter worth $2,674,000. Danske Bank A S bought a new stake in Hormel Foods during the third quarter valued at $5,403,000. Advisory Services Network LLC raised its holdings in shares of Hormel Foods by 30.3% during the third quarter. Advisory Services Network LLC now owns 35,905 shares of the company’s stock worth $888,000 after purchasing an additional 8,352 shares during the period. Finally, Morningstar Investment Management LLC lifted its position in shares of Hormel Foods by 296.6% in the 3rd quarter. Morningstar Investment Management LLC now owns 31,915 shares of the company’s stock worth $790,000 after buying an additional 23,868 shares during the last quarter. Institutional investors own 40.99% of the company’s stock.

About Hormel Foods

Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and other food products to retail, foodservice, deli, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International segments. The company provides various perishable products that include fresh meats, frozen items, refrigerated meal solutions, sausages, hams, guacamoles, and bacons; and shelf-stable products comprising canned luncheon meats, nut butters, snack nuts, chili, shelf-stable microwaveable meals, hash, stews, tortillas, salsas, tortilla chips, nutritional food supplements, and others.