Stock Traders Purchase Large Volume of Hormel Foods Put Options (NYSE:HRL)

Hormel Foods Corporation (NYSE:HRL) was the target of some unusual options trading activity on Thursday. Stock investors acquired 8,612 put options on the stock. This is an increase of approximately 156% compared to the average volume of 3,365 put options.

Insider Buying and Selling at Hormel Foods

In other Hormel Foods news, Director Gary C. Bhojwani sold 20,200 shares of the firm’s stock in a transaction dated Wednesday, July 8th. The shares were sold at an average price of $24.51, for a total transaction of $495,102.00. Following the completion of the transaction, the director directly owned 32,002 shares in the company, valued at approximately $784,369.02. This trade represents a 38.70% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.58% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Hormel Foods

A number of hedge funds and other institutional investors have recently made changes to their positions in HRL. Raiffeisen Bank International AG lifted its stake in Hormel Foods by 90.7% in the second quarter. Raiffeisen Bank International AG now owns 986 shares of the company’s stock valued at $26,000 after acquiring an additional 469 shares during the last quarter. MUFG Securities EMEA plc acquired a new stake in shares of Hormel Foods in the 2nd quarter valued at $26,000. Strive Financial Group LLC acquired a new position in Hormel Foods during the fourth quarter worth $27,000. Motiv8 Investments LLC bought a new position in Hormel Foods during the fourth quarter valued at about $28,000. Finally, Fiduciary Financial Advisors acquired a new stake in shares of Hormel Foods in the second quarter worth about $29,000. 40.99% of the stock is owned by hedge funds and other institutional investors.

Key Hormel Foods News

Here are the key news stories impacting Hormel Foods this week:

• Positive Sentiment: Adjusted earnings beat estimates and guidance was raised. Hormel reported adjusted EPS of $0.37, above analyst expectations of roughly $0.35-$0.36 and up from $0.35 a year earlier. The company raised and narrowed its fiscal 2026 adjusted EPS outlook to $1.45-$1.51, with the lower end improving despite the sales weakness. Hormel Foods Beats Q3 Earnings Estimates
• Positive Sentiment: Foodservice remained a relative bright spot. Foodservice sales increased 2%, and operating cash flow rose 54% to $240.6 million, providing some support for the company’s earnings and liquidity profile. Hormel Foods Reports Third Quarter Fiscal 2026 Results
• Neutral Sentiment: Hormel appointed a former Tyson executive as chief financial officer. The leadership change may affect the company’s financial strategy, but its near-term effect on earnings and valuation is unclear. Hormel Foods Names Former Tyson Executive CFO
• Negative Sentiment: Revenue missed expectations and declined year over year. Third-quarter sales were $2.96 billion, below estimates near $3.03-$3.04 billion and down 2.4% from the prior year. Retail sales fell 4%, while international sales declined 5%, reflecting weak volumes and pressured consumer demand. Hormel Foods Cuts Annual Sales Forecast
• Negative Sentiment: Full-year sales guidance was reduced. Hormel now expects fiscal 2026 revenue of $12.1 billion-$12.2 billion, down from its prior forecast of $12.2 billion-$12.5 billion and roughly in line with the low end of consensus. The company cited lower turkey and nut prices, weak private-label snack-nut demand, and a challenging retail environment. Hormel Foods Cuts Sales Outlook
• Negative Sentiment: Profitability was hurt by weak volume and one-time charges. Reported net income fell sharply, with operating income declining to $110.9 million from $239.7 million. Brazil divestiture losses, an Indonesia investment impairment, and a litigation settlement added pressure. Unusually heavy put-option buying also signaled increased bearish or hedging activity. Hormel Foods Stock Falls on Reduced Sales Outlook

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on HRL shares. Stephens reissued an “equal weight” rating and issued a $25.00 price objective on shares of Hormel Foods in a research report on Thursday, July 9th. JPMorgan Chase & Co. lifted their price target on shares of Hormel Foods from $25.00 to $26.00 and gave the stock a “neutral” rating in a research note on Friday, August 14th. Bank of America increased their target price on Hormel Foods from $25.00 to $27.00 and gave the stock a “neutral” rating in a report on Tuesday, June 30th. BNP Paribas Exane boosted their price target on Hormel Foods from $26.00 to $27.00 and gave the company a “neutral” rating in a report on Tuesday, July 14th. Finally, Weiss Ratings raised shares of Hormel Foods from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, August 12th. Two analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $26.57.

Hormel Foods Stock Performance

HRL stock traded down $2.19 during trading on Thursday, reaching $21.52. 10,849,834 shares of the company’s stock were exchanged, compared to its average volume of 4,822,662. The firm has a market cap of $11.84 billion, a PE ratio of 25.28, a P/E/G ratio of 2.74 and a beta of 0.34. The company’s fifty day moving average price is $24.87 and its 200-day moving average price is $23.41. Hormel Foods has a 1-year low of $19.70 and a 1-year high of $26.60. The company has a quick ratio of 0.97, a current ratio of 1.94 and a debt-to-equity ratio of 0.30.

Hormel Foods (NYSE:HRL) last issued its quarterly earnings results on Wednesday, August 26th. The company reported $0.37 EPS for the quarter, topping the consensus estimate of $0.35 by $0.02. Hormel Foods had a net margin of 3.82% and a return on equity of 9.74%. The firm had revenue of $2.96 billion for the quarter, compared to analysts’ expectations of $3.03 billion. During the same period in the previous year, the business earned $0.35 earnings per share. Hormel Foods’s revenue for the quarter was down 2.4% compared to the same quarter last year. On average, research analysts expect that Hormel Foods will post 1.5 EPS for the current fiscal year.

About Hormel Foods

Hormel Foods Corporation is a global branded foods company primarily engaged in the production, marketing and distribution of value-added, high-quality meat and food products. The company’s portfolio spans a range of categories including refrigerated and frozen meats, pantry staples, specialty foods and shelf-stable items. Through manufacturing facilities located across North America and international markets, Hormel Foods supplies retail grocers, foodservice operators, convenience stores and e-commerce platforms.

Among its best-known brands, Hormel Foods produces SPAM® canned meats, Jennie-O® turkey products, Skippy® peanut butter and Applegate® natural and organic meats.