Hormel Foods (NYSE:HRL) Shares Down 8.6% – Here’s What Happened

Shares of Hormel Foods Corporation (NYSE:HRL) fell 8.6% during mid-day trading on Thursday . The stock traded as low as $21.83 and last traded at $21.6770. Approximately 1,954,881 shares changed hands during trading, a decline of 59% from the average daily volume of 4,771,647 shares. The stock had previously closed at $23.71.

Trending Headlines about Hormel Foods

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

• Positive Sentiment: Hormel reported adjusted third-quarter EPS of $0.37, ahead of analyst estimates of approximately $0.35–$0.36 and up from $0.35 a year earlier. Margin expansion and cost management helped offset weaker volumes. Hormel Foods Q3 Earnings Beat on Margin Expansion, Sales Miss
• Positive Sentiment: Management raised and narrowed its fiscal 2026 adjusted EPS outlook to $1.45–$1.51, compared with prior guidance of $1.40–$1.50. Operating cash flow also increased 54% to $240.6 million. Hormel Foods Reports Third Quarter Fiscal 2026 Results
• Neutral Sentiment: BNP Paribas Exane lowered its HRL price target from $27 to $26 and assigned a neutral rating. The revised target still implies meaningful potential upside from recent levels, but the rating signals limited confidence in near-term growth. BNP Paribas Exane Hormel Foods Price Target Update
• Neutral Sentiment: Some analysts view Hormel’s elevated dividend yield—reported at roughly 5.5% after the sell-off—and valuation as attractive for long-term income investors, though earnings-based valuation remains a concern. Hormel Foods: A Protein Powerhouse With a Secure Yield
• Negative Sentiment: Third-quarter revenue fell 2.4% year over year to $2.96 billion, missing the roughly $3.03 billion consensus estimate. Retail sales declined 4%, international sales dropped 5%, and management cited pressured consumers, lower commodity prices and weak private-label snack-nut demand. Hormel Foods Cuts Annual Sales Forecast
• Negative Sentiment: Hormel reduced fiscal 2026 revenue guidance to $12.1–$12.2 billion from $12.2–$12.5 billion, reinforcing concerns that sluggish demand and falling sales will limit growth despite improved margins and EPS. Why Hormel Foods Stock Swooned

Analyst Upgrades and Downgrades

Several brokerages have weighed in on HRL. Stephens set a $23.00 price objective on shares of Hormel Foods in a research note on Friday. The Goldman Sachs Group set a $25.00 target price on Hormel Foods in a report on Thursday, May 21st. Weiss Ratings upgraded Hormel Foods from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Wednesday, August 12th. Bank of America raised their price target on Hormel Foods from $25.00 to $27.00 and gave the company a “neutral” rating in a report on Tuesday, June 30th. Finally, BNP Paribas Exane cut their price objective on Hormel Foods from $27.00 to $26.00 and set a “neutral” rating for the company in a research report on Friday. Two equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat, Hormel Foods currently has a consensus rating of “Hold” and an average target price of $26.14.

Hormel Foods Trading Up 1.2%

The company has a quick ratio of 0.97, a current ratio of 1.88 and a debt-to-equity ratio of 0.30. The firm has a market cap of $11.85 billion, a price-to-earnings ratio of 34.18, a price-to-earnings-growth ratio of 2.45 and a beta of 0.34. The business’s fifty day moving average is $24.76 and its two-hundred day moving average is $23.38.

Hormel Foods (NYSE:HRL) last posted its quarterly earnings data on Thursday, August 27th. The company reported $0.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.02. The firm had revenue of $2.96 billion for the quarter, compared to the consensus estimate of $3.03 billion. Hormel Foods had a return on equity of 9.91% and a net margin of 2.82%.The business’s revenue for the quarter was down 2.4% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.35 EPS. Hormel Foods has set its FY 2026 guidance at 1.450-1.510 EPS. Equities analysts anticipate that Hormel Foods Corporation will post 1.5 earnings per share for the current fiscal year.

Insider Buying and Selling at Hormel Foods

In other news, Director Gary C. Bhojwani sold 20,200 shares of the company’s stock in a transaction on Wednesday, July 8th. The stock was sold at an average price of $24.51, for a total transaction of $495,102.00. Following the transaction, the director owned 32,002 shares of the company’s stock, valued at $784,369.02. This represents a 38.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.58% of the stock is currently owned by insiders.

Institutional Trading of Hormel Foods

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Masters Capital Management LLC bought a new position in shares of Hormel Foods in the 1st quarter valued at about $19,252,000. Fidelity National Financial Inc. bought a new stake in shares of Hormel Foods during the fourth quarter worth approximately $15,642,000. BNP Paribas Financial Markets raised its stake in shares of Hormel Foods by 21.2% during the fourth quarter. BNP Paribas Financial Markets now owns 465,204 shares of the company’s stock worth $11,025,000 after buying an additional 81,420 shares during the last quarter. AMG National Trust Bank acquired a new position in Hormel Foods in the second quarter valued at approximately $8,338,000. Finally, Nomura Asset Management Co. Ltd. lifted its holdings in Hormel Foods by 9.4% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 1,615,614 shares of the company’s stock valued at $38,290,000 after buying an additional 138,439 shares during the period. 40.99% of the stock is currently owned by institutional investors and hedge funds.

Hormel Foods Company Profile

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.