Hormel Foods (NYSE:HRL) Posts Quarterly Earnings Results, Beats Estimates By $0.02 EPS

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

Hormel Foods Stock Performance

HRL opened at $23.24 on Thursday. The company has a market capitalization of $12.78 billion, a price-to-earnings ratio of 16.96, a P/E/G ratio of 5.34 and a beta of 0.33. The business’s 50-day moving average price is $23.20 and its two-hundred day moving average price is $26.79. Hormel Foods has a 1 year low of $21.03 and a 1 year high of $33.80. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.47 and a quick ratio of 1.12.

Hormel Foods Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, February 17th. Shareholders of record on Monday, January 12th will be paid a $0.2925 dividend. The ex-dividend date of this dividend is Monday, January 12th. This represents a $1.17 annualized dividend and a dividend yield of 5.0%. This is a positive change from Hormel Foods’s previous quarterly dividend of $0.29. Hormel Foods’s dividend payout ratio (DPR) is 85.40%.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on the company. JPMorgan Chase & Co. reduced their target price on Hormel Foods from $30.00 to $27.00 and set an “overweight” rating on the stock in a report on Friday, November 21st. Piper Sandler cut their price target on shares of Hormel Foods from $26.00 to $25.00 and set a “neutral” rating on the stock in a research report on Thursday, November 6th. Zacks Research cut shares of Hormel Foods from a “hold” rating to a “strong sell” rating in a report on Friday, August 29th. Bank of America cut their target price on shares of Hormel Foods from $35.00 to $28.00 and set a “neutral” rating on the stock in a report on Friday, August 29th. Finally, Barclays reissued an “overweight” rating and set a $34.00 price target (down from $36.00) on shares of Hormel Foods in a research report on Friday, August 29th. Three equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, Hormel Foods currently has a consensus rating of “Hold” and a consensus target price of $28.86.

Institutional Investors Weigh In On Hormel Foods

A number of hedge funds and other institutional investors have recently bought and sold shares of HRL. MUFG Securities EMEA plc bought a new stake in Hormel Foods in the 2nd quarter valued at approximately $26,000. Brown Brothers Harriman & Co. raised its holdings in shares of Hormel Foods by 514.6% in the third quarter. Brown Brothers Harriman & Co. now owns 1,512 shares of the company’s stock valued at $37,000 after purchasing an additional 1,266 shares during the last quarter. Banque Cantonale Vaudoise bought a new stake in shares of Hormel Foods in the third quarter worth $64,000. Quadrant Capital Group LLC acquired a new position in Hormel Foods during the third quarter worth $73,000. Finally, EverSource Wealth Advisors LLC grew its position in Hormel Foods by 214.4% in the second quarter. EverSource Wealth Advisors LLC now owns 4,731 shares of the company’s stock valued at $143,000 after purchasing an additional 3,226 shares in the last quarter. Institutional investors and hedge funds 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.