Hormel Foods (NYSE:HRL) Upgraded to “Hold” at Wall Street Zen

Wall Street Zen upgraded shares of Hormel Foods (NYSE:HRL) from a sell rating to a hold rating in a report issued on Saturday morning.

Several other equities research analysts have also recently issued reports on the stock. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Hormel Foods in a research report on Wednesday, October 8th. JPMorgan Chase & Co. lifted their price target on Hormel Foods from $27.00 to $28.00 and gave the stock an “overweight” rating in a report on Friday, December 5th. Piper Sandler reiterated a “neutral” rating and issued a $26.00 price objective (up previously from $25.00) on shares of Hormel Foods in a report on Friday, December 5th. The Goldman Sachs Group set a $27.00 target price on Hormel Foods and gave the stock a “buy” rating in a research note on Thursday, October 30th. Finally, Bank of America upped their price target on Hormel Foods from $25.00 to $26.00 and gave the company a “neutral” rating in a report on Friday, December 5th. Three research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $28.29.

Hormel Foods Price Performance

HRL stock opened at $24.24 on Friday. The business’s 50-day moving average is $23.39 and its two-hundred day moving average is $25.32. The company has a debt-to-equity ratio of 0.36, a current ratio of 2.47 and a quick ratio of 1.20. The firm has a market capitalization of $13.33 billion, a P/E ratio of 27.86, a P/E/G ratio of 2.46 and a beta of 0.33. Hormel Foods has a 1 year low of $21.03 and a 1 year high of $32.07.

Hormel Foods (NYSE:HRL) last released its earnings results on Thursday, December 4th. The company reported $0.32 earnings per share for the quarter, topping analysts’ consensus estimates of $0.30 by $0.02. The firm had revenue of $3.19 billion for the quarter, compared to analyst estimates of $3.24 billion. Hormel Foods had a net margin of 3.95% and a return on equity of 9.41%. The business’s quarterly revenue was up 1.5% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.42 earnings per share. Hormel Foods has set its FY 2026 guidance at 1.430-1.51 EPS. Analysts anticipate that Hormel Foods will post 1.65 earnings per share for the current fiscal year.

Hormel Foods Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, February 17th. Investors of record on Monday, January 12th will be given a $0.2925 dividend. This is a boost from Hormel Foods’s previous quarterly dividend of $0.29. The ex-dividend date of this dividend is Monday, January 12th. This represents a $1.17 dividend on an annualized basis and a dividend yield of 4.8%. Hormel Foods’s payout ratio is currently 134.48%.

Institutional Investors Weigh In On Hormel Foods

Several large investors have recently modified their holdings of HRL. Caxton Associates LLP acquired a new position in shares of Hormel Foods in the 1st quarter valued at $310,000. Empowered Funds LLC grew its position in Hormel Foods by 1.8% during the 1st quarter. Empowered Funds LLC now owns 57,500 shares of the company’s stock worth $1,779,000 after purchasing an additional 993 shares during the last quarter. Woodline Partners LP increased its stake in Hormel Foods by 40.8% in the first quarter. Woodline Partners LP now owns 24,583 shares of the company’s stock valued at $761,000 after purchasing an additional 7,129 shares during the period. Voya Investment Management LLC raised its holdings in shares of Hormel Foods by 0.6% in the first quarter. Voya Investment Management LLC now owns 87,438 shares of the company’s stock valued at $2,705,000 after buying an additional 484 shares during the last quarter. Finally, Czech National Bank boosted its stake in shares of Hormel Foods by 6.6% during the second quarter. Czech National Bank now owns 71,241 shares of the company’s stock worth $2,155,000 after buying an additional 4,409 shares during the period. 40.99% of the stock is 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.