BlackRock Inc. Invests $489.09 Million in Hormel Foods Corporation $HRL

Key Points

• BlackRock acquired a new 19.7 million-share stake in Hormel Foods worth approximately $489.1 million, representing 3.58% of the company. Other institutions also initiated positions, bringing total institutional ownership to 40.99%.
• Hormel’s latest quarterly results exceeded expectations, with EPS of $0.40 versus the $0.35 consensus and revenue of $2.97 billion, up 2.6% year over year.
• Analysts remain cautious: HRL has a consensus “Hold” rating and an average price target of $26.57, while the stock recently opened at $24.06. Director Gary C. Bhojwani also sold 20,200 shares for about $495,000.

BlackRock Inc. bought a new stake in shares of Hormel Foods Corporation (NYSE:HRL - Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund bought 19,705,555 shares of the company's stock, valued at approximately $489,092,000. BlackRock Inc. owned 3.58% of Hormel Foods at the end of the most recent quarter.

Other large investors have also recently made changes to their positions in the company. Deutsche Bank AG purchased a new stake in Hormel Foods during the 2nd quarter valued at about $32,446,000. Perigon Wealth Management LLC purchased a new position in Hormel Foods during the second quarter worth about $314,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in Hormel Foods in the 2nd quarter valued at about $14,518,000. AMG National Trust Bank purchased a new position in shares of Hormel Foods in the 2nd quarter valued at about $8,338,000. Finally, Global Retirement Partners LLC purchased a new position in shares of Hormel Foods in the 2nd quarter valued at about $37,000. 40.99% of the stock is owned by institutional investors.

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 dated Wednesday, July 8th. The shares were sold at an average price of $24.51, for a total value of $495,102.00. Following the sale, the director owned 32,002 shares in the company, valued at approximately $784,369.02. This represents a 38.70% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders own 0.58% of the company's stock.

Hormel Foods Price Performance

HRL stock opened at $24.06 on Tuesday. 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 Corporation has a 52-week low of $19.70 and a 52-week high of $29.18. The stock's 50 day moving average is $24.90 and its two-hundred day moving average is $23.43. The company has a market capitalization of $13.24 billion, a PE ratio of 28.31, a P/E/G ratio of 2.75 and a beta of 0.34.

Hormel Foods (NYSE:HRL - Get Free Report) last issued its quarterly earnings results on Wednesday, May 27th. The company reported $0.40 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.35 by $0.05. The business had revenue of $2.97 billion during the quarter, compared to analyst estimates of $2.96 billion. Hormel Foods had a net margin of 3.82% and a return on equity of 9.74%. The business's revenue was up 2.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.35 earnings per share. Analysts predict that Hormel Foods Corporation will post 1.5 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on HRL shares. Stephens reiterated an "equal weight" rating and issued a $25.00 price objective on shares of Hormel Foods in a research report on Thursday, July 9th. Bank of America lifted their target price on shares of Hormel Foods from $25.00 to $27.00 and gave the company a "neutral" rating in a report on Tuesday, June 30th. Weiss Ratings upgraded Hormel Foods from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Wednesday, August 12th. The Goldman Sachs Group set a $25.00 target price on Hormel Foods in a research report on Thursday, May 21st. Finally, BNP Paribas Exane raised their target price on Hormel Foods from $26.00 to $27.00 and gave the company a "neutral" rating in a report on Tuesday, July 14th. Two equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Hormel Foods has an average rating of "Hold" and a consensus price target of $26.57.

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.

Want to see what other hedge funds are holding HRL? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Hormel Foods Corporation (NYSE:HRL - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source