Hormel Foods Corporation (NYSE:HRL) to Issue $0.29 Quarterly Dividend

Key Points

• Hormel Foods Corporation has declared a quarterly dividend of $0.29 per share, with payment scheduled for November 17, 2023, to investors of record as of October 14, 2023, yielding 4.8% annually.
• The company's earnings per share for the last quarter were $0.35, falling short of the expected $0.41, while revenues rose to $3.03 billion, surpassing estimates.
• Hormel Foods' current dividend payout ratio stands at 64.4%, indicating strong earnings support for its dividend payments, with analysts predicting an expected future payout ratio of 63.0% based on anticipated earnings growth.

Hormel Foods Corporation (NYSE:HRL - Get Free Report) declared a quarterly dividend on Monday, September 22nd, RTT News reports. Investors of record on Tuesday, October 14th will be paid a dividend of 0.29 per share on Monday, November 17th. This represents a c) dividend on an annualized basis and a dividend yield of 4.8%.

Hormel Foods has a dividend payout ratio of 64.4% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Hormel Foods to earn $1.84 per share next year, which means the company should continue to be able to cover its $1.16 annual dividend with an expected future payout ratio of 63.0%.

Hormel Foods Stock Down 2.0%

NYSE HRL traded down $0.49 on Monday, reaching $24.33. The stock had a trading volume of 5,239,090 shares, compared to its average volume of 4,806,564. The business has a 50 day moving average price of $27.58 and a 200 day moving average price of $29.25. Hormel Foods has a 1 year low of $23.71 and a 1 year high of $33.80. The company has a market capitalization of $13.38 billion, a price-to-earnings ratio of 17.76, a P/E/G ratio of 5.53 and a beta of 0.31. The company has a current ratio of 2.47, a quick ratio of 1.12 and a debt-to-equity ratio of 0.35.

Hormel Foods (NYSE:HRL - Get Free Report) last released its quarterly earnings results on Thursday, August 28th. The company reported $0.35 earnings per share for the quarter, missing analysts' consensus estimates of $0.41 by ($0.06). The business had revenue of $3.03 billion for the quarter, compared to the consensus estimate of $2.98 billion. Hormel Foods had a net margin of 6.26% and a return on equity of 10.06%. The firm's revenue for the quarter was up 4.6% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.37 EPS. Hormel Foods has set its Q4 2025 guidance at 0.380-0.400 EPS. FY 2025 guidance at 1.430-1.450 EPS. On average, analysts forecast that Hormel Foods will post 1.65 EPS for the current fiscal year.

Institutional Investors Weigh In On Hormel Foods

A number of institutional investors and hedge funds have recently made changes to their positions in HRL. MUFG Securities EMEA plc bought a new stake in shares of Hormel Foods in the 2nd quarter valued at $26,000. Cromwell Holdings LLC raised its stake in shares of Hormel Foods by 162.7% in the second quarter. Cromwell Holdings LLC now owns 1,001 shares of the company's stock valued at $30,000 after buying an additional 620 shares during the period. Caldwell Trust Co purchased a new stake in Hormel Foods during the second quarter valued at about $30,000. MJT & Associates Financial Advisory Group Inc. purchased a new stake in shares of Hormel Foods during the 1st quarter valued at approximately $37,000. Finally, Migdal Insurance & Financial Holdings Ltd. purchased a new position in Hormel Foods in the 1st quarter valued at approximately $38,000. Institutional investors own 40.99% of the company's stock.

Hormel Foods Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.