Hormel Foods (NYSE:HRL) Issues FY 2026 Earnings Guidance

Key Points

• Hormel Foods raised FY 2026 guidance, projecting EPS of $1.43 to $1.51 and revenue of $12.2 billion to $12.5 billion. Both ranges are roughly in line with or slightly above Wall Street expectations.
• Recent quarterly results were stronger than expected, with adjusted EPS of $0.40 versus $0.35 estimated and revenue of $2.97 billion versus $2.96 billion expected. The company also reported 2.6% year-over-year revenue growth.
• The stock jumped 12.6% on the news, trading at $23.60, as investors reacted to improving execution and a positive outlook. Hormel also maintained a 5.0% dividend yield with a quarterly payout of $0.2925.

Hormel Foods (NYSE:HRL - Get Free Report) updated its FY 2026 earnings guidance on Thursday. The company provided EPS guidance of 1.430-1.510 for the period, compared to the consensus EPS estimate of 1.450. The company issued revenue guidance of $12.2 billion-$12.5 billion, compared to the consensus revenue estimate of $12.3 billion.

Analyst Ratings Changes

Several equities research analysts have weighed in on the stock. The Goldman Sachs Group set a $25.00 price target on shares of Hormel Foods in a research report on Thursday, May 21st. Weiss Ratings reissued a "sell (d+)" rating on shares of Hormel Foods in a research report on Tuesday, April 21st. Stephens set a $22.00 price target on shares of Hormel Foods and gave the company an "equal weight" rating in a research report on Thursday, May 21st. Finally, JPMorgan Chase & Co. reissued a "neutral" rating and set a $23.00 price target (down from $28.00) on shares of Hormel Foods in a research report on Thursday, April 9th. Three research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $25.33.

Hormel Foods Stock Up 12.6%

HRL traded up $2.64 during midday trading on Thursday, reaching $23.60. The company's stock had a trading volume of 11,287,558 shares, compared to its average volume of 4,892,071. The firm has a market capitalization of $12.99 billion, a price-to-earnings ratio of 26.52, a PEG ratio of 2.87 and a beta of 0.33. The company has a current ratio of 2.66, a quick ratio of 1.37 and a debt-to-equity ratio of 0.36. Hormel Foods has a 1 year low of $19.70 and a 1 year high of $31.86. The stock's 50-day moving average is $21.39 and its 200-day moving average is $22.96.

Hormel Foods (NYSE:HRL - Get Free Report) last announced its quarterly earnings data on Wednesday, May 27th. The company reported $0.40 earnings per share for the quarter, topping analysts' consensus estimates of $0.35 by $0.05. The business had revenue of $2.97 billion for the quarter, compared to analysts' expectations of $2.96 billion. Hormel Foods had a net margin of 4.03% and a return on equity of 9.38%. The business's revenue was up 2.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.35 earnings per share. As a group, research analysts expect that Hormel Foods will post 1.41 EPS for the current year.

Hormel Foods Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 17th. Shareholders of record on Monday, July 13th will be issued a $0.2925 dividend. This represents a $1.17 dividend on an annualized basis and a yield of 5.0%. The ex-dividend date is Monday, July 13th. Hormel Foods's dividend payout ratio is 131.46%.

Key Hormel Foods News

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

• Positive Sentiment: Hormel beat second-quarter earnings and revenue estimates, reporting adjusted EPS of $0.40 versus $0.35 expected and revenue of $2.97 billion versus $2.96 billion expected, which signals execution is improving. Reuters article
• Positive Sentiment: The company said demand is strong for protein-rich and convenience foods, especially chicken, turkey, and other affordable protein products, which supports sales growth and margin expansion. Benzinga article
• Positive Sentiment: Hormel highlighted its sixth consecutive quarter of organic top-line growth and double-digit adjusted EPS growth, reinforcing the idea that its turnaround strategy is gaining traction. PR Newswire release
• Neutral Sentiment: Analysts and market commentary note that the stock had been under pressure over the past several years, so this stronger quarter is being viewed as a possible catalyst for a rebound. Motley Fool article
• Negative Sentiment: Despite the beat, one report noted Hormel’s profit was lower year over year and that full-year profit guidance was below prior expectations, which could limit upside if investors focus on margins and outlook. WSJ article

Institutional Trading of Hormel Foods

A number of institutional investors and hedge funds have recently bought and sold shares of HRL. MUFG Securities EMEA plc bought a new stake in Hormel Foods during the 2nd quarter valued at about $26,000. Strive Financial Group LLC bought a new stake in shares of Hormel Foods in the fourth quarter worth approximately $27,000. Motiv8 Investments LLC bought a new stake in shares of Hormel Foods in the fourth quarter worth approximately $28,000. Parkside Financial Bank & Trust grew its stake in shares of Hormel Foods by 354.7% in the fourth quarter. Parkside Financial Bank & Trust now owns 1,314 shares of the company's stock worth $31,000 after acquiring an additional 1,025 shares during the period. Finally, Ankerstar Wealth LLC bought a new stake in shares of Hormel Foods in the fourth quarter worth approximately $35,000. 40.99% of the stock is currently owned by institutional investors.

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.

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