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Hormel Foods (NYSE:HRL) Sets New 12-Month Low - Here's Why

Hormel Foods logo with Consumer Staples background

Key Points

  • Hormel Foods' shares reached a 52-week low at $23.69 during trading, reflecting recent price volatility and a trading volume of over 2.7 million shares.
  • Analysts have downgraded Hormel's stock ratings, with Zacks Research moving it from "hold" to "strong sell" and Barclays lowering its price target from $36.00 to $34.00, maintaining an "overweight" rating.
  • The company reported Q3 earnings of $0.35 EPS, missing the consensus estimate of $0.41 but achieving a revenue growth of 4.6% year-over-year at $3.03 billion.
  • Five stocks to consider instead of Hormel Foods.

Shares of Hormel Foods Corporation (NYSE:HRL - Get Free Report) hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $23.69 and last traded at $23.72, with a volume of 2750307 shares traded. The stock had previously closed at $23.77.

Analyst Ratings Changes

Several equities research analysts have issued reports on HRL shares. Zacks Research downgraded shares of Hormel Foods from a "hold" rating to a "strong sell" rating in a research report on Friday, August 29th. Barclays reiterated an "overweight" rating and issued a $34.00 price target (down from $36.00) on shares of Hormel Foods in a research note on Friday, August 29th. JPMorgan Chase & Co. cut their price target on Hormel Foods from $34.00 to $30.00 and set an "overweight" rating for the company in a research note on Friday, August 29th. Weiss Ratings reiterated a "sell (d+)" rating on shares of Hormel Foods in a research note on Wednesday. Finally, The Goldman Sachs Group cut their price target on Hormel Foods from $35.00 to $31.00 and set a "buy" rating for the company in a research note on Friday, August 29th. Four analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $30.88.

Get Our Latest Stock Report on Hormel Foods

Hormel Foods Trading Down 0.1%

The firm has a market capitalization of $13.05 billion, a price-to-earnings ratio of 17.31, a P/E/G ratio of 5.33 and a beta of 0.29. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.47 and a quick ratio of 1.12. The firm's 50-day simple moving average is $26.27 and its 200 day simple moving average is $28.75.

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

Hormel Foods Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, November 17th. Stockholders of record on Tuesday, October 14th will be issued a dividend of $0.29 per share. The ex-dividend date is Tuesday, October 14th. This represents a $1.16 annualized dividend and a dividend yield of 4.9%. Hormel Foods's dividend payout ratio is 84.67%.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. MUFG Securities EMEA plc acquired a new position in shares of Hormel Foods during the second quarter worth $26,000. Caldwell Trust Co acquired a new position in shares of Hormel Foods during the second quarter worth $30,000. Cromwell Holdings LLC increased its holdings in shares of Hormel Foods by 162.7% during the second quarter. Cromwell Holdings LLC now owns 1,001 shares of the company's stock worth $30,000 after buying an additional 620 shares in the last quarter. MJT & Associates Financial Advisory Group Inc. acquired a new position in shares of Hormel Foods during the first quarter worth $37,000. Finally, Migdal Insurance & Financial Holdings Ltd. acquired a new position in shares of Hormel Foods during the first quarter worth $38,000. 40.99% of the stock is currently owned by institutional investors and hedge funds.

About Hormel Foods

(Get Free Report)

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.

See Also

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