Hormel Foods (NYSE:HRL) Sets New 52-Week Low - Here's Why

Key Points

• Hormel Foods hit a new 52-week low of $20.32 and was last trading around $20.76 on heavy volume, well below its 50‑ and 200‑day moving averages near $23.4.
• Analysts maintain a consensus Hold rating with a $27 average price target (2 Buys, 6 Holds, 1 Sell), though several firms have recently cut targets or adjusted ratings.
• Hormel slightly beat quarterly EPS ($0.34 vs. $0.32) but missed revenue estimates, set FY2026 guidance of $1.43–$1.51, and declared a quarterly dividend yielding 5.6% despite a high payout ratio (~131%).

Hormel Foods Corporation (NYSE:HRL - Get Free Report)'s stock price reached a new 52-week low on Wednesday . The company traded as low as $20.32 and last traded at $20.76, with a volume of 5431018 shares trading hands. The stock had previously closed at $20.48.

Analysts Set New Price Targets

A number of analysts have weighed in on HRL shares. Zacks Research upgraded shares of Hormel Foods from a "strong sell" rating to a "hold" rating in a research note on Monday, December 29th. Weiss Ratings restated a "sell (d+)" rating on shares of Hormel Foods in a research note on Thursday, January 22nd. JPMorgan Chase & Co. restated a "neutral" rating and set a $23.00 target price (down from $28.00) on shares of Hormel Foods in a research note on Thursday, April 9th. Stephens upped their target price on shares of Hormel Foods from $25.00 to $27.00 and gave the company an "equal weight" rating in a research note on Friday, February 27th. Finally, Wall Street Zen upgraded shares of Hormel Foods from a "sell" rating to a "hold" rating in a research note on Saturday, January 17th. Two investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, Hormel Foods currently has a consensus rating of "Hold" and a consensus price target of $27.00.

Hormel Foods Stock Up 1.4%

The stock has a market cap of $11.42 billion, a PE ratio of 23.33, a price-to-earnings-growth ratio of 2.48 and a beta of 0.36. The company has a debt-to-equity ratio of 0.36, a quick ratio of 1.37 and a current ratio of 2.66. The company's 50-day moving average price is $23.36 and its 200 day moving average price is $23.48.

Hormel Foods (NYSE:HRL - Get Free Report) last released its quarterly earnings results on Thursday, February 26th. The company reported $0.34 EPS for the quarter, beating the consensus estimate of $0.32 by $0.02. Hormel Foods had a net margin of 4.03% and a return on equity of 9.38%. The firm had revenue of $3.03 billion during the quarter, compared to analyst estimates of $3.07 billion. During the same quarter in the prior year, the firm earned $0.35 EPS. The business's revenue for the quarter was up 1.3% compared to the same quarter last year. Hormel Foods has set its FY 2026 guidance at 1.430-1.510 EPS. As a group, analysts forecast that Hormel Foods Corporation will post 1.65 EPS for the current fiscal year.

Hormel Foods Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, May 15th. Stockholders of record on Monday, April 13th will be given a dividend of $0.2925 per share. The ex-dividend date of this dividend is Monday, April 13th. This represents a $1.17 annualized dividend and a dividend yield of 5.6%. Hormel Foods's dividend payout ratio is presently 131.46%.

Institutional Investors Weigh In On Hormel Foods

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Hsbc Holdings PLC increased its holdings in Hormel Foods by 57.1% in the 4th quarter. Hsbc Holdings PLC now owns 1,035,577 shares of the company's stock worth $24,574,000 after acquiring an additional 376,274 shares in the last quarter. Corient Private Wealth LLC increased its holdings in Hormel Foods by 41.2% in the 4th quarter. Corient Private Wealth LLC now owns 40,645 shares of the company's stock worth $963,000 after acquiring an additional 11,860 shares in the last quarter. Bayban purchased a new stake in Hormel Foods in the 4th quarter worth approximately $43,000. DGS Capital Management LLC purchased a new stake in Hormel Foods in the 4th quarter worth approximately $265,000. Finally, Walser Wealth Management Company A Ltd Liability Co purchased a new stake in Hormel Foods in the 4th quarter worth approximately $350,000. 40.99% of the stock is owned by hedge funds and other institutional investors.

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.

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