Hormel Foods (NYSE:HRL) Stock Price Down 8.6% – What’s Next?

Hormel Foods Corporation (NYSE:HRL)’s stock price dropped 8.6% during mid-day trading on Thursday . The stock traded as low as $21.83 and last traded at $21.6770. 1,954,881 shares changed hands during mid-day trading, a decline of 59% from the average daily volume of 4,771,647 shares. The stock had previously closed at $23.71.

Key Hormel Foods News

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

• Positive Sentiment: Hormel reported third-quarter adjusted earnings of $0.37 per share, above analysts’ estimates of $0.35-$0.36 and up from $0.35 a year earlier. The company also raised and narrowed its fiscal 2026 adjusted EPS outlook to $1.45-$1.51, compared with a prior range of $1.45-$1.50. Hormel Foods Beats Q3 Earnings Estimates
• Positive Sentiment: Foodservice sales increased 2%, while operating cash flow rose 54% to $240.6 million. These results indicate some resilience in Hormel’s foodservice business and cash generation. Hormel Foods Reports Third Quarter Fiscal 2026 Results
• Neutral Sentiment: Hormel appointed a former Tyson Foods executive as its chief financial officer, a leadership change investors may monitor for its effect on cost controls and portfolio strategy. Hormel Foods Names Former Tyson Executive CFO
• Negative Sentiment: Third-quarter revenue fell 2.4% year over year to $2.96 billion, missing the roughly $3.03 billion consensus estimate. Retail sales declined 4% and International sales dropped 5%, reflecting weaker volumes and pressured consumer demand. Hormel Foods Cuts Annual Sales Forecast
• Negative Sentiment: Hormel reduced fiscal 2026 revenue guidance to $12.1-$12.2 billion from $12.2-$12.5 billion, while GAAP EPS guidance was lowered to $1.06-$1.12. Reported third-quarter profit was also affected by Brazil divestiture, investment impairment and litigation charges, contributing to a sharp decline in operating income. Hormel Foods Cuts Sales Outlook on Lower Quarterly Revenue

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on HRL. Weiss Ratings raised shares of Hormel Foods from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Wednesday, August 12th. The Goldman Sachs Group set a $25.00 target price on shares of Hormel Foods in a research note on Thursday, May 21st. Bank of America boosted 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. BNP Paribas Exane increased their price target on shares of Hormel Foods from $26.00 to $27.00 and gave the company a “neutral” rating in a research note on Tuesday, July 14th. Finally, Stephens restated an “equal weight” rating and set a $25.00 price target on shares of Hormel Foods in a report on Thursday, July 9th. Two investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $26.57.

Hormel Foods Trading Down 8.8%

The firm has a market cap of $11.91 billion, a price-to-earnings ratio of 25.59, a price-to-earnings-growth ratio of 2.74 and a beta of 0.34. The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.97 and a current ratio of 1.94. The company has a 50 day moving average price of $24.87 and a 200 day moving average price of $23.41.

Hormel Foods (NYSE:HRL) last issued its quarterly earnings data on Wednesday, August 26th. The company reported $0.37 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.35 by $0.02. The firm had revenue of $2.96 billion during the quarter, compared to the consensus estimate of $3.03 billion. Hormel Foods had a return on equity of 9.74% and a net margin of 3.82%.The company’s quarterly revenue was down 2.4% on a year-over-year basis. During the same period last year, the company earned $0.35 EPS. On average, research analysts expect that Hormel Foods Corporation will post 1.5 earnings per share for the current year.

Insiders Place Their Bets

In other Hormel Foods news, Director Gary C. Bhojwani sold 20,200 shares of Hormel Foods stock in a transaction dated Wednesday, July 8th. The shares were sold at an average price of $24.51, for a total transaction of $495,102.00. Following the completion of the sale, the director directly owned 32,002 shares in the company, valued at $784,369.02. This trade represents a 38.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.58% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Hormel Foods

Large investors have recently made changes to their positions in the stock. Caxton Associates LLP acquired a new position in Hormel Foods during the first quarter worth $310,000. Empowered Funds LLC grew its stake in shares of Hormel Foods by 1.8% in the first quarter. Empowered Funds LLC now owns 57,500 shares of the company’s stock valued at $1,779,000 after buying an additional 993 shares in the last quarter. Woodline Partners LP grew its stake in shares of Hormel Foods by 40.8% in the first quarter. Woodline Partners LP now owns 24,583 shares of the company’s stock valued at $761,000 after buying an additional 7,129 shares in the last quarter. EverSource Wealth Advisors LLC raised its holdings in shares of Hormel Foods by 214.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,731 shares of the company’s stock valued at $143,000 after buying an additional 3,226 shares during the period. Finally, Cerity Partners LLC lifted its stake in Hormel Foods by 76.5% during the 2nd quarter. Cerity Partners LLC now owns 103,616 shares of the company’s stock worth $3,134,000 after acquiring an additional 44,906 shares in the last quarter. 40.99% of the stock is currently owned by institutional investors and hedge funds.

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.