Hormel Foods (NYSE:HRL) Upgraded by Zacks Research to “Hold” Rating

Zacks Research upgraded shares of Hormel Foods (NYSE:HRL) from a strong sell rating to a hold rating in a research report sent to investors on Monday,Zacks.com reports.

Other equities analysts have also recently issued reports about the stock. Weiss Ratings reissued a “sell (d+)” rating on shares of Hormel Foods in a research note on Wednesday, October 8th. Barclays set a $30.00 price target on shares of Hormel Foods and gave the company an “overweight” rating in a report on Tuesday, December 9th. JPMorgan Chase & Co. lifted their price target on Hormel Foods from $27.00 to $28.00 and gave the stock an “overweight” rating in a research report on Friday, December 5th. Piper Sandler restated a “neutral” rating and set a $26.00 price objective (up from $25.00) on shares of Hormel Foods in a research report on Friday, December 5th. Finally, The Goldman Sachs Group set a $27.00 price objective on Hormel Foods and gave the company a “buy” rating in a research note on Thursday, October 30th. Three research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Hormel Foods has an average rating of “Hold” and a consensus target price of $28.29.

Hormel Foods Stock Performance

NYSE HRL opened at $23.98 on Monday. The company has a debt-to-equity ratio of 0.36, a current ratio of 2.47 and a quick ratio of 1.20. Hormel Foods has a 1-year low of $21.03 and a 1-year high of $32.07. The business has a 50 day simple moving average of $23.14 and a two-hundred day simple moving average of $25.91. The stock has a market capitalization of $13.19 billion, a PE ratio of 27.56, a P/E/G ratio of 2.45 and a beta of 0.33.

Hormel Foods (NYSE:HRL) last posted its earnings results on Thursday, December 4th. The company reported $0.32 EPS for the quarter, beating analysts’ consensus estimates of $0.30 by $0.02. Hormel Foods had a return on equity of 9.41% and a net margin of 3.95%.The firm had revenue of $3.19 billion during the quarter, compared to the consensus estimate of $3.24 billion. During the same period in the prior year, the company earned $0.42 EPS. The company’s quarterly revenue was up 1.5% compared to the same quarter last year. Hormel Foods has set its FY 2026 guidance at 1.430-1.51 EPS. On average, research analysts predict that Hormel Foods will post 1.65 EPS for the current fiscal year.

Hormel Foods Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, February 17th. Investors of record on Monday, January 12th will be paid a dividend of $0.2925 per share. The ex-dividend date of this dividend is Monday, January 12th. This represents a $1.17 dividend on an annualized basis and a dividend yield of 4.9%. This is an increase from Hormel Foods’s previous quarterly dividend of $0.29. Hormel Foods’s dividend payout ratio is 134.48%.

Hedge Funds Weigh In On Hormel Foods

Several hedge funds have recently bought and sold shares of HRL. Shell Asset Management Co. lifted its position in shares of Hormel Foods by 94.7% during the second quarter. Shell Asset Management Co. now owns 47,390 shares of the company’s stock valued at $1,434,000 after buying an additional 23,046 shares during the last quarter. Machina Capital S.A.S. bought a new position in shares of Hormel Foods during the 2nd quarter worth approximately $820,000. Nordea Investment Management AB lifted its position in Hormel Foods by 48.3% during the second quarter. Nordea Investment Management AB now owns 40,492 shares of the company’s stock valued at $1,218,000 after acquiring an additional 13,188 shares during the last quarter. Franklin Resources Inc. boosted its stake in Hormel Foods by 67.4% in the second quarter. Franklin Resources Inc. now owns 296,782 shares of the company’s stock valued at $8,978,000 after acquiring an additional 119,460 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Hormel Foods by 2.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,123,392 shares of the company’s stock worth $65,698,000 after purchasing an additional 52,736 shares during the last quarter. Institutional investors own 40.99% of the company’s stock.

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.