Hormel Foods Corporation (NYSE:HRL) Receives Average Rating of “Hold” from Brokerages

Hormel Foods Corporation (NYSE:HRL) has received an average recommendation of “Hold” from the eight ratings firms that are covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, five have given a hold rating and two have issued a buy rating on the company. The average 12-month target price among brokers that have issued ratings on the stock in the last year is $25.6667.

Several brokerages have recently commented on HRL. Stephens increased their target price on shares of Hormel Foods from $22.00 to $25.00 and gave the company an “equal weight” rating in a report on Friday, May 29th. Bank of America increased their target price on shares of Hormel Foods from $23.00 to $25.00 and gave the company a “neutral” rating in a report on Friday, May 29th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Hormel Foods in a report on Tuesday, April 21st. JPMorgan Chase & Co. reiterated a “neutral” rating and issued a $23.00 target price (down from $28.00) on shares of Hormel Foods in a report on Thursday, April 9th. Finally, The Goldman Sachs Group set a $25.00 target price on shares of Hormel Foods in a report on Thursday, May 21st.

Hedge Funds Weigh In On Hormel Foods

Institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. boosted its position in Hormel Foods by 2.0% during the third quarter. Vanguard Group Inc. now owns 37,595,843 shares of the company’s stock worth $930,121,000 after purchasing an additional 729,942 shares during the period. Vest Financial LLC boosted its position in Hormel Foods by 9.1% during the fourth quarter. Vest Financial LLC now owns 2,042,541 shares of the company’s stock worth $48,408,000 after purchasing an additional 171,137 shares during the period. Victory Capital Management Inc. boosted its position in Hormel Foods by 297.6% during the third quarter. Victory Capital Management Inc. now owns 4,198,564 shares of the company’s stock worth $103,815,000 after purchasing an additional 3,142,670 shares during the period. First Trust Advisors LP boosted its position in Hormel Foods by 18.5% during the third quarter. First Trust Advisors LP now owns 2,661,529 shares of the company’s stock worth $65,846,000 after purchasing an additional 415,915 shares during the period. Finally, Dimensional Fund Advisors LP boosted its position in Hormel Foods by 12.9% during the third quarter. Dimensional Fund Advisors LP now owns 5,156,596 shares of the company’s stock worth $127,570,000 after purchasing an additional 590,084 shares during the period. Institutional investors own 40.99% of the company’s stock.

Hormel Foods Stock Performance

HRL opened at $24.78 on Friday. The company’s fifty day moving average price is $21.65 and its two-hundred day moving average price is $23.07. The company has a market cap of $13.63 billion, a price-to-earnings ratio of 29.15, a PEG ratio of 2.85 and a beta of 0.35. The company has a current ratio of 1.94, a quick ratio of 0.97 and a debt-to-equity ratio of 0.30. Hormel Foods has a 1-year low of $19.70 and a 1-year high of $31.86.

Hormel Foods (NYSE:HRL) last announced its earnings results on Wednesday, May 27th. The company reported $0.40 EPS for the quarter, beating the consensus estimate of $0.35 by $0.05. The company had revenue of $2.97 billion during the quarter, compared to the consensus estimate of $2.96 billion. Hormel Foods had a net margin of 3.82% and a return on equity of 9.74%. The firm’s revenue for the quarter was up 2.6% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.35 earnings per share. On average, analysts expect that Hormel Foods will post 1.5 EPS for the current fiscal year.

Hormel Foods Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, August 17th. Investors of record on Monday, July 13th will be given a dividend of $0.2925 per share. The ex-dividend date is Monday, July 13th. This represents a $1.17 annualized dividend and a yield of 4.7%. Hormel Foods’s dividend payout ratio is presently 137.65%.

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.