Hormel Foods (NYSE:HRL) Releases FY 2026 Earnings Guidance

Hormel Foods (NYSE:HRL) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 1.430-1.510 for the period, compared to the consensus estimate of 1.450. The company issued revenue guidance of $12.2 billion-$12.5 billion, compared to the consensus revenue estimate of $12.3 billion.

Hormel Foods Trading Down 1.4%

Shares of HRL opened at $23.26 on Friday. The company has a current ratio of 1.94, a quick ratio of 1.37 and a debt-to-equity ratio of 0.30. Hormel Foods has a 12-month low of $19.70 and a 12-month high of $31.86. The firm has a 50-day moving average price of $21.41 and a 200 day moving average price of $22.97. The firm has a market capitalization of $12.80 billion, a P/E ratio of 27.36, a P/E/G ratio of 3.13 and a beta of 0.33.

Hormel Foods (NYSE:HRL) last announced its quarterly earnings data on Thursday, May 28th. The company reported $0.40 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.35 by $0.05. Hormel Foods had a net margin of 3.82% and a return on equity of 9.74%. The firm had revenue of $2.97 billion during the quarter, compared to analyst estimates of $2.96 billion. During the same quarter in the prior year, the firm posted $0.35 earnings per share. Hormel Foods’s quarterly revenue was up 2.6% on a year-over-year basis. Hormel Foods has set its FY 2026 guidance at 1.430-1.510 EPS. Sell-side analysts forecast that Hormel Foods will post 1.46 EPS for the current year.

Hormel Foods Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, August 17th. Investors of record on Monday, July 13th will be issued a $0.2925 dividend. The ex-dividend date of this dividend is Monday, July 13th. This represents a $1.17 dividend on an annualized basis and a dividend yield of 5.0%. Hormel Foods’s dividend payout ratio is currently 137.65%.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on HRL shares. The Goldman Sachs Group set a $25.00 target price on shares of Hormel Foods in a research note on Thursday, May 21st. JPMorgan Chase & Co. reaffirmed 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. Bank of America increased their target price on shares of Hormel Foods from $23.00 to $25.00 and gave the stock a “neutral” rating in a research note on Friday. Stephens increased their target price on shares of Hormel Foods from $22.00 to $25.00 and gave the stock an “equal weight” rating in a research note on Friday. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Hormel Foods in a research note on Tuesday, April 21st. Two analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $25.67.

Key Stories Impacting Hormel Foods

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

• Positive Sentiment: Hormel beat quarterly earnings and revenue expectations, with broad-based segment profit growth and stronger adjusted margins supporting the stock. Reuters article
• Positive Sentiment: Management reaffirmed full-year adjusted EPS guidance of $1.43 to $1.51, signaling confidence that the profit recovery can continue even after portfolio changes. PR Newswire release
• Positive Sentiment: Analysts responded by raising price targets to $25 from $22-$23, suggesting more upside is possible if the turnaround continues. Benzinga article
• Neutral Sentiment: Hormel updated GAAP EPS guidance lower due to items tied to the turkey business divestiture, but said the impact on adjusted earnings should be minimal.
• Neutral Sentiment: Some reports noted that profit was lower year over year, even though results still came in ahead of expectations and showed operational improvement. WSJ article

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Invesco Ltd. lifted its stake in Hormel Foods by 66.5% in the third quarter. Invesco Ltd. now owns 11,331,941 shares of the company’s stock worth $280,352,000 after acquiring an additional 4,526,167 shares during the last quarter. Freestone Grove Partners LP purchased a new position in Hormel Foods in the fourth quarter worth approximately $43,340,000. Two Sigma Investments LP lifted its stake in Hormel Foods by 126.2% in the third quarter. Two Sigma Investments LP now owns 3,174,553 shares of the company’s stock worth $78,538,000 after acquiring an additional 1,770,852 shares during the last quarter. Goldman Sachs Group Inc. lifted its stake in Hormel Foods by 189.7% in the fourth quarter. Goldman Sachs Group Inc. now owns 2,414,341 shares of the company’s stock worth $57,220,000 after acquiring an additional 1,581,046 shares during the last quarter. Finally, Dimensional Fund Advisors LP lifted its stake in Hormel Foods by 30.2% in the fourth quarter. Dimensional Fund Advisors LP now owns 6,714,191 shares of the company’s stock worth $159,139,000 after acquiring an additional 1,557,595 shares during the last quarter. Hedge funds and other institutional investors own 40.99% of the company’s stock.

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.