Hormel Foods Co. (NYSE:HRL – Get Rating) gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $50.28, but opened at $47.99. Hormel Foods shares last traded at $47.10, with a volume of 21,129 shares changing hands.
The company reported $0.40 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.41 by ($0.01). Hormel Foods had a net margin of 7.70% and a return on equity of 14.10%. The firm had revenue of $3.03 billion during the quarter, compared to analyst estimates of $3 billion. During the same quarter in the previous year, the business posted $0.39 earnings per share. The business’s quarterly revenue was up 6.0% compared to the same quarter last year.
Analyst Upgrades and Downgrades
Several analysts have issued reports on the stock. Credit Suisse Group decreased their price target on shares of Hormel Foods to $44.00 in a research report on Friday, June 3rd. Stephens raised their price target on shares of Hormel Foods from $50.00 to $55.00 and gave the stock an “equal weight” rating in a research report on Tuesday, August 23rd. Finally, Piper Sandler decreased their price target on shares of Hormel Foods to $48.00 in a research report on Friday, June 3rd. One investment analyst has rated the stock with a sell rating, seven have given a hold rating and one has assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $48.86.
Insider Activity
In related news, SVP Kevin L. Myers sold 5,000 shares of Hormel Foods stock in a transaction dated Tuesday, June 7th. The shares were sold at an average price of $45.07, for a total transaction of $225,350.00. Following the completion of the transaction, the senior vice president now directly owns 32,869 shares of the company’s stock, valued at approximately $1,481,405.83. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. In related news, SVP Kevin L. Myers sold 5,000 shares of Hormel Foods stock in a transaction dated Tuesday, June 7th. The shares were sold at an average price of $45.07, for a total transaction of $225,350.00. Following the completion of the transaction, the senior vice president now directly owns 32,869 shares of the company’s stock, valued at approximately $1,481,405.83. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Christopher J. Policinski sold 2,110 shares of Hormel Foods stock in a transaction dated Thursday, June 23rd. The shares were sold at an average price of $46.27, for a total transaction of $97,629.70. Following the transaction, the director now directly owns 85,254 shares of the company’s stock, valued at $3,944,702.58. The disclosure for this sale can be found here. 0.78% of the stock is owned by company insiders.
Hedge Funds Weigh In On Hormel Foods
A number of institutional investors have recently modified their holdings of the stock. Capital International Investors raised its stake in shares of Hormel Foods by 21.8% during the fourth quarter. Capital International Investors now owns 13,780,558 shares of the company’s stock worth $672,613,000 after buying an additional 2,463,310 shares during the last quarter. CFS Investment Advisory Services LLC raised its stake in shares of Hormel Foods by 5,067.8% during the first quarter. CFS Investment Advisory Services LLC now owns 1,778,852 shares of the company’s stock worth $35,000 after buying an additional 1,744,430 shares during the last quarter. GQG Partners LLC bought a new stake in shares of Hormel Foods during the first quarter worth approximately $57,529,000. State Street Corp raised its stake in shares of Hormel Foods by 3.8% during the fourth quarter. State Street Corp now owns 29,141,779 shares of the company’s stock worth $1,422,410,000 after buying an additional 1,079,695 shares during the last quarter. Finally, Renaissance Technologies LLC raised its stake in shares of Hormel Foods by 58.1% during the first quarter. Renaissance Technologies LLC now owns 2,764,663 shares of the company’s stock worth $142,491,000 after buying an additional 1,016,300 shares during the last quarter. 39.95% of the stock is owned by institutional investors.
Hormel Foods Stock Performance
The stock has a market cap of $25.80 billion, a price-to-earnings ratio of 28.73, a PEG ratio of 3.77 and a beta of 0.13. The stock’s fifty day moving average is $48.93 and its 200-day moving average is $49.54. The company has a quick ratio of 1.20, a current ratio of 2.28 and a debt-to-equity ratio of 0.45.
Hormel Foods Company Profile
Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and food products to retail, foodservice, deli, and commercial customers in the United States and internationally. The company operates through four segments: Grocery Products, Refrigerated Foods, Jennie-O Turkey Store, and International & Other.