HRL Stock Analysis
NYQ · Consumer Defensive · Packaged Foods
$19.73
+0.03 (+0.13%)
HRL Interactive Price Chart & Trading Signals
HRL Stock Snapshot — Valuation, Risk & Technical Signals
HRL Key Fundamentals, Analyst Targets & Company Profile
Key Financial Ratios
Market Cap
$10.86B
P/E Ratio
31.83
Forward P/E
12.70
PEG Ratio
1.39
P/B Ratio
1.38
EPS
$0.62
Dividend Yield
5.94%
52W Range
$19.42 – $26.60
Beta
0.32
Volume
0.5M
ROE
4.3%
Profit Margin
2.8%
Revenue Growth
-2.4%
Gross Margin
15.7%
EV/EBITDA
10.16
Analyst Target
$26.13
The trailing price-to-earnings ratio stands at 31.8x. Forward P/E of 12.7x implies earnings expansion expected. Price-to-book is 1.38x. EV/EBITDA sits at 10.16x. Market capitalization is $10.86B. Revenue is contracting at -2.4% on a trailing basis. Earnings are compressing at -67.2%. Profit margins are 2.8%. Return on equity is 4.3%. Beta of 0.32 indicates defensive profile.
Analyst Consensus
Recommendation
Hold
Low Target
$23.00
Mean Target
$26.13
High Target
$30.00
Based on 8 analysts
About HRL
Hormel Foods Corporation develops, processes, and distributes various meat, nut, and other food products to foodservice, convenience stores, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International. The company provides perishable products, including fresh meats, frozen items, refrigerated meal solutions, bacon, sausages, hams, guacamole, and other items that require refrigeration, as well as shelf-stable products, such as canned luncheon meats, nut butters, snack nuts, chili, shelf-stable microwaveable meals, hash, stews, tortillas, salsas, tortilla chips, and other items that do not require refrigeration. It sells its products under the HORMEL, ALWAYS TENDER, APPLEGATE, AUSTIN BLUES, BACON 1, BLACK LABEL, BREAD READY, BURKE, CAFÉ H, CERATTI, CHI-CHI'S, COLUMBUS, COMPLEATS, CORN NUTS, CURE 81, DAN'S PRIZE, DI LUSSO, DINTY MOORE, DON MIGUEL, DOÑA MARIA, EMBASA, FAST ‘N EASY, FIRE BRAISED, FONTANINI, HERDEZ, HORMEL GATHERINGS, HOUSE OF TSANG, JENNIE-O, JUSTIN'S, LA VICTORIA, LAYOUT, LLOYD'S, MARY KITCHEN, MR. PEANUT, NATURAL CHOICE, NUT-RITION, OLD SMOKEHOUSE, OVEN READY, PILLOW PACK, PLANTERS, ROSA GRANDE, SADLER'S SMOKEHOUSE, SKIPPY, SPAM, SQUARE TABLE, SPECIAL RECIPE, VALLEY FRESH, and WHOLLY brands through sales personnel, independent brokers, and distributors. The company was formerly known as Geo. A. Hormel & Company and changed its name to Hormel Foods Corporation in January 1995. Hormel Foods Corporation was founded in 1891 and is headquartered in Austin, Minnesota.
HRL Deep Dive Analysis
Bottom Line
Verdict
OvervaluedBest for
General investorWatch out for
Premium valuation, Revenue contraction, Earnings declineNon-zero inputs
4/5Counts non-zero values for price, P/E, beta, macro risk, and revenue growth; zero may mean unavailable or be a genuine zero.
Hormel Foods Corporation (HRL) trades above our multi-model fair value estimate of $16.51 by approximately 16.4%. Trailing P/E: 31.8x. Profitability signals include profit margin of 2.8% and return on equity of 4.3%. Recent growth metrics show revenue growth of -2.4% and earnings growth of -67.2%. Risk profile: defensive beta of 0.32. Consensus: hold.
Valuation, Growth & Risk
Valuation
Overvalued
P/E 31.8x
Price is above what fundamentals suggest.
Growth
Stable
Rev -2.4%
Revenue is moving sideways.
Risk
Low
Beta 0.32
Movement is likely to track the broader market.
Valuation Snapshot
Hormel Foods Corporation (HRL) trades above our multi-model fair value estimate of $16.51 by approximately 16.4%. The trailing price-to-earnings ratio stands at 31.8x. Forward P/E of 12.7x suggests earnings compression ahead. Price-to-sales is 0.9x. Price-to-book is 1.4x. EV/EBITDA sits at 10.2x. Market capitalization is $10.86B.
Why it matters: Paying a premium works only if the company keeps growing faster than expected.
Growth & Profitability
Revenue is contracting at -2.4% on a trailing basis. Earnings are compressing at -67.2%. Profit margins are 2.8%. Return on equity is 4.3%. Return on assets is 4.6%.
Why it matters: Falling revenue can signal losing market share or industry headwinds.
Risk Profile
Beta of 0.32 indicates defensive profile. Net debt position is $1.99B.
Why it matters: Lower risk means steadier returns, but often with less upside in bull markets.
Analyst Context
Analyst consensus target of $26.13 implies 32.4% upside. Target range spans $23.00 to $30.00. 8 analysts cover the stock. Consensus recommendation: hold.
Why it matters: Analyst targets reflect what professionals expect over 12 months. A wide gap between price and target can mean the market disagrees with the consensus.
Data Methodology & Sources
Market Data (Facts)
- Price, volume, and market cap: Yahoo Finance (may be delayed)
- P/E, EPS, revenue, and debt: Yahoo Finance fundamentals
- Analyst estimates: Yahoo Finance (coverage and update times vary)
- Insider transactions: Yahoo Finance (reporting may be delayed)
QuantSoar Model (Derived)
- Fair value: available outputs from seven models; outliers are filtered using MAD (k=3.5), then combined with fixed model weights.
- Margin of Safety = (Fair Value − Displayed Price) / Displayed Price × 100
- Composite Score: 40% Value + 30% Momentum + 30% Risk
- Verdict Gauge: Base 50 + Valuation (up to ±25) + Whale sentiment (up to ±10) + Insider buying (+5) + Macro risk (up to ±10) + Technical signal (up to ±10). Analyst consensus is separate.
Model outputs are estimates based on available data and are not investment advice. Cross-check with primary sources before making investment decisions.
HRL Overvalued
Hormel Foods Corporation (HRL) trades above our multi-model fair value estimate of $16.51 by approximately 16.4%.
Frequently Asked Questions
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About the Author
Phasakorn Traklang (Peach) — Founder
Phasakorn Traklang (Peach) is the founder of QuantSoar, bringing expertise in SEO, web development, and technical analytics to build an AI-powered investment platform accessible to retail investors worldwide.
Connect on LinkedInInvestment Disclaimer: Tax treatment can depend on tax residence, account type, and tax year. This information is general and is not personal tax or investment advice. SEC
Data: Yahoo Finance / SEC EDGAR / Alpha Vantage / Finnhub. AI outputs verified against source data.