Hormel Foods (NYSE:HRL) Releases FY25 Earnings Guidance

Hormel Foods (NYSE:HRL) issued an update on its FY25 earnings guidance on Wednesday morning. The company provided earnings per share guidance of $1.58-1.72 for the period, compared to the consensus earnings per share estimate of $1.68. The company issued revenue guidance of $11.9-12.2 billion, compared to the consensus revenue estimate of $12.18 billion. Hormel Foods also updated its FY 2025 guidance to 1.580-1.720 EPS.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently issued reports on HRL shares. Stephens assumed coverage on Hormel Foods in a research report on Thursday, October 3rd. They issued an “equal weight” rating and a $31.00 price objective on the stock. Citigroup lowered their price target on Hormel Foods from $36.00 to $35.00 and set a “buy” rating on the stock in a report on Tuesday, November 19th. Finally, BNP Paribas assumed coverage on shares of Hormel Foods in a research report on Monday, October 21st. They issued an “underperform” rating and a $28.00 target price for the company. Two equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and one has given a buy rating to the stock. According to MarketBeat, Hormel Foods presently has an average rating of “Hold” and an average price target of $31.29.

Hormel Foods Price Performance

Shares of Hormel Foods stock opened at $30.77 on Wednesday. The company has a debt-to-equity ratio of 0.36, a quick ratio of 1.03 and a current ratio of 2.29. The stock has a market capitalization of $16.87 billion, a price-to-earnings ratio of 22.40, a price-to-earnings-growth ratio of 3.42 and a beta of 0.26. The company has a fifty day moving average of $31.03 and a 200-day moving average of $31.52. Hormel Foods has a 52-week low of $28.51 and a 52-week high of $36.86.

Hormel Foods (NYSE:HRL) last released its quarterly earnings data on Wednesday, December 4th. The company reported $0.42 EPS for the quarter, missing the consensus estimate of $0.43 by ($0.01). Hormel Foods had a return on equity of 11.03% and a net margin of 6.52%. The company had revenue of $3.14 billion during the quarter, compared to analysts’ expectations of $3.14 billion. During the same quarter in the prior year, the firm posted $0.42 EPS. The firm’s quarterly revenue was down 1.9% on a year-over-year basis. Equities research analysts expect that Hormel Foods will post 1.58 EPS for the current year.

Hormel Foods Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, February 18th. Investors of record on Monday, January 13th will be issued a dividend of $0.29 per share. This represents a $1.16 dividend on an annualized basis and a dividend yield of 3.77%. The ex-dividend date is Monday, January 13th. This is an increase from Hormel Foods’s previous quarterly dividend of $0.28. Hormel Foods’s dividend payout ratio is currently 79.58%.

Insider Buying and Selling

In related news, EVP Deanna T. Brady sold 51,600 shares of the stock in a transaction dated Friday, September 13th. The shares were sold at an average price of $31.95, for a total transaction of $1,648,620.00. Following the sale, the executive vice president now directly owns 72,421 shares of the company’s stock, valued at approximately $2,313,850.95. This represents a 41.61 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Kevin L. Myers sold 10,000 shares of Hormel Foods stock in a transaction dated Wednesday, September 18th. The stock was sold at an average price of $32.70, for a total transaction of $327,000.00. Following the completion of the transaction, the senior vice president now directly owns 39,050 shares of the company’s stock, valued at $1,276,935. This trade represents a 20.39 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 71,400 shares of company stock valued at $2,288,338 over the last ninety days. Company insiders own 0.69% of the company’s stock.

About Hormel Foods

Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and other food products to retail, foodservice, deli, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International segments. The company provides various perishable products that include fresh meats, frozen items, refrigerated meal solutions, sausages, hams, guacamoles, and bacons; and shelf-stable products comprising canned luncheon meats, nut butters, snack nuts, chili, shelf-stable microwaveable meals, hash, stews, tortillas, salsas, tortilla chips, nutritional food supplements, and others.