Hormel Foods Corporation has consistently delivered strong financial performance over the years, with a five-year average annual revenue growth rate of 4.5%.
The company's diversified portfolio of brands, including Spam, Skippy, and Jennie-O, contributes to its stability and growth.
Hormel's revenue has increased from $8.8 billion in 2016 to $11.4 billion in 2020, a growth of 29.5% over the four-year period.
The company's net earnings have also seen a steady rise, from $1.1 billion in 2016 to $1.4 billion in 2020, a growth of 27.3% over the same period.
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Financial Performance
Hormel Foods has a current share price of $31.45, which is a 1.26% decrease from its price just one month ago. This change is relatively small compared to the company's overall performance over the past year, which has seen a 2.88% increase.
The 52-week high for Hormel's stock price was $36.86, while the low was $28.51. This indicates that the stock has had its ups and downs, but has generally trended upwards over the past year.
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Hormel's beta is 0.26, which suggests that the company's stock is relatively stable and less volatile than the overall market. In fact, over the past 5 trading days, Hormel Foods has overperformed the S&P 500 by 6.37%, indicating its relative strength compared to the major market average is strong at this time.
Here's a summary of Hormel's key financial metrics:
Hormel Foods does have a share repurchase program in place, which can affect the share price and result in a higher earnings per share. The company has a long history, dating back to 1891 when it was founded by George A. Hormel in Austin, Minnesota.
Analyst Insights
Hormel Foods has received a consensus rating of Hold based on 1 Buy rating, 8 Hold ratings, and 0 Sell ratings.
The average estimate for Hormel Foods' earnings is 0.39, with 4 estimates from analysts.
The estimated upside from the consensus price target of $32.13 is 2.17% from the current price of $31.45.
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The lowest downside price target is $27.00, representing a 100% downside risk from the current price of $31.45.
The growth rate estimate (year over year) is -4.88%, indicating a decline in earnings compared to the prior year's 0.41.
Here's a summary of the analyst estimates:
Frequently Asked Questions
Who owns the majority of Hormel Foods?
The majority of Hormel Foods is owned by public companies and individual investors, making up approximately 65.20% of the company's stock. This group includes a diverse range of shareholders, from small investors to large financial institutions.
Did Hormel stock split?
Yes, Hormel Foods stock has undergone a total of 6 stock splits since its inception, with the most recent one occurring in 2016. To put this into perspective, one share bought before 1985 would be equivalent to 64 shares today.
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