Analysts Set Hormel Foods Co. (NYSE:HRL) Price Target at $31.29

Shares of Hormel Foods Co. (NYSE:HRL - Get Free Report) have earned a consensus recommendation of "Reduce" from the seven ratings firms that are presently covering the firm, MarketBeat reports. Two analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation and one has given a buy recommendation to the company. The average twelve-month target price among analysts that have issued a report on the stock in the last year is $31.29.

A number of brokerages recently commented on HRL. BNP Paribas began coverage on Hormel Foods in a research report on Monday, October 21st. They issued an "underperform" rating and a $28.00 target price for the company. Citigroup decreased their price objective on Hormel Foods from $36.00 to $35.00 and set a "buy" rating for the company in a report on Tuesday, November 19th. Finally, Stephens initiated coverage on Hormel Foods in a research report on Thursday, October 3rd. They set an "equal weight" rating and a $31.00 target price on the stock.

Hormel Foods Trading Down 1.8 %

Shares of Hormel Foods stock traded down $0.60 on Monday, hitting $32.34. 2,664,954 shares of the company's stock traded hands, compared to its average volume of 2,598,585. The company has a market capitalization of $17.76 billion, a price-to-earnings ratio of 22.15, a price-to-earnings-growth ratio of 3.14 and a beta of 0.26. The company has a fifty day moving average of $31.28 and a two-hundred day moving average of $31.40. The company has a debt-to-equity ratio of 0.36, a current ratio of 2.32 and a quick ratio of 1.19. Hormel Foods has a one year low of $28.51 and a one year high of $36.86.

Hormel Foods (NYSE:HRL - Get Free Report) last posted its quarterly earnings results on Wednesday, December 4th. The company reported $0.42 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.43 by ($0.01). Hormel Foods had a return on equity of 10.95% and a net margin of 6.75%. The business had revenue of $3.14 billion for the quarter, compared to the consensus estimate of $3.14 billion. During the same quarter in the previous year, the company posted $0.42 earnings per share. Hormel Foods's quarterly revenue was down 1.9% on a year-over-year basis. As a group, sell-side analysts expect that Hormel Foods will post 1.65 earnings per share for the current year.

Hormel Foods Increases Dividend

The business also recently declared 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. The ex-dividend date is Monday, January 13th. This represents a $1.16 annualized dividend and a yield of 3.59%. This is an increase from Hormel Foods's previous quarterly dividend of $0.28. Hormel Foods's dividend payout ratio is 79.45%.

Insider Activity at Hormel Foods

In other news, VP Steven J. Lykken sold 9,800 shares of the company's stock in a transaction that occurred on Friday, September 27th. The stock was sold at an average price of $31.91, for a total value of $312,718.00. Following the completion of the transaction, the vice president now directly owns 30,589 shares of the company's stock, valued at $976,094.99. This represents a 24.26 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, SVP Kevin L. Myers sold 10,000 shares of the business's stock in a transaction on Wednesday, September 18th. The stock was sold at an average price of $32.70, for a total value of $327,000.00. Following the completion of the transaction, the senior vice president now directly owns 39,050 shares in the company, valued at approximately $1,276,935. This represents a 20.39 % decrease in their position. The disclosure for this sale can be found here. 0.69% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Hormel Foods

Several institutional investors have recently added to or reduced their stakes in HRL. Wealth Enhancement Advisory Services LLC lifted its position in shares of Hormel Foods by 1.3% during the 2nd quarter. Wealth Enhancement Advisory Services LLC now owns 85,530 shares of the company's stock valued at $2,608,000 after buying an additional 1,072 shares during the last quarter. Nisa Investment Advisors LLC boosted its position in Hormel Foods by 6.4% during the second quarter. Nisa Investment Advisors LLC now owns 16,543 shares of the company's stock worth $504,000 after purchasing an additional 1,000 shares during the period. Fifth Third Bancorp increased its stake in shares of Hormel Foods by 0.7% in the second quarter. Fifth Third Bancorp now owns 131,615 shares of the company's stock worth $4,013,000 after purchasing an additional 976 shares in the last quarter. Atria Wealth Solutions Inc. raised its position in shares of Hormel Foods by 25.6% in the second quarter. Atria Wealth Solutions Inc. now owns 98,191 shares of the company's stock valued at $2,994,000 after purchasing an additional 19,984 shares during the period. Finally, GYL Financial Synergies LLC lifted its stake in shares of Hormel Foods by 5.6% during the 2nd quarter. GYL Financial Synergies LLC now owns 16,746 shares of the company's stock valued at $511,000 after buying an additional 888 shares in the last quarter. Institutional investors own 40.99% 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.