Hormel Foods Corporation (HRL) Stock Analysis
Recovery setup
Consumer Defensive · Packaged Foods
Sell if holding. Engine safety override at $24.55: Quality below floor (3.6 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.2/10. Specifically: Below-average business quality.
Hormel Foods is a global branded food company with more than $12 billion in annual revenue, operating through Retail, Foodservice, and International segments with brands including SPAM, Planters, Skippy, Jennie-O, and Applegate. McLane Company (distributor to Walmart,... Read more
Sell if holding. Engine safety override at $24.55: Quality below floor (3.6 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.2/10. Specifically: Below-average business quality. Chart setup: Death cross but MACD improving, RSI 85. Score 4.2/10, moderate confidence.
Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 73d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
About Hormel Foods Corporation
About Hormel Foods Corporation
Hormel Foods generated more than $12 billion in annual revenue in fiscal 2025; Walmart Inc. and its subsidiaries represented 15.6% of consolidated gross sales, and the top five customers collectively 38%. Three segments—Retail, Foodservice, and International—distribute Planters, SPAM, Jennie-O, and Skippy to grocery, club, foodservice, and international channels. Approximately 20,000 employees were on staff at October 26, 2025, with over 90% in the United States.
Hormel earns branded revenue primarily from pork and turkey products, with animal proteins remaining the core input. The company takes a balanced approach to pork sourcing—combining internal facility purchases at its Austin, Minnesota processing plant, long-term supply agreements, and spot market contracts—while raising the majority of its turkeys internally. Turkey production cost is subject to feed grain volatility; Highly Pathogenic Avian Influenza was detected in the turkey supply chain in both fiscal 2024 and fiscal 2025. Commodity hedges including futures, swaps, and options partially mitigate short-term price swings but cannot fully offset sustained market moves. The Retail and Foodservice segments face competition from other pork and turkey processors, national brands, private-label producers, and plant-based protein alternatives. Advertising and trade promotion support shelf placement across retail, club, drug, and e-commerce channels.
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Walmart's 15.6% share of consolidated gross sales in fiscal 2025—spanning both the Retail and International segments—makes it the company's most concentrated single commercial relationship. The top-five customer group at approximately 38% of gross sales means that a pricing or assortment dispute with any top customer could adversely affect that segment's results, per the 10-K. Separately, the fiscal 2025 impairment of the Planters trade name by $59.1 million and the Chi-Chi's trade name by $2.9 million signal brand-equity erosion in the snacks category, adding pricing-power risk to the existing customer concentration.
See also: Consumer Defensive · Packaged Foods
From Hormel Foods Corporation's most recent 10-K filing, extracted June 10, 2026.
Recent developments
updated 2026-06-15Recent Developments — Hormel Foods Corporation
Latest news
- NEWS B of A Securities Maintains Neutral on Hormel Foods, Raises Price Target to $25 — benzinga May 29, 2026 neutral
- NEWS Stephens & Co. Maintains Equal-Weight on Hormel Foods, Raises Price Target to $25 — benzinga May 29, 2026 positive
- NEWS Hormel Says Consumers Are Trading Into Affordable Protein And Convenience Foods — benzinga May 28, 2026 positive
- NEWS Hormel Foods Reports Q2 2026 Results: Full Earnings Call Transcript — benzinga May 28, 2026 positive
- NEWS Hormel Foods Lowers FY2026 GAAP EPS Guidance from $1.37-$1.46 to $1.28-$1.37 vs $1.47 Est — benzinga May 28, 2026 negative
Generated 2026-06-17T09:02:27Z.
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Rating Breakdown
4 floor-breakers
Revenue shrinking — -2.9% YoY. Growth thesis broken unless recovery story develops.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Quality below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
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Frequently Asked Questions
Sell if holding. Engine safety override at $24.55: Quality below floor (3.6 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.2/10. Specifically: Below-average business quality. Chart setup: Death cross but MACD improving, RSI 85. Prior stop was $23.16. Score 4.2/10, moderate confidence.
Take-profit target: $24.32 (-0.9% upside). Prior stop was $23.16. Stop-loss: $23.16.
Target reached (-6.1% upside); Quality below floor (3.6 < 4.0).
Hormel Foods Corporation trades at a P/E of 29.1 (forward 15.9). TrendMatrix value score: 5.9/10. Verdict: Sell.
15 analysts cover HRL with a consensus score of 3.5/5. Average price target: $27.
What does Hormel Foods Corporation do?Hormel Foods is a global branded food company with more than $12 billion in annual revenue, operating through Retail,...
Hormel Foods is a global branded food company with more than $12 billion in annual revenue, operating through Retail, Foodservice, and International segments with brands including SPAM, Planters, Skippy, Jennie-O, and Applegate. McLane Company (distributor to Walmart, convenience stores, drug stores) accounted for approximately 27% of consolidated net sales in fiscal 2025. The top five customers collectively represented approximately 38% of consolidated gross sales.