HORMEL FOODS CORP (HRL) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:HRL • US4404521001

23.95 USD
-0.35 (-1.44%)
At close: Feb 11, 2026
23.8839 USD
-0.07 (-0.28%)
After Hours: 2/11/2026, 5:40:16 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

HRL gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 88 industry peers in the Food Products industry. HRL has only an average score on both its financial health and profitability. HRL does not seem to be growing, but still is valued expensively. Finally HRL also has an excellent dividend rating. These ratings would make HRL suitable for dividend investing!


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • In the past year HRL was profitable.
  • HRL had a positive operating cash flow in the past year.
  • Each year in the past 5 years HRL has been profitable.
  • Each year in the past 5 years HRL had a positive operating cash flow.
HRL Yearly Net Income VS EBIT VS OCF VS FCFHRL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

1.2 Ratios

  • With a decent Return On Assets value of 3.57%, HRL is doing good in the industry, outperforming 65.91% of the companies in the same industry.
  • HRL has a Return On Equity of 6.05%. This is in the better half of the industry: HRL outperforms 62.50% of its industry peers.
  • HRL has a Return On Invested Capital of 5.99%. This is in the better half of the industry: HRL outperforms 67.05% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for HRL is significantly below the industry average of 27.75%.
Industry RankSector Rank
ROA 3.57%
ROE 6.05%
ROIC 5.99%
ROA(3y)5.15%
ROA(5y)6.03%
ROE(3y)8.79%
ROE(5y)10.54%
ROIC(3y)6.47%
ROIC(5y)6.94%
HRL Yearly ROA, ROE, ROICHRL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • HRL has a better Profit Margin (3.95%) than 70.45% of its industry peers.
  • HRL's Profit Margin has declined in the last couple of years.
  • The Operating Margin of HRL (7.94%) is better than 71.59% of its industry peers.
  • HRL's Operating Margin has declined in the last couple of years.
  • The Gross Margin of HRL (15.70%) is comparable to the rest of the industry.
  • In the last couple of years the Gross Margin of HRL has declined.
Industry RankSector Rank
OM 7.94%
PM (TTM) 3.95%
GM 15.7%
OM growth 3Y-8.39%
OM growth 5Y-6.45%
PM growth 3Y-21.05%
PM growth 5Y-16.01%
GM growth 3Y-3.32%
GM growth 5Y-3.74%
HRL Yearly Profit, Operating, Gross MarginsHRL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HRL is destroying value.
  • The number of shares outstanding for HRL has been increased compared to 1 year ago.
  • Compared to 5 years ago, HRL has more shares outstanding
  • Compared to 1 year ago, HRL has a worse debt to assets ratio.
HRL Yearly Shares OutstandingHRL Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M 500M
HRL Yearly Total Debt VS Total AssetsHRL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • An Altman-Z score of 3.57 indicates that HRL is not in any danger for bankruptcy at the moment.
  • HRL has a Altman-Z score of 3.57. This is in the better half of the industry: HRL outperforms 75.00% of its industry peers.
  • HRL has a debt to FCF ratio of 5.35. This is a neutral value as HRL would need 5.35 years to pay back of all of its debts.
  • HRL's Debt to FCF ratio of 5.35 is fine compared to the rest of the industry. HRL outperforms 76.14% of its industry peers.
  • HRL has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
  • HRL has a Debt to Equity ratio (0.36) which is in line with its industry peers.
Industry RankSector Rank
Debt/Equity 0.36
Debt/FCF 5.35
Altman-Z 3.57
ROIC/WACC0.79
WACC7.58%
HRL Yearly LT Debt VS Equity VS FCFHRL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.3 Liquidity

  • HRL has a Current Ratio of 2.47. This indicates that HRL is financially healthy and has no problem in meeting its short term obligations.
  • HRL's Current ratio of 2.47 is fine compared to the rest of the industry. HRL outperforms 70.45% of its industry peers.
  • A Quick Ratio of 1.20 indicates that HRL should not have too much problems paying its short term obligations.
  • The Quick ratio of HRL (1.20) is better than 68.18% of its industry peers.
Industry RankSector Rank
Current Ratio 2.47
Quick Ratio 1.2
HRL Yearly Current Assets VS Current LiabilitesHRL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • HRL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.29%.
  • Measured over the past years, HRL shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.88% on average per year.
  • The Revenue has been growing slightly by 1.55% in the past year.
  • HRL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.73% yearly.
EPS 1Y (TTM)-13.29%
EPS 3Y-9.2%
EPS 5Y-3.88%
EPS Q2Q%-23.81%
Revenue 1Y (TTM)1.55%
Revenue growth 3Y-0.95%
Revenue growth 5Y4.73%
Sales Q2Q%1.52%

3.2 Future

  • The Earnings Per Share is expected to grow by 5.70% on average over the next years.
  • Based on estimates for the next years, HRL will show a small growth in Revenue. The Revenue will grow by 1.92% on average per year.
EPS Next Y8%
EPS Next 2Y7.65%
EPS Next 3Y7.25%
EPS Next 5Y5.7%
Revenue Next Year1.96%
Revenue Next 2Y2.11%
Revenue Next 3Y2.03%
Revenue Next 5Y1.92%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
HRL Yearly Revenue VS EstimatesHRL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B 10B
HRL Yearly EPS VS EstimatesHRL Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0.5 1 1.5

More info and screens

Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 17.48, HRL is valued on the expensive side.
  • 61.36% of the companies in the same industry are more expensive than HRL, based on the Price/Earnings ratio.
  • HRL is valuated rather cheaply when we compare the Price/Earnings ratio to 28.03, which is the current average of the S&P500 Index.
  • HRL is valuated correctly with a Price/Forward Earnings ratio of 16.19.
  • HRL's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HRL is cheaper than 67.05% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of HRL to the average of the S&P500 Index (27.97), we can say HRL is valued slightly cheaper.
Industry RankSector Rank
PE 17.48
Fwd PE 16.19
HRL Price Earnings VS Forward Price EarningsHRL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • HRL's Enterprise Value to EBITDA is on the same level as the industry average.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of HRL is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 24.65
EV/EBITDA 12.65
HRL Per share dataHRL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.19
PEG (5Y)N/A
EPS Next 2Y7.65%
EPS Next 3Y7.25%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 4.66%, HRL is a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 2.22, HRL pays a better dividend. On top of this HRL pays more dividend than 84.09% of the companies listed in the same industry.
  • HRL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
Industry RankSector Rank
Dividend Yield 4.66%

5.2 History

  • The dividend of HRL has a limited annual growth rate of 4.90%.
  • HRL has been paying a dividend for at least 10 years, so it has a reliable track record.
  • HRL has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.9%
Div Incr Years34
Div Non Decr Years34
HRL Yearly Dividends per shareHRL Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8 1

5.3 Sustainability

  • HRL pays out 132.41% of its income as dividend. This is not a sustainable payout ratio.
  • The dividend of HRL is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP132.41%
EPS Next 2Y7.65%
EPS Next 3Y7.25%
HRL Yearly Income VS Free CF VS DividendHRL Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
HRL Dividend Payout.HRL Dividend Payout, showing the Payout Ratio.HRL Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

HORMEL FOODS CORP

NYSE:HRL (2/11/2026, 5:40:16 PM)

After market: 23.8839 -0.07 (-0.28%)

23.95

-0.35 (-1.44%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)12-04
Earnings (Next)02-26
Inst Owners91.37%
Inst Owner Change-1.65%
Ins Owners0.15%
Ins Owner Change0.07%
Market Cap13.17B
Revenue(TTM)12.11B
Net Income(TTM)478.20M
Analysts70.67
Price Target28.46 (18.83%)
Short Float %6.79%
Short Ratio3.87
Dividend
Industry RankSector Rank
Dividend Yield 4.66%
Yearly Dividend1.15
Dividend Growth(5Y)4.9%
DP132.41%
Div Incr Years34
Div Non Decr Years34
Ex-Date01-12
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.19%
Min EPS beat(2)-15.34%
Max EPS beat(2)4.95%
EPS beat(4)2
Avg EPS beat(4)-4.26%
Min EPS beat(4)-15.34%
Max EPS beat(4)4.95%
EPS beat(8)5
Avg EPS beat(8)1.16%
EPS beat(12)6
Avg EPS beat(12)-1.1%
EPS beat(16)8
Avg EPS beat(16)-0.87%
Revenue beat(2)1
Avg Revenue beat(2)-0.76%
Min Revenue beat(2)-2.28%
Max Revenue beat(2)0.76%
Revenue beat(4)2
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-2.28%
Max Revenue beat(4)0.8%
Revenue beat(8)3
Avg Revenue beat(8)-0.95%
Revenue beat(12)3
Avg Revenue beat(12)-1.83%
Revenue beat(16)5
Avg Revenue beat(16)-1.37%
PT rev (1m)-0.92%
PT rev (3m)-4.79%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.25%
EPS NY rev (1m)-0.13%
EPS NY rev (3m)-1.35%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-0.45%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.38%
Valuation
Industry RankSector Rank
PE 17.48
Fwd PE 16.19
P/S 1.09
P/FCF 24.65
P/OCF 15.58
P/B 1.67
P/tB 9.91
EV/EBITDA 12.65
EPS(TTM)1.37
EY5.72%
EPS(NY)1.48
Fwd EY6.18%
FCF(TTM)0.97
FCFY4.06%
OCF(TTM)1.54
OCFY6.42%
SpS22.01
BVpS14.37
TBVpS2.42
PEG (NY)2.19
PEG (5Y)N/A
Graham Number21.04
Profitability
Industry RankSector Rank
ROA 3.57%
ROE 6.05%
ROCE 8%
ROIC 5.99%
ROICexc 6.36%
ROICexgc 15.18%
OM 7.94%
PM (TTM) 3.95%
GM 15.7%
FCFM 4.41%
ROA(3y)5.15%
ROA(5y)6.03%
ROE(3y)8.79%
ROE(5y)10.54%
ROIC(3y)6.47%
ROIC(5y)6.94%
ROICexc(3y)6.91%
ROICexc(5y)7.44%
ROICexgc(3y)17.7%
ROICexgc(5y)19.44%
ROCE(3y)8.65%
ROCE(5y)9.27%
ROICexgc growth 3Y-13.48%
ROICexgc growth 5Y-10.67%
ROICexc growth 3Y-10.55%
ROICexc growth 5Y-11.83%
OM growth 3Y-8.39%
OM growth 5Y-6.45%
PM growth 3Y-21.05%
PM growth 5Y-16.01%
GM growth 3Y-3.32%
GM growth 5Y-3.74%
F-Score5
Asset Turnover0.9
Health
Industry RankSector Rank
Debt/Equity 0.36
Debt/FCF 5.35
Debt/EBITDA 2.33
Cap/Depr 117.81%
Cap/Sales 2.57%
Interest Coverage 12.88
Cash Conversion 69.03%
Profit Quality 111.74%
Current Ratio 2.47
Quick Ratio 1.2
Altman-Z 3.57
F-Score5
WACC7.58%
ROIC/WACC0.79
Cap/Depr(3y)107.99%
Cap/Depr(5y)106.38%
Cap/Sales(3y)2.32%
Cap/Sales(5y)2.25%
Profit Quality(3y)111.74%
Profit Quality(5y)101.1%
High Growth Momentum
Growth
EPS 1Y (TTM)-13.29%
EPS 3Y-9.2%
EPS 5Y-3.88%
EPS Q2Q%-23.81%
EPS Next Y8%
EPS Next 2Y7.65%
EPS Next 3Y7.25%
EPS Next 5Y5.7%
Revenue 1Y (TTM)1.55%
Revenue growth 3Y-0.95%
Revenue growth 5Y4.73%
Sales Q2Q%1.52%
Revenue Next Year1.96%
Revenue Next 2Y2.11%
Revenue Next 3Y2.03%
Revenue Next 5Y1.92%
EBIT growth 1Y-5.53%
EBIT growth 3Y-9.26%
EBIT growth 5Y-2.02%
EBIT Next Year36.09%
EBIT Next 3Y12.4%
EBIT Next 5Y14.86%
FCF growth 1Y-47.11%
FCF growth 3Y-14.54%
FCF growth 5Y-6.82%
OCF growth 1Y-33.27%
OCF growth 3Y-9.36%
OCF growth 5Y-5.61%

HORMEL FOODS CORP / HRL FAQ

What is the fundamental rating for HRL stock?

ChartMill assigns a fundamental rating of 4 / 10 to HRL.


What is the valuation status for HRL stock?

ChartMill assigns a valuation rating of 3 / 10 to HORMEL FOODS CORP (HRL). This can be considered as Overvalued.


What is the profitability of HRL stock?

HORMEL FOODS CORP (HRL) has a profitability rating of 5 / 10.


What is the earnings growth outlook for HORMEL FOODS CORP?

The Earnings per Share (EPS) of HORMEL FOODS CORP (HRL) is expected to grow by 8% in the next year.


Can you provide the dividend sustainability for HRL stock?

The dividend rating of HORMEL FOODS CORP (HRL) is 7 / 10 and the dividend payout ratio is 132.41%.