HRL
Hormel Foods
$24.11
▼ 0.2%Updated Today 7:15 PM ET
▼ Down 19.9% over the last 12 months
Market Cap
$13.30B
P/E
28.56x
Forward P/E (est.)
40.8x
ROE
5.9%
Revenue Growth
2.5%
EPS Growth
-37.7%
Profit Margin
3.8%
FCF Yield
8.6%
Debt / Equity
0.36x
ROIC
6.0%
Interest Coverage
9.79x
Current Ratio
1.94x
Dividend Yield
4.8%
Implied Growth (rev. DCF)
4.8%
Rating Score
39/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what HRL's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. HRL trades near $24.11, above its 50-day average ($21.78) and 200-day average ($23.26). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 63 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. HRL's is $0.53 (~2.2% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month HRL found buyers near $19.96 (support) and sellers near $25.00 (resistance); its 52-week range is $19.70–$31.86. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.4× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Hormel Foods (HRL) is a large-cap company in the Packaged Foods & Meats industry, part of the Consumer Staples sector of the S&P 500, with a market value around $13.30B.
In its latest reported year it generated about $12.11B in revenue and $478.20M in net profit.
Our model rates HRL Weak (39/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
1.5%
Revenue moved from $11.39B in 2021 to $12.11B in 2025, a 1.5% compound annual growth rate. The most recent year was roughly flat (2.5%) year over year. Slower, mature growth is common for established businesses.
Gross Margin
15.6%
Operating Margin
5.9%
Net Margin
4.0%
ROE
5.9%
Hormel Foods keeps about 3.8% of each sales dollar as net profit, with a 15.6% gross margin and 5.9% operating margin. Return on equity is 5.9% and return on invested capital about 6.0%. Thin margins leave less cushion if costs rise.
Total Debt
$2.86B
Net Debt
$2.03B
Net Debt / EBITDA
2.82x
Debt / Equity
0.36x
Leverage: debt-to-equity is 0.4x, and operating profit covers interest about 9.8x, with a current ratio of 1.9x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $2.86B of total debt against $826.75M of cash.
Operating CF
$845.25M
Free Cash Flow
$534.35M
FCF Margin
4.4%
In the latest year Hormel Foods produced about $845.25M of operating cash flow and $534.35M of free cash flow after capital spending. That is a free-cash-flow yield of about 8.6% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
P/E
28.56x
P/S
1.12x
P/B
1.62x
EV / EBITDA
15.36x
HRL trades at 28.6x trailing earnings (about 40.8x on estimated forward earnings), 1.1x sales, and 1.6x book value. Reverse-engineering today's price implies the market expects roughly 4.8% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How HRL stacks up against its Consumer Staples peers — valuation, profitability, and growth versus the sector median.
In the Consumer Staples sector (36 S&P 500 companies), HRL ranks #27 of 36 by our overall rating. It trades at a premium versus the sector on earnings (28.6x P/E vs. 22.5x median) with a lower return on equity (5.9% vs. 20.2%) and slower revenue growth (2.5% vs. 3.0%).
P/E vs sector
28.6x
median 22.5x
ROE vs sector
5.9%
median 20.2%
Growth vs sector
2.5%
median 3.0%
Sector rank
#27
of 36 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Consumer Staples companies by sub-industry and size. Sector median is across all 36 S&P 500 names in the sector. Educational, not a recommendation.
The case for HRL:
- Healthy free-cash-flow yield (~8.6%) funds buybacks and dividends.
- A conservative balance sheet (debt/equity 0.4x) lowers risk.
- Pays a 4.8% dividend on top of any price gains.
The case against HRL:
- Revenue growth is slow (2.5%), limiting the upside engine.
- Thin net margins (3.8%) leave little room for error.
- Our model's overall read is Weak (39/100).
Growth risk — sluggish revenue (2.5%) leaves little margin for execution missteps.
Margin risk — thin profitability (3.8%) is vulnerable to cost or pricing pressure.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen weakly: Hormel Foods is a large-cap consumer staples business growing at a mature pace, with modest profitability, and a sound balance sheet. It trades at 28.6x earnings, which our model scores Weak (39/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.