Hormel Foods Corporation (NYSE:HRL) saw an upside of 0.03% to close Tuesday at $38.95 after adding $0.01 on the day. The 5-day average trading volume is 1,920,760 shares of the company’s common stock. It has gained $40.37 in the past week and touched a new high 1 time within the past 5 days. An average of 1,616,800 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 1,761,414.
HRL’s 1-month performance is -3.87% or -$1.19 on its low of $38.68 reached on 08/22/23. The company’s shares have touched a 52-week low of $37.78 and high of $51.69, with the stock’s rally to the 52-week high happening on 01/06/23. YTD, HRL has lost -14.49% or -$6.60 and has reached a new high 3 times. However, the current price is down -24.65% from the 52-week high price.
Insider Transactions
HRL stock investors last saw insider trading activity on Jun 13.Ourada Mark J (GROUP VICE PRESIDENT) most recently sold 9,200 shares at $41.00 per share on Jun 13. This transaction cost the insider $377,200. GROUP VICE PRESIDENT, Coffey Mark A, sold 31,400 shares at a price of $40.50 on Jun 08. Then, on Jun 08, SENIOR VICE PRESIDENT Myers Kevin L sold 5,200 shares at a price of $40.51 per share. This transaction amounted to $210,668.
Valuation Metrics
HRL stock has a beta of 0.19. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 1.74 while the price-to-book (PB) in the most recent quarter is 2.77, with the price to cash flow ratio at 29.30.
Hormel Foods Corporation’s quick ratio for the period ended April 29 was 1.10, with the current ratio over the same period at 2.40. As well, the company’s long term debt to equity for the quarter ending April 29 was 0.43, while the total debt to equity was 0.43.. In terms of profitability, the gross margin trailing 12 months is 16.80%. The trailing 12-month EBITDA margin is 12.14% while for the period ending April 29, Hormel Foods Corporation’s operating margin was 10.10%. The firm’s gross profit as reported stood at $2.16 billion against revenue of $12.46 billion.
Earnings Surprise
For the quarterly period ending April 29 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income grew 40.39% to $372.89 million, while revenue of $281.74 million was 24.44% off the previous quarter. Analysts expected HRL to announce $0.4 per share in earnings in its latest quarter, but it posted $0.4, representing a 0.00% surprise. EBITDA for the quarter stood at more than $383.45 million. HRL stock balance sheet for the quarter ending April 29 shows that total liabilities totaled 5.62 billion, with total debt at $3.3 billion. Shareholders hold equity totaling $546.27 million.
Let’s look briefly at Hormel Foods Corporation (HRL) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 22 August was 31.71% to suggest the stock is trending Neutral, with historical volatility in this time period at 17.23%.
The stock’s 5-day moving average is $39.33, reflecting a -3.21% or -$1.29 change from its current price. HRL is currently trading -4.16% above its 20-day SMA, -0.89% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by -4.70% and SMA200 by-15.89%.
Stochastic %K and %D was 7.16% and 5.36% and the average true range (ATR) pointed at 0.60. The RSI (14) points at 37.66%, while the 14-day stochastic is at 8.85% with the period’s ATR at 0.60. The stock’s 9-day MACD Oscillator is pointing at -0.96 and -1.16 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Hormel Foods Corporation (NYSE: HRL), Argus downgraded it to a Hold rating. They previously had a Buy rating on the stock. Analysts offering their rating for HRL stock have a consensus rating for the stock as Underweight. Currently, 2 brokerage advisors rate HRL as a “sell,”, while 7 advise that investors “Hold.” 2 analysts have rated the stock as underweight. 0 rates the stock as overweight while 0 have offered a “buy” rating.
What is HRL’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $34.00 and a high of $45.10, with their median price target at $42.00. Looking at these predictions, the average price target given by analysts is for Hormel Foods Corporation (HRL) stock is $41.26.
