Hormel Foods Corp. (NYSE: HRL) has a price-to-earnings ratio of 24.54x that is above its average ratio. Additionally, the 36-month beta value for HRL is 0.28. There are mixed opinions on the stock, with 1 analysts rating it as a “buy,” 1 rating it as “overweight,” 8 rating it as “hold,” and 1 rating it as “sell.”
The public float for HRL is 289.78M and currently, short sellers hold a 3.51% ratio of that float. The average trading volume of HRL on May 01, 2024 was 3.17M shares.
HRL) stock’s latest price update
The stock price of Hormel Foods Corp. (NYSE: HRL) has surged by 0.40 when compared to previous closing price of 35.42, but the company has seen a 1.20% gain in its stock price over the last five trading sessions. Seeking Alpha reported 2024-04-30 that Hormel Foods, a dividend king, continues to raise its dividend despite recent profitability struggles. Despite its slow growth in recent years, Hormel’s balance sheet is in a better position than many other food giants. Hormel’s expenses have been rising faster than revenue, impacting margins and profitability over the last decade.
HRL’s Market Performance
HRL’s stock has risen by 1.20% in the past week, with a monthly rise of 1.66% and a quarterly rise of 15.91%. The volatility ratio for the week is 1.77% while the volatility levels for the last 30 days are 1.64% for Hormel Foods Corp. The simple moving average for the past 20 days is 2.08% for HRL’s stock, with a 3.09% simple moving average for the past 200 days.
Analysts’ Opinion of HRL
Many brokerage firms have already submitted their reports for HRL stocks, with Citigroup repeating the rating for HRL by listing it as a “Neutral.” The predicted price for HRL in the upcoming period, according to Citigroup is $31 based on the research report published on February 01, 2024 of the current year 2024.
JP Morgan gave a rating of “Underweight” to HRL, setting the target price at $38 in the report published on March 03rd of the previous year.
HRL Trading at 5.05% from the 50-Day Moving Average
After a stumble in the market that brought HRL to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -14.79% of loss for the given period.
Volatility was left at 1.64%, however, over the last 30 days, the volatility rate increased by 1.77%, as shares surge +0.91% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +22.66% upper at present.
During the last 5 trading sessions, HRL rose by +1.20%, which changed the moving average for the period of 200-days by -11.39% in comparison to the 20-day moving average, which settled at $34.85. In addition, Hormel Foods Corp. saw 10.74% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at HRL starting from Ourada Mark J, who sale 13,800 shares at the price of $35.50 back on Apr 02 ’24. After this action, Ourada Mark J now owns 28,050 shares of Hormel Foods Corp., valued at $489,900 using the latest closing price.
Murano Elsa A, the Director of Hormel Foods Corp., sale 4,300 shares at $35.13 during a trade that took place back on Apr 02 ’24, which means that Murano Elsa A is holding 94,583 shares at $151,068 based on the most recent closing price.
Stock Fundamentals for HRL
Current profitability levels for the company are sitting at:
- 0.09 for the present operating margin
- 0.17 for the gross margin
The net margin for Hormel Foods Corp. stands at 0.07. The total capital return value is set at 0.1. Equity return is now at value 10.28, with 5.93 for asset returns.
Based on Hormel Foods Corp. (HRL), the company’s capital structure generated 0.3 points at debt to capital in total, while cash flow to debt ratio is standing at 0.38. The debt to equity ratio resting at 0.42. The interest coverage ratio of the stock is 13.47.
Currently, EBITDA for the company is 1.37 billion with net debt to EBITDA at 1.69. When we switch over and look at the enterprise to sales, we see a ratio of 1.8. The receivables turnover for the company is 16.16for trailing twelve months and the total asset turnover is 0.9. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.49.
Conclusion
In conclusion, Hormel Foods Corp. (HRL) has seen better performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
