
Hormel Foods (HRL) Stock Forecast & Price Target
Hormel Foods (HRL) Analyst Ratings
Bulls say
Hormel Foods has enhanced its product portfolio beyond traditional meat offerings to establish itself as a leading branded food company, significantly diversifying its revenue streams. In fiscal 2024, the firm is expected to generate 62% of its sales from U.S. retail and 32% from U.S. foodservice, indicating a strong market presence across multiple sales channels. Additionally, rising hog and cutout prices, with hog prices averaging $61.75/cwt. (up 6.5% year-over-year) and cutout values at $96.12/cwt. (up 2.8% year-over-year), suggest improved market conditions that may bolster profitability for the company.
Bears say
The EPS estimate for Hormel Foods has been revised down to $0.34 from $0.35, reflecting observed weaknesses in scanner data, which may indicate declining consumer demand. Additionally, market hog inventory is reported at 68.5 million head, showing a slight decrease of 0.2% year-over-year and 1.9% sequentially, suggesting potential supply constraints in the meat category. Farrowing intentions for the March-May period have also fallen below analyst expectations, indicating a possible long-term decline in production capacity which could further impact the company's earnings.
This aggregate rating is based on analysts' research of Hormel Foods and is not a guaranteed prediction by Public.com or investment advice.
Hormel Foods (HRL) Analyst Forecast & Price Prediction
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