Do Wall Street Analysts Like Hormel Foods Stock?

Company Overview - Hormel Foods Corporation, based in Austin, Minnesota, is a leading manufacturer and marketer of various meat and food products, with a market cap of $12.4 billion [1] Stock Performance - Hormel Foods has significantly underperformed the broader market, with stock prices dropping 29% year-to-date and 26.7% over the past 52 weeks, while the S&P 500 Index gained 16.5% in 2025 and 14.5% over the past year [2] - The company's stock also underperformed the First Trust Nasdaq Food & Beverage ETF, which saw a 7.9% decline year-to-date and a 12.3% drop over the past year [3] Financial Results - Following the release of mixed Q3 results on August 28, Hormel Foods' stock prices fell 13.1% in a single trading session. The company reported a 4.6% year-over-year growth in net sales to $3 billion, exceeding expectations by 1.9% [4] - However, the adjusted EPS declined by 5% year-over-year to $0.35, missing consensus estimates by 14.6%, which caused investor concern [4] Earnings Forecast - For the full fiscal 2025, analysts expect Hormel Foods to deliver an adjusted EPS of $1.37, representing a 13.3% decline year-over-year. The company has a history of disappointing earnings surprises, meeting estimates only once in the past four quarters [5] - Among the 10 analysts covering the stock, the consensus rating is a "Hold," consisting of three "Strong Buys," six "Holds," and one "Strong Sell" [5] Analyst Sentiment - The current analyst sentiment has shifted slightly from three months ago, when there were two "Strong Buy" recommendations and no "Strong Sell" ratings [6]