HORMEL FOODS CORP (1HRL.MI) Stock Fundamental Analysis

BIT:1HRL • US4404521001

20.76 EUR
+0.81 (+4.03%)
Last: Jan 28, 2026, 07:00 PM
Fundamental Rating

4

Overall 1HRL gets a fundamental rating of 4 out of 10. We evaluated 1HRL against 63 industry peers in the Food Products industry. Both the profitability and the financial health of 1HRL get a neutral evaluation. Nothing too spectacular is happening here. 1HRL is valued expensive and it does not seem to be growing.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year 1HRL was profitable.
  • 1HRL had a positive operating cash flow in the past year.
  • In the past 5 years 1HRL has always been profitable.
  • 1HRL had a positive operating cash flow in each of the past 5 years.
1HRL.MI Yearly Net Income VS EBIT VS OCF VS FCF1HRL.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

1.2 Ratios

  • The Return On Assets of 1HRL (3.57%) is comparable to the rest of the industry.
  • 1HRL has a Return On Equity (6.05%) which is comparable to the rest of the industry.
  • Looking at the Return On Invested Capital, with a value of 5.99%, 1HRL is in line with its industry, outperforming 56.72% of the companies in the same industry.
  • 1HRL had an Average Return On Invested Capital over the past 3 years of 6.47%. This is in line with the industry average of 7.30%.
Industry RankSector Rank
ROA 3.57%
ROE 6.05%
ROIC 5.99%
ROA(3y)5.15%
ROA(5y)6.03%
ROE(3y)8.79%
ROE(5y)10.54%
ROIC(3y)6.47%
ROIC(5y)6.94%
1HRL.MI Yearly ROA, ROE, ROIC1HRL.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • Looking at the Profit Margin, with a value of 3.95%, 1HRL is in line with its industry, outperforming 56.72% of the companies in the same industry.
  • In the last couple of years the Profit Margin of 1HRL has declined.
  • 1HRL has a Operating Margin (7.94%) which is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of 1HRL has declined.
  • 1HRL's Gross Margin of 15.70% is on the low side compared to the rest of the industry. 1HRL is outperformed by 82.09% of its industry peers.
  • 1HRL's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 7.94%
PM (TTM) 3.95%
GM 15.7%
OM growth 3Y-8.39%
OM growth 5Y-6.45%
PM growth 3Y-21.05%
PM growth 5Y-16.01%
GM growth 3Y-3.32%
GM growth 5Y-3.74%
1HRL.MI Yearly Profit, Operating, Gross Margins1HRL.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

6

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1HRL is destroying value.
  • 1HRL has more shares outstanding than it did 1 year ago.
  • 1HRL has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for 1HRL is higher compared to a year ago.
1HRL.MI Yearly Shares Outstanding1HRL.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M 500M
1HRL.MI Yearly Total Debt VS Total Assets1HRL.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • An Altman-Z score of 3.58 indicates that 1HRL is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 3.58, 1HRL is doing good in the industry, outperforming 76.12% of the companies in the same industry.
  • 1HRL has a debt to FCF ratio of 5.35. This is a neutral value as 1HRL would need 5.35 years to pay back of all of its debts.
  • 1HRL's Debt to FCF ratio of 5.35 is fine compared to the rest of the industry. 1HRL outperforms 68.66% of its industry peers.
  • A Debt/Equity ratio of 0.36 indicates that 1HRL is not too dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.36, 1HRL is in the better half of the industry, outperforming 71.64% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.36
Debt/FCF 5.35
Altman-Z 3.58
ROIC/WACC0.8
WACC7.48%
1HRL.MI Yearly LT Debt VS Equity VS FCF1HRL.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 2.47 indicates that 1HRL has no problem at all paying its short term obligations.
  • With an excellent Current ratio value of 2.47, 1HRL belongs to the best of the industry, outperforming 80.60% of the companies in the same industry.
  • 1HRL has a Quick Ratio of 1.20. This is a normal value and indicates that 1HRL is financially healthy and should not expect problems in meeting its short term obligations.
  • With a decent Quick ratio value of 1.20, 1HRL is doing good in the industry, outperforming 71.64% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.47
Quick Ratio 1.2
1HRL.MI Yearly Current Assets VS Current Liabilites1HRL.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

3

3. Growth

3.1 Past

  • 1HRL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.29%.
  • 1HRL shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.88% yearly.
  • Looking at the last year, 1HRL shows a small growth in Revenue. The Revenue has grown by 1.55% in the last year.
  • The Revenue has been growing slightly by 4.73% on average over the past years.
EPS 1Y (TTM)-13.29%
EPS 3Y-9.2%
EPS 5Y-3.88%
EPS Q2Q%-23.81%
Revenue 1Y (TTM)1.55%
Revenue growth 3Y-0.95%
Revenue growth 5Y4.73%
Sales Q2Q%1.52%

3.2 Future

  • 1HRL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.70% yearly.
  • 1HRL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.92% yearly.
EPS Next Y8%
EPS Next 2Y7.65%
EPS Next 3Y7.25%
EPS Next 5Y5.7%
Revenue Next Year1.96%
Revenue Next 2Y2.11%
Revenue Next 3Y2.03%
Revenue Next 5Y1.92%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
1HRL.MI Yearly Revenue VS Estimates1HRL.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B 10B
1HRL.MI Yearly EPS VS Estimates1HRL.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0.5 1 1.5

3

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 17.90, which indicates a rather expensive current valuation of 1HRL.
  • 1HRL's Price/Earnings is on the same level as the industry average.
  • 1HRL is valuated rather cheaply when we compare the Price/Earnings ratio to 26.68, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 16.55, which indicates a correct valuation of 1HRL.
  • 1HRL's Price/Forward Earnings ratio is in line with the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 28.06. 1HRL is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 17.9
Fwd PE 16.55
1HRL.MI Price Earnings VS Forward Price Earnings1HRL.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1HRL is on the same level as its industry peers.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1HRL is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 25.2
EV/EBITDA 12.73
1HRL.MI Per share data1HRL.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1HRL does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.24
PEG (5Y)N/A
EPS Next 2Y7.65%
EPS Next 3Y7.25%

6

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 4.66%, 1HRL is a good candidate for dividend investing.
  • 1HRL's Dividend Yield is rather good when compared to the industry average which is at 2.42. 1HRL pays more dividend than 82.09% of the companies in the same industry.
  • 1HRL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.84.
Industry RankSector Rank
Dividend Yield 4.66%

5.2 History

  • The dividend of 1HRL has a limited annual growth rate of 4.90%.
Dividend Growth(5Y)4.9%
Div Incr YearsN/A
Div Non Decr YearsN/A

5.3 Sustainability

  • 132.41% of the earnings are spent on dividend by 1HRL. This is not a sustainable payout ratio.
  • 1HRL's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP132.41%
EPS Next 2Y7.65%
EPS Next 3Y7.25%
1HRL.MI Yearly Income VS Free CF VS Dividend1HRL.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
1HRL.MI Dividend Payout.1HRL.MI Dividend Payout, showing the Payout Ratio.1HRL.MI Dividend Payout.PayoutRetained Earnings

HORMEL FOODS CORP

BIT:1HRL (1/28/2026, 7:00:00 PM)

20.76

+0.81 (+4.03%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)12-04
Earnings (Next)02-26
Inst Owners91.37%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap11.42B
Revenue(TTM)12.11B
Net Income(TTM)478.20M
Analysts70.67
Price Target24.06 (15.9%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 4.66%
Yearly Dividend0.98
Dividend Growth(5Y)4.9%
DP132.41%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.19%
Min EPS beat(2)-15.34%
Max EPS beat(2)4.95%
EPS beat(4)2
Avg EPS beat(4)-4.26%
Min EPS beat(4)-15.34%
Max EPS beat(4)4.95%
EPS beat(8)5
Avg EPS beat(8)1.16%
EPS beat(12)6
Avg EPS beat(12)-1.1%
EPS beat(16)8
Avg EPS beat(16)-0.87%
Revenue beat(2)1
Avg Revenue beat(2)-0.76%
Min Revenue beat(2)-2.28%
Max Revenue beat(2)0.76%
Revenue beat(4)2
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-2.28%
Max Revenue beat(4)0.8%
Revenue beat(8)3
Avg Revenue beat(8)-0.95%
Revenue beat(12)3
Avg Revenue beat(12)-1.83%
Revenue beat(16)5
Avg Revenue beat(16)-1.37%
PT rev (1m)-0.35%
PT rev (3m)-6.81%
EPS NQ rev (1m)-0.12%
EPS NQ rev (3m)-8.22%
EPS NY rev (1m)0.84%
EPS NY rev (3m)-5.52%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)-0.66%
Valuation
Industry RankSector Rank
PE 17.9
Fwd PE 16.55
P/S 1.11
P/FCF 25.2
P/OCF 15.93
P/B 1.7
P/tB 10.13
EV/EBITDA 12.73
EPS(TTM)1.16
EY5.59%
EPS(NY)1.25
Fwd EY6.04%
FCF(TTM)0.82
FCFY3.97%
OCF(TTM)1.3
OCFY6.28%
SpS18.66
BVpS12.18
TBVpS2.05
PEG (NY)2.24
PEG (5Y)N/A
Graham Number17.83
Profitability
Industry RankSector Rank
ROA 3.57%
ROE 6.05%
ROCE 8%
ROIC 5.99%
ROICexc 6.36%
ROICexgc 15.18%
OM 7.94%
PM (TTM) 3.95%
GM 15.7%
FCFM 4.41%
ROA(3y)5.15%
ROA(5y)6.03%
ROE(3y)8.79%
ROE(5y)10.54%
ROIC(3y)6.47%
ROIC(5y)6.94%
ROICexc(3y)6.91%
ROICexc(5y)7.44%
ROICexgc(3y)17.7%
ROICexgc(5y)19.44%
ROCE(3y)8.65%
ROCE(5y)9.27%
ROICexgc growth 3Y-13.48%
ROICexgc growth 5Y-10.67%
ROICexc growth 3Y-10.55%
ROICexc growth 5Y-11.83%
OM growth 3Y-8.39%
OM growth 5Y-6.45%
PM growth 3Y-21.05%
PM growth 5Y-16.01%
GM growth 3Y-3.32%
GM growth 5Y-3.74%
F-Score5
Asset Turnover0.9
Health
Industry RankSector Rank
Debt/Equity 0.36
Debt/FCF 5.35
Debt/EBITDA 2.33
Cap/Depr 117.81%
Cap/Sales 2.57%
Interest Coverage 12.88
Cash Conversion 69.03%
Profit Quality 111.74%
Current Ratio 2.47
Quick Ratio 1.2
Altman-Z 3.58
F-Score5
WACC7.48%
ROIC/WACC0.8
Cap/Depr(3y)107.99%
Cap/Depr(5y)106.38%
Cap/Sales(3y)2.32%
Cap/Sales(5y)2.25%
Profit Quality(3y)111.74%
Profit Quality(5y)101.1%
High Growth Momentum
Growth
EPS 1Y (TTM)-13.29%
EPS 3Y-9.2%
EPS 5Y-3.88%
EPS Q2Q%-23.81%
EPS Next Y8%
EPS Next 2Y7.65%
EPS Next 3Y7.25%
EPS Next 5Y5.7%
Revenue 1Y (TTM)1.55%
Revenue growth 3Y-0.95%
Revenue growth 5Y4.73%
Sales Q2Q%1.52%
Revenue Next Year1.96%
Revenue Next 2Y2.11%
Revenue Next 3Y2.03%
Revenue Next 5Y1.92%
EBIT growth 1Y-5.53%
EBIT growth 3Y-9.26%
EBIT growth 5Y-2.02%
EBIT Next Year36.09%
EBIT Next 3Y12.4%
EBIT Next 5YN/A
FCF growth 1Y-47.11%
FCF growth 3Y-14.54%
FCF growth 5Y-6.82%
OCF growth 1Y-33.27%
OCF growth 3Y-9.36%
OCF growth 5Y-5.61%

HORMEL FOODS CORP / 1HRL.MI FAQ

What is the ChartMill fundamental rating of HORMEL FOODS CORP (1HRL.MI) stock?

ChartMill assigns a fundamental rating of 4 / 10 to 1HRL.MI.


Can you provide the valuation status for HORMEL FOODS CORP?

ChartMill assigns a valuation rating of 3 / 10 to HORMEL FOODS CORP (1HRL.MI). This can be considered as Overvalued.


What is the profitability of 1HRL stock?

HORMEL FOODS CORP (1HRL.MI) has a profitability rating of 4 / 10.


What is the expected EPS growth for HORMEL FOODS CORP (1HRL.MI) stock?

The Earnings per Share (EPS) of HORMEL FOODS CORP (1HRL.MI) is expected to grow by 8% in the next year.


Is the dividend of HORMEL FOODS CORP sustainable?

The dividend rating of HORMEL FOODS CORP (1HRL.MI) is 7 / 10 and the dividend payout ratio is 132.41%.