Hormel Foods Stock Faces Mixed Earnings and Cautious Analyst Outlook
Despite its strong brand portfolio, Hormel Foods (HRL) has struggled in the stock market this year. The company's shares have fallen nearly 15% over the past year and are down almost 9.6% so far in 2026—significantly underperforming both the S&P 500 Index ($SPX), which is up about 19%, and its consumer-staples peers, such as those tracked by the XLP ETF. On August 27, Hormel's stock dropped nearly 10% after a mixed third-quarter report. Net sales fell to $2.96 billion—below expectations—and management cut full-year guidance due to weaker retail and international demand. While earnings per share (EPS) beat forecasts at $0.37, the company’s outlook for organic growth was reduced. Analysts remain cautious about Hormel's near-term prospects despite a history of beating EPS estimates in recent quarters. The stock carries an overall 'Hold' rating from 10 analysts covering it, with only two recommending a 'Strong Buy.' JPMorgan recently lowered its price target to $23 but still sees potential upside.
Topics: consumer_staples stock_performance wall_street_analysts