Hormel Foods Corporation [NYSE: HRL] shares went lower by -0.30% from its previous closing of $42.85, now trading at the price of $42.72, also adding -0.13 points. Is HRL stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 1.6 million contracts. Compared to the average trading volume of HRL shares, the company saw a far better performance. Moreover, the stock has a 274.66M float and a +1.16% run over in the last seven days. HRL share price has been hovering between $46.10 and $37.00 lately, and is definitely worthy of attention.
Hormel Foods Corporation [NYSE:HRL]: Analyst Rating and Earnings
Its stock price has been found in the range of 37.00 to 46.10. This is compared to its latest closing price of $42.85.
Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on Tue 26 Nov (In 5 Days).
Fundamental Analysis of Hormel Foods Corporation [HRL]
Now let’s turn to look at profitability: with a current Operating Margin for Hormel Foods Corporation [HRL] sitting at +12.15 and its Gross Margin at +20.93, this company’s Net Margin is now 10.30%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 20.31, and its Return on Invested Capital has reached 15.40%. Its Return on Equity is 19.21, and its Return on Assets is 12.94. These metrics all suggest that Hormel Foods Corpor
Turning to investigate this organization’s capital structure, Hormel Foods Corporation [HRL] has generated a Total Debt to Total Equity ratio of 11.16. Similarly, its Total Debt to Total Capital is 10.04, while its Total Debt to Total Assets stands at 7.49. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 43.76, and its Long-Term Debt to Total Capital is 11.16.
What about valuation? This company’s Enterprise Value to EBITDA is 17.25 and its Total Debt to EBITDA Value is 0.47. The Enterprise Value to Sales for this firm is now 2.39, and its Total Debt to Enterprise Value stands at 0.03. Hormel Foods Corporation [HRL] has a Price to Book Ratio of 3.93, a Price to Cash Flow Ratio of 18.03 and P/E Ratio of 23.64. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Hormel Foods Corporation [HRL] earns $474,910 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 15.33 and its Total Asset Turnover is 1.22. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.95 and its Current Ratio is 1.80. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Hormel Foods Corporation [HRL] has 532.08M shares outstanding, amounting to a total market cap of $22.73B. Its stock price has been found in the range of 37.00 to 46.10. At its current price, it has moved down by -7.33% from its 52-week high, and it has moved up 15.46% from its 52-week low.
This stock’s Beta value is currently 0.04, which indicates that it is 1.03% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 62.43. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Hormel Foods Corporation [HRL] a Reliable Buy?
Shares of Hormel Foods Corporation [HRL], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.