Strativest CapitalSTRATIVEST RESEARCH
Independent research · Est. October 2026
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Stock X-Ray · Consumer Staples · S&P 500 Full Coverage — Phase 1

Hormel Foods (HRL)

X-Ray dated Oct 28, 2026 · Share price as of Oct 28, 2026 intraday, when the valuation snapshot was captured · Financials from SEC filings (EDGAR) · Valuation multiples from a labelled secondary source
The verdict — valuation label: OVERVALUED

Forward P/E is 13.57x against a peer median of 12.45x, a ratio of 1.09x — inside the 0.90–1.15 fair range on the multiple alone — with trailing P/E 33.34x and PEG 2.39. Latest-quarter revenue fell 2.4% year over year (PRIMARY, EDGAR): growth at or below zero, far below the cluster median and with a PEG above 2, moves the label to OVERVALUED despite the near-median multiple. Delivered demand check: the packaged foods, meats & agriculture group's median growth was 5.8% year over year — demand steady across the group, while Hormel itself is shrinking.

13.6×
Forward P/E — price vs next year’s expected earnings (secondary source)
12.4×
Peer median forward P/E — closest comparable companies
33.3×
Trailing P/E — price vs the last twelve months of earnings
0.9×
Price / sales

What would change this label: Move to FAIRLY PRICED if revenue growth returns above 0% year over year for two quarters and the PEG falls below 2, at a forward P/E no higher than about 14.3x (1.15x the peer median). Move further from fair value if revenue keeps shrinking while the forward P/E rises above about 14.3x.

In simple words

Hormel sells branded meats and packaged foods. Its share price is close to what similar food companies cost, but its sales fell 2.4% and recent profits have been thin. Paying an average price for a shrinking business makes the shares look overvalued.

Words we use, in plain English: P/E ratio — the share price divided by earnings per share; how many dollars you pay for one dollar of yearly profit. Forward P/E — the same, using next year’s expected earnings. Free cash flow — cash a company has left after running the business and buying equipment. TTM — the last twelve months. Drawdown — the worst fall from a peak to the low after it.
The share price vs the market — six years
Hormel Foods (HRL)S&P 500 (SPY)
24771291822352021202220232024202520262020-09-012026-10-27

Both lines start at 100 on 2020-09-01. Over the full window Hormel Foods returned -58.83% and the S&P 500 +118.28% (price returns; dividends not reinvested). Worst peak-to-trough fall for Hormel Foods: -65.0% (2022-04-21 to 2026-10-09). Source: Nasdaq official daily history.

What the label rests on

Forward P/E is 13.57x against a peer median of 12.45x, a ratio of 1.09x — inside the 0.90–1.15 fair range on the multiple alone — with trailing P/E 33.34x and PEG 2.39. Latest-quarter revenue fell 2.4% year over year (PRIMARY, EDGAR): growth at or below zero, far below the cluster median and with a PEG above 2, moves the label to OVERVALUED despite the near-median multiple. Delivered demand check: the packaged foods, meats & agriculture group's median growth was 5.8% year over year — demand steady across the group, while Hormel itself is shrinking. The company’s forward P/E is 13.6× against a peer median of 12.4×. Its own history: UNVERIFIED — no sourced range available. Sector demand read: Delivered demand check: the packaged foods, meats & agriculture group's median latest-quarter revenue growth was 5.8% year over year (SEC filings) — demand steady. Hormel fell 2.4%, well behind that pace. Latest-quarter sales growth was -2.4% versus a year earlier (SEC filings).

CompanyPrice (Oct 28, 2026)Forward P/ETrailing P/E
Hormel Foods (HRL)$20.6813.6×33.3×
MKC$45.9814.9×8.3×
SJM$125.2412.4×58.3×
GIS$33.1610.7×—
BG$101.109.7×19.7×
TSN$55.6216.0×34.4×
Peer median12.4×

Multiples: stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026. Peer set chosen by sector; the median is the middle value of the set. The label and its numbers were recorded in the programme’s label registry on Oct 28, 2026 and will be scored at 6 and 12 months.

Sales, profit and cash

Sales each quarter, and the gross margin
SalesGross margin (right axis)
$0B$1B$3B$4B0%11%23%Oct 2020Oct 2021Oct 2022Oct 2023Oct 2024Oct 2025Jul 2026

Gross margin = gross profit divided by sales, from SEC filings.

Cash left over each quarter (free cash flow)
PositiveNegative
$-0B$0B$0BOct 2020Oct 2021Oct 2022Oct 2023Oct 2024Oct 2025Jul 2026

Free cash flow = cash from operations minus spending on plant and equipment, both from the company’s SEC cash-flow statement. Gaps are quarters where that spending line is not separately tagged in the filings — shown as gaps, never estimated.

QuarterSalesGross marginNet incomeEPS (GAAP, diluted)Free cash flow
Q/E Jul 2026
2026-07-26
$3.0B15.9%$60M0.11$172M
Q/E Apr 2026
2026-04-26
$3.0B17.4%$157M0.29$97M
Q/E Jan 2026
2026-01-25
$3.0B15.5%$182M0.33$280M
Q/E Oct 2025
2025-10-26
$3.2B14.0%$-56M—$231M
Q/E Jul 2025
2025-07-27
$3.0B16.1%$184M0.33$85M
Q/E Apr 2025
2025-04-27
$2.9B16.7%$180M0.33$-19M
Q/E Jan 2025
2025-01-26
$3.0B15.9%$171M0.31$237M
Q/E Oct 2024
2024-10-27
$3.1B16.6%$220M—$325M
Q/E Jul 2024
2024-07-28
$2.9B16.9%$177M0.32$153M
Q/E Apr 2024
2024-04-28
$2.9B17.4%$189M0.34$176M
Q/E Jan 2024
2024-01-28
$3.0B17.0%$219M0.40$357M
Q/E Oct 2023
2023-10-29
$3.2B16.1%$196M—$217M

The last twelve reported quarters. Full 24-quarter history sits in the data pack behind this page. A dash means the figure is not tagged as a standalone quarter in the company’s SEC facts (the usual case is the fourth quarter, which many companies only report inside the full-year filing) — it is missing, not zero.

Earnings: getting better or worse?

Each box is one quarter’s earnings per share (EPS). Green means EPS was higher than the same quarter a year earlier; red means lower; a dash means the figure is not tagged in the filings.

Oct 2022
—
Jan 2023
0.40
Apr 2023
0.40
Jul 2023
0.30
Oct 2023
—
Jan 2024
0.40
Apr 2024
0.34
Jul 2024
0.32
Oct 2024
—
Jan 2025
0.31
Apr 2025
0.33
Jul 2025
0.33
Oct 2025
—
Jan 2026
0.33
Apr 2026
0.29
Jul 2026
0.11

Basis: GAAP diluted EPS from SEC company facts, compared with the same quarter a year earlier.

Key facts

ItemValue
Company (legal name in filings)HORMEL FOODS CORP /DE/
Chief executiveJohn Ghingo (source: https://WWW.FEEDSTUFFS.COM/agribusiness-news/hormel-names-john-ghingo-next-ceo)
SectorConsumer Staples — Packaged Foods & Meats — sells branded meats and food products, from deli meats and bacon to pantry staples
Share price (Oct 28, 2026)$20.68
Market value (market cap)$11.5B — share price times shares outstanding of 551,074,000 (SEC filings; SEC EDGAR WeightedAverageNumberOfDilutedSharesOutstanding (latest quarter; dei EntityCommonStockSharesOutstanding series is stale for this filer))
Sales, last twelve months$12.1B
Net income, last twelve months$343M
Free cash flow, last twelve months$781M
Latest reported quarterQ/E Jul 2026 (of 24 quarters in the data pack)
Six-year price return vs S&P 500-58.83% vs +118.28%
Worst peak-to-trough fall-65.0% (2022-04-21 to 2026-10-09)

What we could not verify

  • TTM GAAP diluted EPS could not be summed from company facts because at least one of the last four quarters (typically Q4) has no standalone tagged EPS; trailing P/E is therefore taken from the labelled secondary source in valuation_label.md.
  • Own-history P/E range not yet compiled for this company in the Phase 1 batch run; the label rests on peer-median, growth and PEG evidence.
  • CEO took effect Oct 26, 2026: John Ghingo succeeded interim CEO Jeff Ettinger
  • Guidance record (each quarter scored against the guidance the company gave the quarter before) is not yet compiled for this company — it is a Phase 2 layer. The earnings strip below therefore uses reported EPS versus a year earlier, which is fully sourced from filings.

The IT factor — the most exciting thing the market is overlooking — is not assessed on an X-Ray page. It belongs to the Deep Dive (Phase 2), where it gets the evidence standard it needs. Leadership-era scoring (the six years split by chief executive) is likewise a Phase 2 layer; this page names the current chief executive only, from a sourced profile.

Sources

  • SEC EDGAR submissions — Filing index; company legal name. https://data.sec.gov/submissions/CIK0000048465.json
  • SEC EDGAR company facts — Quarterly financial spine: revenue, gross profit, net income, GAAP diluted EPS, operating cash flow, PP&E capex, buybacks, dividends, diluted shares. https://data.sec.gov/api/xbrl/companyfacts/CIK0000048465.json
  • Nasdaq official daily history — Daily closes for the company; SPY (assetclass=etf) saved as raw/nasdaq_spy_raw.json over identical dates. https://api.nasdaq.com/api/quote/HRL/historical?assetclass=stocks
  • Valuation multiples and peer figures — stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026; see valuation_label.md in the data pack.

Conventions: earliest-filed value per period, as first reported; cash-flow years-to-date differenced quarter by quarter; EPS never differenced; free cash flow = operating cash flow minus plant-and-equipment spending. This page is a dated snapshot — updates are new versions, never silent edits.

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