Hormel Meals (HRL) got here out with quarterly earnings of $0.32 per share, beating the Zacks Consensus Estimate of $0.3 per share. This compares to earnings of $0.42 per share a 12 months in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of +6.67%. 1 / 4 in the past, it was anticipated that this maker of Spam canned ham, Dinty Moore stew and different meals would submit earnings of $0.41 per share when it truly produced earnings of $0.35, delivering a shock of -14.63%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates simply as soon as.
Hormel, which belongs to the Zacks Meals – Meat Merchandise trade, posted revenues of $3.19 billion for the quarter ended October 2025, lacking the Zacks Consensus Estimate by 0.55%. This compares to year-ago revenues of $3.14 billion. The corporate has topped consensus income estimates two instances during the last 4 quarters.
The sustainability of the inventory’s speedy worth motion primarily based on the recently-released numbers and future earnings expectations will principally rely on administration’s commentary on the earnings name.
Hormel shares have misplaced about 25.8% because the starting of the 12 months versus the S&P 500’s acquire of 16.5%.
What’s Subsequent for Hormel?
Whereas Hormel has underperformed the market to date this 12 months, the query that involves traders’ minds is: what’s subsequent for the inventory?
There are not any straightforward solutions to this key query, however one dependable measure that may assist traders deal with that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but in addition how these expectations have modified recently.
Empirical analysis reveals a powerful correlation between near-term inventory actions and developments in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested score instrument just like the Zacks Rank, which has a powerful observe document of harnessing the ability of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions pattern for Hormel was unfavorable. Whereas the magnitude and path of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #4 (Promote) for the inventory. So, the shares are anticipated to underperform the market within the close to future. You may see the whole checklist of right now’s Zacks #1 Rank (Robust Purchase) shares right here.
It is going to be attention-grabbing to see how estimates for the approaching quarters and the present fiscal 12 months change within the days forward. The present consensus EPS estimate is $0.31 on $3.08 billion in revenues for the approaching quarter and $1.40 on $12.43 billion in revenues for the present fiscal 12 months.
Traders ought to be conscious of the truth that the outlook for the trade can have a fabric influence on the efficiency of the inventory as properly. By way of the Zacks Business Rank, Meals – Meat Merchandise is presently within the backside 34% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
One other inventory from the broader Zacks Shopper Staples sector, Campbell’s (CPB), has but to report outcomes for the quarter ended October 2025. The outcomes are anticipated to be launched on December 9.
This maker of canned soup, Pepperidge Farm cookies and V8 juice is anticipated to submit quarterly earnings of $0.73 per share in its upcoming report, which represents a year-over-year change of -18%. The consensus EPS estimate for the quarter has been revised 0.2% decrease during the last 30 days to the present stage.
Campbell’s’ revenues are anticipated to be $2.66 billion, down 4.1% from the year-ago quarter.
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