Hormel Foods stock falls after cutting 2026 guidance and missing revenue

Hormel Foods stock is under pressure after the latest quarterly report showed a revenue decline and a cut to full-year 2026 sales guidance, even as earnings per share beat expectations and dividend yield rises into the mid-single digits.

Hormel Foods (ISIN US4404521001) stock is trading around USD 21.84 as of September 1, 2026, following a sharp drop of roughly 9% after the company reported its latest quarterly results and trimmed full-year 2026 sales guidance.

Guidance cut hits sentiment despite EPS beat

According to data compiled by MarketBeat, Hormel Foods reported adjusted earnings per share of USD 0.37 for the quarter ended August 27, 2026, topping the consensus estimate of USD 0.35 by USD 0.02.

The same MarketBeat summary notes that quarterly revenue came in at USD 2.96 billion, below analyst expectations of roughly USD 3.03 billion and down 2.4 percent year over year, highlighting that the earnings beat was achieved against a backdrop of weakening top-line momentum.

In its updated outlook, Hormel Foods set fiscal 2026 adjusted EPS guidance at a range of USD 1.45 to USD 1.51, signaling mid-single-digit earnings growth versus historical levels while acknowledging macro and category headwinds.

Sales outlook narrowed and lowered for 2026

An analysis of the quarter by a recent earnings recap highlights that Hormel lowered its fiscal 2026 net sales forecast to a range of USD 12.10 billion to USD 12.20 billion, down from a prior range of USD 12.20 billion to USD 12.50 billion.

The same recap points out that Q3 revenue of USD 2.96 billion represented a 2.4 percent decline versus the prior-year quarter and missed analyst estimates of USD 3.04 billion, underscoring that volume and pricing dynamics remain challenging in several categories.

Despite the softer sales, Hormel raised its full-year adjusted EPS forecast slightly to USD 1.45 to USD 1.51 from a previous range of USD 1.43 to USD 1.51, suggesting that margin initiatives and cost discipline are partly offsetting revenue pressure.

Analyst view and dividend yield support the stock

MarketBeat reports that equities analysts currently assign Hormel Foods an average rating of Hold and an average price target of around USD 26.14, implying potential upside of roughly 20 percent from the recent share price.

A broader consumer staples overview by 247WallSt notes that Hormel stock traded near USD 21.60 at the end of August 2026 after a roughly 16.4 percent one-month drop, pushing the dividend yield to about 5.49 percent, its highest level in years.

The same article highlights that quarterly dividend payments have risen from USD 0.185 per share in 2008 to USD 0.2325 in 2020 and now stand at USD 0.2925 per quarter, or USD 1.17 annualized, illustrating a long-established commitment to returning cash to shareholders.

For income-oriented investors, the combination of a depressed share price, elevated yield and adjusted EPS guidance of USD 1.45 to USD 1.51 for fiscal 2026 offers a clearer trade-off between near-term operational pressure and longer-term earnings and dividend stability.

Skippy peanut butter as a key consumer brand

Hormel Foods is best known to many consumers for its portfolio of branded foods, including Skippy peanut butter, which features prominently in recent coverage of the company and its guidance adjustments.

The earnings recap mentioned earlier describes Hormel as the maker of Skippy peanut butter and ties its fiscal 2026 net sales forecast of USD 12.10 billion to USD 12.20 billion to expectations for modest organic sales growth of 1 percent to 2 percent, indicating that core brands remain central to the growth story.

For the Skippy franchise, the broader narrative is one of defending shelf space and pricing while adapting to changing consumer preferences, a theme that will likely remain important as Hormel works to stabilize revenue trends after the recent 2.4 percent quarterly decline.

Hormel Foods stock level and market data

Recent market data from MarketScreener show Hormel Foods shares at around USD 21.84, with the session up about 1.28 percent at the close of August 31, 2026, before the latest trading moves on September 1, 2026.

A separate quote overview indicates that the company’s market capitalization stood near USD 11.87 billion in late August 2026, giving investors a sense of the scale at which Hormel operates in the global packaged food and protein space.

With the share price hovering in the low USD 20s and an average analyst price target in the mid USD 20s, the market appears to be weighing the risk of continued revenue softness against the comfort of high dividend yield and steady adjusted EPS guidance.

Hormel Foods stock facts

• Company: Hormel Foods Corporation
• ISIN: US4404521001
• Ticker: HRL
• Trading venue: NYSE
• Price (as of August 31, 2026): 21.84 USD
• Market capitalization: 11.87 billion USD (as of August 30, 2026)
• Sector / Industry: Consumer staples / Packaged foods
• Index membership: S&P 500