Hormel Foods Corporation
) hit a new 52-week high of $44.13 on Sep 18, and eventually
closed just a cent lower at $44.12. Shares of this food products
company have been on a rise since it announced improved revenue
outlook for the coming quarters.
Year-to-date, share prices have recorded a healthy return of
43.2%. The company's long-term estimated earnings per share
growth rate is 10.1%. Average volume of shares traded over the
last three months came in at 683.3K.
Hormel announced 7.5% year over year increase in revenues to
$2,159.5 million in the third quarter of fiscal 2013. The
year-over-year increase was mainly led by a hike in all the
segments, accompanied by the recently acquired Skippy peanut
Revenues were mainly helped by a 24.6% year over year hike in
the Grocery Products segment and 31.4% year over year hike in the
International & Other segment in the third quarter of fiscal
2013. Operating margins for all the segments, excluding
Refrigerated Foods segment, also increased year over year in the
In view of the current performance, management expects to
achieve its targeted earnings per share range of $1.88 to $1.96
in fiscal 2013. It is expected that all the segments, except
Specialty Foods, will grow year over year in the fourth quarter
of fiscal 2013. Jennie-O Turkey Store segment, which experienced
difficult times during the year, is expected to rebound in the
next quarter, boosting the total revenue as well as earnings.
Other Stocks to Consider
Hormel currently carries a Zacks Rank #3 (Hold). Other stocks
worth a watch in the industry include
Amira Nature Foods Ltd.
Pilgrim's Pride Corporation
Tyson Foods, Inc.
). While Amira Nature carries a Zacks Rank #1 (Strong Buy),
Pilgrim's Pride and Tyson Foods carry a Zacks Rank #2 (Buy).
AMIRA NATURE FD (ANFI): Free Stock Analysis
HORMEL FOODS CP (HRL): Free Stock Analysis
PILGRIMS PRIDE (PPC): Free Stock Analysis
TYSON FOODS A (TSN): Free Stock Analysis
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