Hormel Foods Corporation
HRL24 yrs growthConsumer Defensive · Stock · quarterly payer
Forward Yield
4.61%
Annual Dividend
$1.17
Payout Ratio
137%
5-Yr Growth
4.5%
Ex-Date
Jul 13, 2026
Frequency
Quarterly
Summary
As of July 2026, Hormel Foods Corporation (HRL) yields 4.61% ($1.17 per share annually), with a blended fair-value estimate of $35.82 — +41% upside, so it screens as undervalued. Dividend safety grade: B (73/100). 24 years of dividend growth.
Is HRL a good dividend stock?
Yes, with caveatsHormel Foods Corporation (HRL) pays a quarterly dividend yielding 4.61% ($1.17/yr), with 24 years of growth and a dividend-safety grade of B. It's a solid income payer, but check the caveats below before buying.
Advantages
- 24 consecutive years of dividend growth
Risks
- Cut its dividend in 2001
- Elevated payout ratio (137%)
- Share price is down over the past 5 years
Key Data
- Dividend Yield
- 4.61%
- Payout Ratio
- 137%
- Annual Dividend
- $1.17
- 5-Yr Avg Growth
- 4.5%
- Ex-Dividend Date
- Jul 13, 2026
- Years of Growth
- 24
- Frequency
- quarterly
- Beta
- 0.33
- Market Cap
- $13.9B
- P/E Ratio
- 29.7
- 5-Yr Total Return
- -44%
- 52-Week Range
- $19.70 – $29.78
- Dividend Safety
- B · 73/100
- Ever Cut?
- Yes (2001)
Frequently Asked Questions
HRL Price — Last 12 Months
Daily close
Price Return
1 Year
-0%
3 Years
-34%
5 Years
-44%
52-Week Range
$19.70 – $29.78
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is HRL worth?
Undervaluedmedium confidenceOur blended fair-value estimate for Hormel Foods Corporation is $35.82 per share, versus a market price of $25.39. That implies 41% of upside — a margin of safety of about 29%.
Fair Value
$35.82
Current Price
$25.39
Upside
+41%
Margin of Safety
29%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about -3.1% annual free-cash-flow growth. We model 9.4% — below our estimate, leaving room for upside if the business executes.
Assumptions: 7.0% discount rate (CAPM), 9.4% stage-1 growth, 2.5% terminal growth, $0.85 EPS, $1.17 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
HRL Dividend Safety Score
Safe
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Jul 13, 2026 | — | $0.2930 | regular |
| Apr 13, 2026 | — | $0.2930 | regular |
| Jan 12, 2026 | — | $0.2930 | regular |
| Oct 14, 2025 | — | $0.2900 | regular |
| Jul 14, 2025 | — | $0.2900 | regular |
| Apr 14, 2025 | — | $0.2900 | regular |
| Jan 13, 2025 | — | $0.2900 | regular |
| Oct 15, 2024 | — | $0.2830 | regular |
| Jul 15, 2024 | — | $0.2830 | regular |
| Apr 12, 2024 | — | $0.2830 | regular |
| Jan 12, 2024 | — | $0.2830 | regular |
| Oct 13, 2023 | — | $0.2750 | regular |
| Jul 14, 2023 | — | $0.2750 | regular |
| Apr 14, 2023 | — | $0.2750 | regular |
Income Calculator
At $1.17 / yr per share
