Hormel Foods Corporation
HRL24 yrs growthConsumer Defensive · Stock · quarterly payer
Forward Yield
5.31%
Annual Dividend
$1.17
Payout Ratio
188%
5-Yr Growth
4.5%
Ex-Date
Jul 13, 2026
Frequency
Quarterly
Summary
As of September 2026, Hormel Foods Corporation (HRL) yields 5.31% ($1.17 per share annually), with a blended fair-value estimate of $34.08 — +58% upside, so it screens as undervalued. Dividend safety grade: B (71/100). 24 years of dividend growth.
Is HRL a good dividend stock?
Yes, with caveatsHormel Foods Corporation (HRL) pays a quarterly dividend yielding 5.31% ($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 (188%)
- Share price is down over the past 5 years
Key Data
- Dividend Yield
- 5.31%
- Payout Ratio
- 188%
- 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
- $11.9B
- P/E Ratio
- 35.5
- 5-Yr Total Return
- -47%
- 52-Week Range
- $19.70 – $26.60
- Dividend Safety
- B · 71/100
- Ever Cut?
- Yes (2001)
Frequently Asked Questions
HRL Price — Last 12 Months
Daily close
Price Return
1 Year
-13%
3 Years
-43%
5 Years
-47%
52-Week Range
$19.70 – $26.60
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 $34.08 per share, versus a market price of $21.57. That implies 58% of upside — a margin of safety of about 37%.
Fair Value
$34.08
Current Price
$21.57
Upside
+58%
Margin of Safety
37%
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 -10.0% annual free-cash-flow growth. We model 9.1% — below our estimate, leaving room for upside if the business executes.
Assumptions: 7.0% discount rate (CAPM), 9.1% stage-1 growth, 2.5% terminal growth, $0.63 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
