Revenue distribution by sectors:

• Processed meat products: approx. 45%
• Fresh meat products: approx. 30%
• International products: approx. 15%
• Other food products: approx. 10%

TOP 3 markets and their percentage shares:

• USA: approx. 75%
• China: approx. 10%
• Mexico: approx. 5%

Hormel Foods Corporation generates the majority of its revenue from the processing and sale of meat products, with processed meat products accounting for the largest share. The U.S. market is the most significant for the company, followed by China and Mexico, which are also important sales markets. International expansion is increasingly contributing to revenues, but the domestic market remains dominant.

Production Sites: USA, China, Brazil

Hormel Foods Corporation mainly produces its products in the United States, where it operates numerous production facilities. Additionally, the company also has international production sites, particularly in China and Brazil, to better serve the global market.

This geographical diversification enables Hormel Foods to respond more efficiently to local market needs and optimize supply chains.

Revenue Growth: Estimated 3-5% annually (2025)

Hormel Foods Corporation pursues a strategy based on diversification and innovation to secure future growth. The company is increasingly focusing on developing new products, especially in the plant-based protein sector, to meet changing consumer preferences.

In addition, Hormel is investing in geographical expansion, particularly in Asian markets, to strengthen its international presence. These markets offer significant growth potential due to the increasing demand for processed foods.

Another focus is on optimizing the supply chain and utilizing modern technologies to increase efficiency. This is intended not only to reduce costs but also to support the company's sustainability goals.

Main raw materials: Pork, poultry, beef, turkey

Main importing countries: Canada, Mexico, Brazil

Hormel Foods Corporation is heavily reliant on the procurement of meat products, especially pork, poultry, and beef. These raw materials are sourced both locally and internationally. Canada and Mexico are important partners for the import of pork and poultry, while Brazil is considered a significant exporter of beef.

The dependence on international markets enables Hormel Foods to benefit from competitive prices and a stable supply. At the same time, the company is exposed to risks of trade tariffs and geopolitical tensions that could impact the supply chains.

Market share: 5% in the US processed meat market (2024, estimate) EBIT margin: 11.5% (2024) R&D expenses: 1.8% of revenue (2024)

Hormel Foods Corporation has a solid competitive advantage that consists of several factors. The 5% market share in the US processed meat market demonstrates a strong presence, despite the market being highly fragmented. The 11.5% EBIT margin indicates an efficient cost structure and strong pricing power.

Another advantage is the continuous investment in research and development, which stands at 1.8% of revenue. This allows Hormel Foods to develop innovative products and adapt to changing consumer preferences.

Additionally, the company benefits from strong brand recognition and a diversified product portfolio, enabling it to better offset fluctuations in specific segments.

Institutional Investor Share: Approx. 45% (estimated for 2025 based on historical data)

Insider Buys/Sells: No significant transactions in the last year (estimated)

The institutional investor share in Hormel Foods Corporation traditionally ranges between 40% and 50%. These investors include large investment funds and pension funds that are interested in the company's stability and dividends in the long term.

Regarding insider buys and sells, there were no significant transactions in the last year that would indicate a change in management's confidence in the company's future development. This suggests a stable assessment by the company's leadership regarding future business prospects.

Market share of Hormel Foods: Estimate 8-10% (2025)

Top competitors and their market shares:

1. Tyson Foods: Estimate 20-22%
2. JBS S.A.: Estimate 18-20%
3. Cargill: Estimate 15-17%
4. Smithfield Foods: Estimate 10-12%
5. Hormel Foods: Estimate 8-10%
6. Conagra Brands: Estimate 5-7%
7. Kraft Heinz: Estimate 4-6%
8. Perdue Farms: Estimate 3-5%
9. Maple Leaf Foods: Estimate 2-4%
10. Sanderson Farms: Estimate 1-3%

Moat of Hormel Foods:

Hormel Foods has a moderate moat, mainly based on its strong brand recognition and diversified product portfolio. The SPAM brand is globally known and contributes to brand loyalty. Additionally, Hormel has expanded its product range through strategic acquisitions, providing some protection against market fluctuations.

Compared to competitors, Tyson Foods has a stronger moat due to its size, global reach, and vertical integration in the supply chain. JBS S.A. and Cargill also benefit from their international presence and comprehensive product lines, giving them a competitive advantage.

Smithfield Foods, specializing in pork products and vertical integration, also has a significant moat. Overall, Hormel Foods' moat is less pronounced compared to industry leaders, but still present, especially due to its brand strength and innovation capability.

Revenue Growth: 3.5% (2024) Profit Growth: 4.2% (2024) Dividend Growth: 5% (2024)

Hormel Foods Corporation recorded a moderate revenue growth of 3.5% in 2024, indicating stable demand for its products and effective cost control. The profit growth of 4.2% shows that the company is able to maintain or even improve its margins, despite potential challenges in the supply chain or raw material costs.

The 5% dividend growth in 2024 is a positive signal for investors who rely on regular income from their investments. Hormel Foods has a long tradition of dividend payments and increases, indicating a solid financial foundation and a sustainable business model.

Overall, Hormel Foods demonstrates stable financial performance with continuous growth in revenue, profit, and dividends. These factors, combined with a strong market position and the ability to adapt to changing market conditions, make the stock a potentially attractive investment for long-term oriented investors.

Dividend Yield: 2.5% (2025, estimated)
Dividend Growth: 6% annually (average over the last 5 years)
Payout Ratio: 55% (2024, estimated)

Hormel Foods Corporation has a long history of dividend payments and is known for its reliability in distribution. The company has been consistently paying dividends over the past decades and has regularly increased them.

The dividend yield of around 2.5% in 2025 is competitive compared to other companies in the food industry. The average dividend growth of 6% annually over the last five years shows that Hormel Foods is committed to providing shareholders with a steady income stream.

With a payout ratio of around 55% in 2024, the company remains in a healthy range, indicating that it reinvests enough profits to support future growth while maintaining an attractive dividend for investors.