Hormel Foods Corporation ($HRL) Cautious Buy or Hold to $27 Confident Investor Rating: Fair

Company name Hormel Foods Corporation
Stock ticker HRL
Live stock price [stckqut]HRL[/stckqut]
P/E compared to competitors Good
MANAGEMENT EXECUTION
Employee productivity Good
Sales growth Fair
EPS growth Good
P/E growth Poor
EBIT growth Fair
ANALYSIS
Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $28.49
Target stock price (averages with growth) $32.93
Target stock price (averages with no growth) $27.31
Target stock price (manual assumptions) $27.77

The following company description is from Google Finance: http://www.google.com/finance?q=hrl

Hormel Foods Corporation is engaged in the production of a range of meat and food products and the marketing of those products throughout the United States and internationally. The Company operates in five segments: Grocery Products, Refrigerated Foods, Jennie-O Turkey Store (JOTS), Specialty Foods, and All Other. Internationally, the Company markets its products through Hormel Foods International Corporation (HFIC), a wholly owned subsidiary. HFIC has a presence in the international marketplace through joint ventures and placement of personnel in foreign locations, such as Australia, Canada, the People?s Republic of China, Japan, and the Philippines. On October 26, 2009, the Company completed the formation of MegaMex Foods, LLC (MegaMex), 50 % joint venture, which markets Mexican Foods in the United States. Effective February 1, 2010, the Company completed the acquisition of the Country Crock chilled side dish business from Unilever United States Inc.

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns. While the company is not poorly run, there does not seem to be much confidence that the stock price will naturally increase.

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