Hormel Foods Executive Vice President Deanna Brady Sells $1.65M in Stock Via Investing.com

In a recent transaction, Deanna T. Brady, executive vice president of Hormel Foods Corp (NYSE:NYSE: ), sold shares of the company’s stock, totaling $1.65 million. Shares were sold at an average price of $31.955, with individual sale prices ranging from $31.875 to $32.07 per share.

The sale took place on September 13, 2024 and involved a total of 51,600 shares. This transaction was part of a series of transactions that also included the purchase of the same number of shares through the exercise of stock options at a price of $26.38 per share, for a total purchase price of approximately $1.36 million.

Brady’s sale represents a significant transaction for the executive, who, following the sale, directly owns 72,421,430 shares. In addition, Brady holds indirect ownership through a 401(k) plan and a JEPST plan of 10,474,461 and 4,556,656 shares, respectively.

Investors often monitor insider trades like these for information about executive sentiment about their company’s stock. Hormel Foods, a major player in the meatpacking industry, is headquartered in Austin, Minnesota and has a longstanding reputation in the food industry.

The company’s stock is publicly traded on the New York Stock Exchange under the symbol HRL. Hormel Foods has not issued any statement regarding this latest series of transactions from their Executive Vice President.

“In other recent news, Hormel Foods reported mixed results in the third quarter for fiscal 2024. The company’s retail brands, including Hormel Black Label bacon, Jennie-O turkey and SPAM luncheon meat, saw sales growth. The Foodservice segment marked the fifth consecutive quarter of industry-leading sales growth, while the International segment saw a significant recovery. Goldman Sachs Strategic Investments maintained its sell rating on Hormel Foods with a price target set at $28.00, expressing skepticism about the sustainability of market-driven earnings growth despite production issues at the Planters brand, Hormel anticipates earnings growth in fiscal 2025 due to the resolution of these issues and the company’s ongoing transformation initiatives.”

InvestingPro Insights

As Hormel Foods Corp (NYSE:HRL) continues to navigate the market, recent insider trading activity has captured the attention of investors. To give more context to these trades, let’s dive into some key financial metrics and insights from InvestingPro. Hormel Foods, with a market cap of $17.84 billion, currently trades at a price-to-earnings (P/E) ratio of 22.72, which adjusts to 20.86 based on trailing twelve months from Q3 2024. This suggests that investors are willing to pay a premium for the company’s earnings relative to its historical performance.

Reflecting on the company’s financial health, an InvestingPro tip notes that Hormel Foods has increased its dividend for 54 consecutive years, indicating a strong commitment to returning value to shareholders. In addition, the company’s liquid assets exceed short-term liabilities, providing a cushion for operational needs and potential investments. It’s also worth noting that analysts predict the company will remain profitable this year, an optimistic sign for potential investors.

Despite a slight decline in revenue growth of 1.76% over the trailing twelve months through Q3 2024, Hormel Foods maintains a gross profit margin of 16.86% and an operating profit margin of 9.15%. These numbers, along with the fact that the company’s cash flows can sufficiently cover interest payments, suggest a stable operating base. The dividend yield stands at 3.52%, up modestly from 2.73% over the same period, strengthening the company’s appeal to income-oriented investors.

For those wanting a deeper dive into Hormel Foods’ financials and future prospects, InvestingPro provides additional information. There are currently 9 more InvestingPro tips available for Hormel Foods at https://www.investing.com/pro/HRL that could give investors a more comprehensive understanding of the company’s position and outlook.

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