What Is HRL Fair Value?
Hormel Foods (HRL) fair value estimate using multiple valuation models, updated daily.
As of August 29, 2026, Hormel Foods (HRL) has a composite fair value estimate of $30.98 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $21.57, suggesting the stock is undervalued by 43.6%.
Data as of August 29, 2026 (today)
Composite Fair Value
Undervalued4 of 4 models$30.98
vs. current price of $21.57(+43.6%)
How Is HRL Fair Value Calculated?
Four independent models estimate what HRL is worth. Each uses different inputs and assumptions. The composite blends them by weight.
HRL Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$37.77
+75.1%Undervalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$41.39
+91.9%Undervalued
Inputs used
HRL Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$21.92
+1.6%Fair Value
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$14.96
-30.6%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $21.57 is 75.1% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $663.9M | $624.7M |
| Year 2 | $709.0M | $627.8M |
| Year 3 | $757.2M | $630.9M |
| Year 4 | $808.6M | $634.0M |
| Year 5 | $863.6M | $637.1M |
| Year 6 | $922.2M | $640.2M |
| Year 7 | $984.9M | $643.4M |
| Year 8 | $1.05B | $646.6M |
| Year 9 | $1.12B | $649.7M |
| Year 10 | $1.20B | $652.9M |
| Terminal Value | $32.60B | $17.75B |
What Are HRL's Key Financial Metrics?
Earnings & Growth
Current Price
$21.57
EPS (TTM)
$0.63
Forward P/E
13.8
Profit Margin
2.8%
Cash & Balance Sheet
Free Cash Flow
621.6M
EBITDA
1.3B
Book Value
$14.27
Total Debt
250M
What Do Analysts Say About HRL?
Low
$25.00
Average
$27.25
High
$30.00
Upside
+26.3%
HRL Fair Value FAQ
What is the fair value of HRL?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), HRL's estimated fair value is $30.98. The stock is currently trading at $21.57, which makes it undervalued by our analysis.
How is HRL's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is HRL overvalued or undervalued?
Based on our analysis, HRL is undervalued. The current price of $21.57 is 43.6% below our estimated fair value of $30.98.
What do Wall Street analysts say about HRL?
8 analysts cover Hormel Foods with a consensus rating of "Hold." The average price target is $27.25, ranging from $25.00 to $30.00. This implies 26.3% upside from the current price.