Hormel Foods Corporation (HRL)vsLifeway Foods Inc (LWAY)
HRL
Hormel Foods Corporation
$23.62
+1.42%
CONSUMER DEFENSIVE · Cap: $13.62B
LWAY
Lifeway Foods Inc
$23.04
+1.99%
CONSUMER DEFENSIVE · Cap: $359.12M
Smart Verdict
WallStSmart Research — data-driven comparison
Hormel Foods Corporation generates 5226% more annual revenue ($12.22B vs $229.42M). LWAY leads profitability with a 6.5% profit margin vs 3.8%. HRL appears more attractively valued with a PEG of 1.85. LWAY earns a higher WallStSmart Score of 60/100 (C+).
HRL
Hold49
out of 100
Grade: D+
LWAY
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+48.1%
Fair Value
$46.15
Current Price
$23.62
$22.53 discount
Intrinsic value data unavailable for LWAY.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 36.7% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Earnings expanding 30.4% YoY
Areas to Watch
Expensive relative to growth rate
Moderate valuation
ROE of 5.9% — below average capital efficiency
3.8% margin — thin
Smaller company, higher risk/reward
6.5% margin — thin
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HRL
The strongest argument for HRL centers on Price/Book.
Bull Case : LWAY
The strongest argument for LWAY centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 36.7% demonstrates continued momentum.
Bear Case : HRL
The primary concerns for HRL are PEG Ratio, P/E Ratio, Return on Equity. Thin 3.8% margins leave little buffer for downturns.
Bear Case : LWAY
The primary concerns for LWAY are Market Cap, Profit Margin, Piotroski F-Score.
Key Dynamics to Monitor
HRL profiles as a value stock while LWAY is a hypergrowth play — different risk/reward profiles.
LWAY carries more volatility with a beta of 0.48 — expect wider price swings.
LWAY is growing revenue faster at 36.7% — sustainability is the question.
HRL generates stronger free cash flow (97M), providing more financial flexibility.
Bottom Line
LWAY scores higher overall (60/100 vs 49/100) and 36.7% revenue growth. HRL offers better value entry with a 48.1% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Hormel Foods Corporation
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
Hormel Foods Corporation is an American company founded in 1891 in Austin, Minnesota, by George A. Hormel as George A. Hormel & Company. Originally focusing on the packaging and selling of ham, Spam, sausage and other pork, chicken, beef and lamb products to consumers; by the 1980s, Hormel began offering a wider range of packaged and refrigerated foods.
Lifeway Foods Inc
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
Lifeway Foods, Inc. produces and markets probiotic-based products in the United States and internationally. The company is headquartered in Morton Grove, Illinois.
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