Hormel Foods Corporation (HRL)vsMcCormick & Company Incorporated (MKC)
HRL
Hormel Foods Corporation
$22.14
-1.03%
CONSUMER DEFENSIVE · Cap: $12.61B
MKC
McCormick & Company Incorporated
$53.23
-1.52%
CONSUMER DEFENSIVE · Cap: $15.49B
Smart Verdict
WallStSmart Research — data-driven comparison
Hormel Foods Corporation generates 78% more annual revenue ($12.14B vs $6.84B). MKC leads profitability with a 11.5% profit margin vs 4.0%. HRL appears more attractively valued with a PEG of 1.53. MKC earns a higher WallStSmart Score of 56/100 (C).
HRL
Buy53
out of 100
Grade: C-
MKC
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-56.4%
Fair Value
$15.31
Current Price
$22.14
$6.83 premium
Margin of Safety
-41.3%
Fair Value
$49.93
Current Price
$53.23
$3.30 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 130.0% year-over-year
Reasonable price relative to book value
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Moderate valuation
ROE of 6.1% — below average capital efficiency
4.0% margin — thin
Expensive relative to growth rate
2.9% revenue growth
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : HRL
The strongest argument for HRL centers on Revenue Growth, Price/Book. Revenue growth of 130.0% demonstrates continued momentum.
Bull Case : MKC
The strongest argument for MKC centers on Price/Book.
Bear Case : HRL
The primary concerns for HRL are PEG Ratio, P/E Ratio, Return on Equity. Thin 4.0% margins leave little buffer for downturns.
Bear Case : MKC
The primary concerns for MKC are PEG Ratio, Revenue Growth, Altman Z-Score.
Key Dynamics to Monitor
HRL profiles as a hypergrowth stock while MKC is a value play — different risk/reward profiles.
MKC carries more volatility with a beta of 0.57 — expect wider price swings.
HRL is growing revenue faster at 130.0% — sustainability is the question.
MKC generates stronger free cash flow (458M), providing more financial flexibility.
Bottom Line
MKC scores higher overall (56/100 vs 53/100). Both earn "Buy" and "Buy" 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.
McCormick & Company Incorporated
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
McCormick & Company is an American multinational food company that manufactures, markets, and distributes spices, seasoning mixes, condiments, and other flavoring products to retail outlets, food manufacturers, and foodservice businesses.
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