Hormel Foods Corporation (HRL)vsWalmart Inc. (WMT)
HRL
Hormel Foods Corporation
$21.33
-0.65%
CONSUMER DEFENSIVE · Cap: $11.74B
WMT
Walmart Inc.
$131.60
-0.96%
CONSUMER DEFENSIVE · Cap: $1.02T
Smart Verdict
WallStSmart Research — data-driven comparison
Walmart Inc. generates 5772% more annual revenue ($713.16B vs $12.14B). HRL leads profitability with a 4.0% profit margin vs 3.1%. HRL appears more attractively valued with a PEG of 1.44. HRL earns a higher WallStSmart Score of 54/100 (C-).
HRL
Buy54
out of 100
Grade: C-
WMT
Hold43
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+53.6%
Fair Value
$51.61
Current Price
$21.33
$30.28 discount
Intrinsic value data unavailable for WMT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Every $100 of equity generates 22 in profit
Generating 6.1B in free cash flow
Areas to Watch
ROE of 6.1% — below average capital efficiency
4.0% margin — thin
Revenue declined 2.9%
Earnings declined 5.1%
Trading at 10.5x book value
3.1% margin — thin
Operating margin of 4.6%
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HRL
The strongest argument for HRL centers on Price/Book. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bull Case : WMT
The strongest argument for WMT centers on Market Cap, Altman Z-Score, Return on Equity.
Bear Case : HRL
The primary concerns for HRL are Return on Equity, Profit Margin, Revenue Growth. Thin 4.0% margins leave little buffer for downturns.
Bear Case : WMT
The primary concerns for WMT are Price/Book, Profit Margin, Operating Margin. A P/E of 46.9x leaves little room for execution misses. Thin 3.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
WMT carries more volatility with a beta of 0.66 — expect wider price swings.
WMT is growing revenue faster at 5.6% — sustainability is the question.
WMT generates stronger free cash flow (6.1B), providing more financial flexibility.
Monitor PACKAGED FOODS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HRL scores higher overall (54/100 vs 43/100). 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.
Walmart Inc.
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Walmart Inc. is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, and grocery stores from the United States, headquartered in Bentonville, Arkansas. It also owns and operates Sam's Club retail warehouses.
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