HRL (Hormel Foods) Moat Score: 7/10 (As of Jun. 30, 2026)


HRL Hormel Foods Corp HRL
64 GF Score
Price $26.31
GF Value $31.22
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Hormel Foods Moat Score?

Hormel Foods HRL -0.75% 64 Moat Score is 7 as of Jun. 30, 2026. GuruFocus rates HRL with a GF Score™ of 64/100 and a GF Value™ of $31.22 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 2,056 Consumer Packaged Goods companies, Hormel Foods ranks better than 99.37% on this metric.

Hormel Foods has the Moat Score of 7, which implies that the company might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.

Hormel Foods has Wide Moat: Hormel Foods possesses a wide moat due to its strong brand strength, deep customer loyalty, and economies of scale in food production. Its superior distribution network and pricing power further solidify its durable competitive advantages.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Hormel Foods might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.

Hormel Foods  (NYSE:HRL) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Hormel Foods Moat Score Related Terms

HRL vs MKC, JBS, SJM: Moat Score Comparison

For the Packaged Foods subindustry, Hormel Foods's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Hormel Foods Moat Score vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Hormel Foods's Moat Score distribution charts can be found below:

* The bar in red indicates where Hormel Foods's Moat Score falls into.


HRL
64GF Score
Hormel Foods Corp HRL
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 7 mean?
Hormel Foods (HRL) has a Moat Score of 7 as of Jun. 30, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Hormel Foods ranks #13 out of 2056 companies in the Consumer Packaged Goods industry, placing it in the top 0.59999999999999%.
Is Hormel Foods' Moat Score too high?
Hormel Foods' current Moat Score is 7. Based on the distribution chart, Hormel Foods ranks #13 out of 2056 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, Hormel Foods has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hormel Foods' Moat Score compare to MKC and JBS?
According to the Consumer Packaged Goods industry distribution chart, Hormel Foods ranks #13 out of 2056 companies for Moat Score. This places Hormel Foods in the top 1% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Consumer Packaged Goods company?
A good Moat Score depends on the Consumer Packaged Goods industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Hormel Foods's current Moat Score is 7. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hormel Foods stock overvalued right now?
Based on GuruFocus' analysis, Hormel Foods (HRL) is currently considered Modestly Undervalued. The stock's GF Value™ is $31.22, compared to a current price of $26.31 — trading 15.7% below its estimated fair value. The current Moat Score is 7. Hormel Foods' overall GF Score™ is 64/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Hormel Foods (HRL), the current Moat Score is 7 as of Jun. 30, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Hormel Foods (HRL) Overvalued in 2026?

Based on GuruFocus' analysis, Hormel Foods stock appears to be undervalued. The current stock price of $26.31 is trading 15.7% below its estimated GF Value™ of $31.22. GuruFocus considers Hormel Foods to be Modestly Undervalued.

Key valuation signals for HRL:

  • Moat Score: 7
  • GF Value™: $31.22 vs. price of $26.31 (15.7% below fair value)
  • GF Score™: 64/100 with 5 warning signs

No single metric tells the full story. See the HRL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Hormel Foods Business Description

Address 1 Hormel Place, Austin, MN, USA, 55912-3680
Historically meat-focused, Hormel Foods broadened its lineup to include other protein offerings and became a branded food company. The firm sells its wares through multiple channels, including US retail (61.6% of fiscal 2025 sales), US foodservice (32.6%), and international (5.9%). By product, 73% of fiscal 2025 sales were from perishable food and 27% from shelf-stable. Major brands include Hormel, Spam, Jennie-O, Columbus, Applegate, Planters, and Skippy. Many of these hold the number one or two market share in their respective categories.
64GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$26.31
Price
$31.22
GF Value