Hormel Foods Readies for Q3 Earnings: What's in the Offing?

Hormel Foods Corporation (HRL) is likely to register top-line growth when it reports third-quarter fiscal 2025 earnings on Aug. 28, before market open. The Zacks Consensus Estimate for quarterly revenues is pegged at $2.98 billion, which indicates a 2.7% rise from the year-ago quarter.The consensus mark for earnings has remained unchanged in the past 30 days at 41 cents per share, which implies a 10.8% increase from the figure reported in the year-ago quarter. HRL delivered a negative trailing four-quarter earnings surprise of 1.2%, on average.Things to Know About HRL’s Upcoming ResultsHormel Foods has been benefiting from demand in its Foodservice segment, driven by strong customer relationships, a differentiated product portfolio and innovative, solution-based offerings. The company’s unique product mix and direct-to-customer approach have been encouraging. For the third quarter of fiscal 2025, management expects mid-single-digit growth in net sales within the Foodservice business.Management remains confident in the team’s ability to build on the momentum, particularly with the flagship and rising brands in the Retail segment. Expansion in the value-added portfolio and progress under its Transform and Modernize initiative are likely to contribute to the to-be-reported quarter results.On the last earnings call, management had anticipated each of the company’s segments to deliver solid top-line growth in the second half. For Retail, it had expected low single-digit net sales growth. For Foodservice, Hormel Foods had forecast mid-single-digit growth in organic net sales. And for the International segment, it had expected continued strong top-line performance.However, higher spending on talent, technology, data infrastructure and brand support is a hurdle on the way. The company is likely to have faced a difficult year-over-year comparison in the fiscal third quarter, given the strong brand performance in the prior year. HRL has been closely monitoring ongoing pressure in the turkey supply chain, due to bird illness impacting poultry availability.Earnings Whispers for HRLOur proven model predicts an earnings beat for Hormel Foods this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chance of an earnings beat.Hormel Foods has an Earnings ESP of +0.61% and a Zacks Rank of 3. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.Hormel Foods Corporation Price and EPS Surprise Hormel Foods Corporation price-eps-surprise | Hormel Foods Corporation QuoteOther Stocks With the Favorable CombinationHere are some more companies worth considering, as our model shows that these have the right combination of elements to beat on earnings.Celsius Holdings, Inc. (CELH) currently has an Earnings ESP of +2.26% and a Zacks Rank of 1. The Zacks Consensus Estimate for third-quarter 2025 EPS is pegged at 27 cents, which implies an increase from break-even earnings in the year-ago quarter. The consensus mark has moved up 35% in the past 30 days. You can see the complete list of today’s Zacks #1 Rank stocks here.The consensus mark for Celsius Holdings’ quarterly revenues is pegged at $685 million, which indicates growth of 157.8% from the figure reported in the prior-year quarter. CELH delivered a trailing four-quarter earnings surprise of 5.4%, on average.Coca-Cola (KO) currently has an Earnings ESP of +0.03% and a Zacks Rank of 3. The company is likely to register an increase in the top and bottom lines when it reports third-quarter 2025 numbers. The consensus mark for revenues is pegged at $12.51 billion, which indicates a jump of 5.6% from the figure reported in the year-ago quarter.The Zacks Consensus Estimate for KO’s quarterly earnings per share of 79 cents implies a rise of 2.6% from the year-ago quarter. The consensus mark has been stable in the past 30 days. KO has a trailing four-quarter earnings surprise of 4.9%, on average.Keurig Dr Pepper (KDP) currently has an Earnings ESP of +0.09% and a Zacks Rank of 3. The company is likely to register an increase in the top line when it reports third-quarter 2025 numbers. The consensus mark for revenues is pegged at $4.16 billion, which indicates a rise of 6.9% from the figure reported in the year-ago quarter.The Zacks Consensus Estimate for KDP’s quarterly earnings per share of 54 cents implies a rise of 5.9% from the year-ago quarter. The consensus mark has been stable in the past 30 days. HRL has a negative trailing four-quarter earnings surprise of 3.1%, on average.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CocaCola Company (The) (KO): Free Stock Analysis Report Hormel Foods Corporation (HRL): Free Stock Analysis Report Celsius Holdings Inc. (CELH): Free Stock Analysis Report Keurig Dr Pepper, Inc (KDP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks