Hormel Foods Corporation HRL

Competitive advantage analysis · consumer-defensive

Corporate Default
Overall moat score
63/100
Moderate

About Hormel Foods Corporation

Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and other food products to foodservice, convenience store, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International segments. The company provides various perishable products, including resh meats, frozen items, refrigerated meal solutions, bacon, sausages, hams, guacamole, and other items that require … Full HRL analysis →

Competitive advantage assessment

Key strengths

  • Margins Stable Across Cycles Operating margin volatility is low (stability score 0.82), demonstrating pricing resilience across cycles.
  • Operating Expense Control OpEx growth is controlled (score 0.70), demonstrating operating leverage.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Moderate
63

Where HRL ranks in Packaged Foods

Hormel Foods Corporation ranks #23 of 73 scored companies in Packaged Foods by moat score — the top 32%. The widest moat in the group is McCormick & Company, Incorporat (MKC-V) at 79/100.

Moat scores for companies ranked near HRL in Packaged Foods
# Company Moat score Rating
19 Post Holdings, Inc. POST 68/100 Moderate
20 Freshpet, Inc. FRPT 67/100 Moderate
21 Lifevantage Corporation LFVN 67/100 Moderate
22 Lamb Weston Holdings, Inc. LW 66/100 Moderate
23 Hormel Foods Corporation HRL 63/100 Moderate
24 Mama's Creations, Inc. MAMA 62/100 Moderate
25 Flowers Foods, Inc. FLO 58/100 Moderate
26 Above Food Ingredients Inc. ABVE 58/100 Moderate
27 USANA Health Sciences, Inc. USNA 57/100 Moderate

See every General Corporate company ranked by moat score →

How HRL scores on the Corporate Default defenses

Pricing Power

Score 63 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 82 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 63 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 60 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 65 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 47 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding HRL's moat

What is Hormel Foods Corporation's moat score?

Hormel Foods Corporation (HRL) scores 63 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as moderate. It ranks #23 of 73 scored companies in Packaged Foods, the top 32%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 72 companies in Packaged Foods. Its strongest defense is Cost Advantage (82/100) and its weakest is Scale & Market Position (47/100).

How does Hormel Foods Corporation compare with other Packaged Foods companies?

Hormel Foods Corporation ranks #23 of 73 scored companies in Packaged Foods by moat score. The widest moat in Packaged Foods is McCormick & Company, Incorporat (MKC-V) at 79/100. The companies ranked closest are Lamb Weston Holdings, Inc. (LW) at 66 just above it and Mama's Creations, Inc. (MAMA) at 62 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 72 companies in Packaged Foods. The defenses are then weighted to produce the overall score out of 100.

Why is Hormel Foods Corporation scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for Hormel Foods Corporation?

The Corporate Default template measures 6 defenses, and HRL scores: Pricing Power (63), Cost Advantage (82), Customer Stickiness (63), Capital Efficiency (60), Resilience (65), Scale & Market Position (47). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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