Why Hormel Foods Stock Swooned by 10% Today

Hormel Foods stock plummeted 10% after the company missed revenue expectations ($2.96B vs. $3.05B consensus), cut full-year net sales guidance to $12.1-$12.2B from $12.2-$12.5B, and reported a 7% drop in sales volume. While the company beat earnings per share estimates ($0.37 vs. $0.35 consensus), investors were unforgiving due to weak consumer demand, lower commodity-based pricing, and the company's already-eroded stock performance.