Consumer Sales in China Are Still a Trouble Spot for This Dividend King. Here's What to Watch Out for Before You Buy the Stock
Shares of Hormel Foods (NYSE: HRL) rose dramatically after it reported fiscal first-quarter 2024 earnings. There were very good reasons for this, but investors still need to dig into the details before they get too upbeat about the future of this iconic food maker. China is an important and lingering trouble spot.
When Hormel reported fiscal Q1 earnings, management proudly highlighted that volume grew 4% year over year. Since volume fell 4.2% in 2023, the Q1 results suggest that the food maker is at an important inflection point. Notably, volume rose in all three of the company's divisions, which include retail, food service, and international.
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Source Fool.com