Like many of the largest food makers, Hormel (NYSE: HRL) is probably best looked at as a brand manager. Acquisitions play a big role in the company's growth, with its recent purchase of Planters having an outsized impact on the company given its large size. Things aren't going as well as hoped, but the long-term opportunity is bigger than just nuts.

In 2021, Hormel inked a deal to buy Planters from Kraft Heinz for a net cost of roughly $2.8 billion. The deal included the Planters nut business, as well as Planters Cheez Balls and Corn Nuts. This was the largest acquisition in Hormel's history. Inside of Kraft Heinz, this business was largely neglected, so Hormel's management team knew it had its work cut out for it.

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Source Fool.com