Quality Dividend Stocks Amid Market Volatility
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Source: NASDAQ.COM
- Dividend Stock Performance: Both Hormel and McCormick have historically outperformed during economic downturns, with Hormel exceeding the S&P 500 since 2008 in years of negative or minimal returns, demonstrating resilience amid market volatility.
- Dividend Growth History: Hormel, known as a 'Dividend King', has increased its dividend for 59 consecutive years with a current yield of 4.69%, while McCormick boasts 39 years of dividend increases at a yield of 2.85%, providing investors with a reliable income stream.
- Future Growth Potential: Analysts set a median price target of $27.50 for Hormel, suggesting a 12% upside, while McCormick's target is $73, indicating an expected 8% return over the next 12 months, highlighting their investment appeal.
- Market Environment Impact: With increasing volatility expected in 2026, these dividend stocks may offer stable income and downside protection for growth-oriented portfolios, although Hormel was not included in the latest Motley Fool recommendations, its long-term performance remains noteworthy.
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Analyst Views on HRL
Wall Street analysts forecast HRL stock price to rise
5 Analyst Rating
3 Buy
2 Hold
0 Sell
Moderate Buy
Current: 23.440
Low
26.00
Averages
27.40
High
30.00
Current: 23.440
Low
26.00
Averages
27.40
High
30.00
About HRL
Hormel Foods Corporation is a global-branded food company. The Company develops, processes, and distributes a range of food products in a variety of markets. Its segments include Retail, Foodservice, and International. The Retail segment is primarily engaged in the processing, marketing, and sale of food products sold predominantly in the retail market. This segment also includes the Company’s MegaMex Foods, LLC joint venture. The Foodservice segment consists primarily of the processing, marketing, and sale of food products to foodservice, convenience store, and commercial customers located in the United States. The International segment processes, markets, and sells its products internationally. This segment also includes the results from the Company’s international joint ventures, international equity method investments, and international royalty arrangements. It has a global presence within several major international markets, including Australia, Brazil, Canada, China, and England.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Tech Stocks Volatility Rises, Strong Dividend Stocks Preferred
- Increased Market Volatility: Large-cap tech stocks have reached near 25-year high valuations after a three-year bull market, prompting market watchers to warn of a potential correction, necessitating investors to prepare for possible volatility.
- Recommended Strong Stocks: Hormel and McCormick, as consumer staples companies, have historically outperformed during market downturns, with Hormel boasting a 59-year streak of dividend increases and a current yield of 4.69%.
- Stable Dividend Yields: Despite Hormel and McCormick posting negative returns over the past one and five years, their dividends remain robust, with McCormick achieving 39 consecutive years of dividend growth and a yield of 2.85%.
- Analysts Favorable Outlook: Hormel has a price target of $27.50, suggesting a 12% upside, while McCormick's target is $73, indicating an expected 8% return over the next 12 months, making them suitable for providing stable income and protection in a volatile market.
See More
Quality Dividend Stocks Amid Market Volatility
- Dividend Stock Performance: Both Hormel and McCormick have historically outperformed during economic downturns, with Hormel exceeding the S&P 500 since 2008 in years of negative or minimal returns, demonstrating resilience amid market volatility.
- Dividend Growth History: Hormel, known as a 'Dividend King', has increased its dividend for 59 consecutive years with a current yield of 4.69%, while McCormick boasts 39 years of dividend increases at a yield of 2.85%, providing investors with a reliable income stream.
- Future Growth Potential: Analysts set a median price target of $27.50 for Hormel, suggesting a 12% upside, while McCormick's target is $73, indicating an expected 8% return over the next 12 months, highlighting their investment appeal.
- Market Environment Impact: With increasing volatility expected in 2026, these dividend stocks may offer stable income and downside protection for growth-oriented portfolios, although Hormel was not included in the latest Motley Fool recommendations, its long-term performance remains noteworthy.
See More
Hormel Foods Appoints New Supply Chain Leader
- New Supply Chain Leader: Hormel Foods Corporation has appointed Will Bonifant as group vice president and chief supply chain officer, effective March 9, overseeing global procurement, manufacturing, planning, logistics, and engineering to enhance supply chain efficiency and innovation.
- Extensive Industry Experience: Bonifant brings 15 years of experience from The Hershey Company, where he led supply chain strategy and engineering for a 20-plant network across the U.S., Canada, and international markets, particularly excelling in end-to-end supply chain management in China, which is expected to provide Hormel with a global perspective and expertise.
- Leadership and Transformation Drive: Hormel Foods President John Ghingo noted that Bonifant's forward-looking leadership and ability to drive transformation across complex systems will be crucial for advancing the company's long-term strategy, especially in integrating and optimizing the global supply chain.
- Educational Background and Career Path: Bonifant holds a Bachelor of Science in Electrical Engineering from the U.S. Naval Academy, a Master of Science in Engineering from Georgia Tech, and an MBA from the Wharton School, previously serving as a project leader at Boston Consulting Group, showcasing his cross-industry strategic and supply chain transformation experience.
See More
Hormel Foods Appoints New Supply Chain Leader
- New Supply Chain Leadership: Hormel Foods Corporation has appointed Will Bonifant as Group Vice President and Chief Supply Chain Officer, effective March 9, overseeing global procurement, manufacturing, planning, logistics, and engineering to enhance overall supply chain efficiency and innovation.
- Extensive Industry Experience: Bonifant brings 15 years of experience from The Hershey Company, where he led supply chain strategy and manufacturing for a network of 20 plants across the U.S., Canada, and international markets, particularly excelling in end-to-end supply chain management in China, which is expected to provide Hormel with a global perspective and best practices.
- Leadership and Transformation Focus: Hormel Foods President John Ghingo emphasized that Bonifant's forward-looking leadership and ability to drive transformation across complex systems will be crucial for advancing the company's long-term strategy, especially in the rapidly changing market environment.
- Educational Background and Career Path: Bonifant holds a Bachelor of Science in Electrical Engineering from the U.S. Naval Academy, a Master of Science in Engineering from Georgia Tech, and an MBA from the Wharton School, previously serving as a project leader at Boston Consulting Group, showcasing his cross-industry strategic and supply chain transformation expertise.
See More
Consumer Staples Appear Expensive: Explore Clorox and Other High-Yield Stocks with Strong Dividends.
- Market Shift: There is a significant rotation from software stocks to safer investments like consumer staples.
- Investor Sentiment: Investors are concerned that advancements in AI, such as ChatGPT, may negatively impact service-oriented businesses while benefiting manufacturers of household products.
See More
Analysis of High-Yield Stock Investment Opportunities
- Hormel Foods Dividend Performance: Hormel Foods boasts a 4.7% dividend yield, nearing its historical high, despite challenges from post-pandemic inflation and pricing difficulties, with the board reinstating the former CEO to drive recovery, likely attracting more dividend investors.
- Sustained Dividend Growth: Hormel has increased its dividend for 60 consecutive years, with a modest 1% hike indicating strong recovery potential on a solid foundation, capturing the attention of long-term dividend investors.
- Enterprise Products Partners' Stable Yield: Enterprise Products Partners offers a reliable 6.2% yield in the energy sector, with distributable cash flow covering distributions at a comfortable 1.7x, suggesting potential for further growth, appealing to investors seeking steady income.
- High-Yield Investment Options: Despite the S&P 500's overall yield of only 1.1%, high-yield stocks like Hormel and Enterprise Products Partners present excellent opportunities for investors looking to secure stable income in a volatile market.
See More
Tech Stocks Volatility Rises, Strong Dividend Stocks Preferred
- Increased Market Volatility: Large-cap tech stocks have reached near 25-year high valuations after a three-year bull market, prompting market watchers to warn of a potential correction, necessitating investors to prepare for possible volatility.
- Recommended Strong Stocks: Hormel and McCormick, as consumer staples companies, have historically outperformed during market downturns, with Hormel boasting a 59-year streak of dividend increases and a current yield of 4.69%.
- Stable Dividend Yields: Despite Hormel and McCormick posting negative returns over the past one and five years, their dividends remain robust, with McCormick achieving 39 consecutive years of dividend growth and a yield of 2.85%.
- Analysts Favorable Outlook: Hormel has a price target of $27.50, suggesting a 12% upside, while McCormick's target is $73, indicating an expected 8% return over the next 12 months, making them suitable for providing stable income and protection in a volatile market.
See More
Quality Dividend Stocks Amid Market Volatility
- Dividend Stock Performance: Both Hormel and McCormick have historically outperformed during economic downturns, with Hormel exceeding the S&P 500 since 2008 in years of negative or minimal returns, demonstrating resilience amid market volatility.
- Dividend Growth History: Hormel, known as a 'Dividend King', has increased its dividend for 59 consecutive years with a current yield of 4.69%, while McCormick boasts 39 years of dividend increases at a yield of 2.85%, providing investors with a reliable income stream.
- Future Growth Potential: Analysts set a median price target of $27.50 for Hormel, suggesting a 12% upside, while McCormick's target is $73, indicating an expected 8% return over the next 12 months, highlighting their investment appeal.
- Market Environment Impact: With increasing volatility expected in 2026, these dividend stocks may offer stable income and downside protection for growth-oriented portfolios, although Hormel was not included in the latest Motley Fool recommendations, its long-term performance remains noteworthy.
See More
Hormel Foods Appoints New Supply Chain Leader
- New Supply Chain Leader: Hormel Foods Corporation has appointed Will Bonifant as group vice president and chief supply chain officer, effective March 9, overseeing global procurement, manufacturing, planning, logistics, and engineering to enhance supply chain efficiency and innovation.
- Extensive Industry Experience: Bonifant brings 15 years of experience from The Hershey Company, where he led supply chain strategy and engineering for a 20-plant network across the U.S., Canada, and international markets, particularly excelling in end-to-end supply chain management in China, which is expected to provide Hormel with a global perspective and expertise.
- Leadership and Transformation Drive: Hormel Foods President John Ghingo noted that Bonifant's forward-looking leadership and ability to drive transformation across complex systems will be crucial for advancing the company's long-term strategy, especially in integrating and optimizing the global supply chain.
- Educational Background and Career Path: Bonifant holds a Bachelor of Science in Electrical Engineering from the U.S. Naval Academy, a Master of Science in Engineering from Georgia Tech, and an MBA from the Wharton School, previously serving as a project leader at Boston Consulting Group, showcasing his cross-industry strategic and supply chain transformation experience.
See More
Hormel Foods Appoints New Supply Chain Leader
- New Supply Chain Leadership: Hormel Foods Corporation has appointed Will Bonifant as Group Vice President and Chief Supply Chain Officer, effective March 9, overseeing global procurement, manufacturing, planning, logistics, and engineering to enhance overall supply chain efficiency and innovation.
- Extensive Industry Experience: Bonifant brings 15 years of experience from The Hershey Company, where he led supply chain strategy and manufacturing for a network of 20 plants across the U.S., Canada, and international markets, particularly excelling in end-to-end supply chain management in China, which is expected to provide Hormel with a global perspective and best practices.
- Leadership and Transformation Focus: Hormel Foods President John Ghingo emphasized that Bonifant's forward-looking leadership and ability to drive transformation across complex systems will be crucial for advancing the company's long-term strategy, especially in the rapidly changing market environment.
- Educational Background and Career Path: Bonifant holds a Bachelor of Science in Electrical Engineering from the U.S. Naval Academy, a Master of Science in Engineering from Georgia Tech, and an MBA from the Wharton School, previously serving as a project leader at Boston Consulting Group, showcasing his cross-industry strategic and supply chain transformation expertise.
See More
Consumer Staples Appear Expensive: Explore Clorox and Other High-Yield Stocks with Strong Dividends.
- Market Shift: There is a significant rotation from software stocks to safer investments like consumer staples.
- Investor Sentiment: Investors are concerned that advancements in AI, such as ChatGPT, may negatively impact service-oriented businesses while benefiting manufacturers of household products.
See More
Analysis of High-Yield Stock Investment Opportunities
- Hormel Foods Dividend Performance: Hormel Foods boasts a 4.7% dividend yield, nearing its historical high, despite challenges from post-pandemic inflation and pricing difficulties, with the board reinstating the former CEO to drive recovery, likely attracting more dividend investors.
- Sustained Dividend Growth: Hormel has increased its dividend for 60 consecutive years, with a modest 1% hike indicating strong recovery potential on a solid foundation, capturing the attention of long-term dividend investors.
- Enterprise Products Partners' Stable Yield: Enterprise Products Partners offers a reliable 6.2% yield in the energy sector, with distributable cash flow covering distributions at a comfortable 1.7x, suggesting potential for further growth, appealing to investors seeking steady income.
- High-Yield Investment Options: Despite the S&P 500's overall yield of only 1.1%, high-yield stocks like Hormel and Enterprise Products Partners present excellent opportunities for investors looking to secure stable income in a volatile market.
See More
