Hormel Acquires Brakebush Brothers for USD 1.055 Billion

Hormel Foods has announced a major acquisition, revealing on September 30, 2026, that it will purchase Brakebush Brothers for USD 1.055 billion. The transaction is expected to close in the first quarter of fiscal 2027, pending regulatory approval. This move is aimed at strengthening Hormel's position in the value-added chicken market and expanding its Foodservice platform.

The acquisition comes as Hormel reports strong fiscal third-quarter results. Revenue reached USD 2.96 billion, with adjusted earnings per share increasing by 6.00 percent year over year to USD 0.37. The company's adjusted operating margin improved by 60 basis points to 9.00 percent, and operating cash flow surged by 54.00 percent to USD 241.0 million.

Despite the positive outlook, Hormel's management has revised its fiscal 2026 guidance. While adjusted earnings per share expectations were raised to USD 1.45-1.51 from USD 1.43-1.51, the expected organic net sales growth was narrowed to 1.00-2.00 percent from 1.00-4.00 percent. The company also declared a quarterly dividend of USD 0.2925 per share, payable on November 16, 2026.

Goldman Sachs analyst Leah Jordan maintained a Buy rating and a USD 29.00 price target on Hormel Foods stock as of October 2, 2026. As of October 6, 2026, Hormel Foods stock was trading at EUR 17.98 on Lang & Schwarz, up 0.56 percent from the prior close. On the NYSE, the stock was last quoted at USD 20.08, with a market capitalization of USD 11.1 billion.