Hormel’s stock surges after earnings beat, amid strength in foodservice and Planters snack nuts

Shares of Hormel Foods Corp.
HRL,
-0.23%
jumped 4.7% toward an eight-week high in premarket trading Thursday, after the branded food company reported fiscal first-quarter results that beat expectations amid “robust” demand in the foodservice business and strength in Planters snack nuts. Net income for the quarter to Jan. 28 was $218.9 million, or 40 cents a share, after net income of $217.7 million, or 40 cents a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of 41 cents beat the FactSet consensus of 34 cents. Sales grew 0.9% to $3.00 billion, above the FactSet consensus of $2.91 billion, as volume increased 4%. For the full year, the company affirmed its adjusted EPS guidance of $1.51 to $1.65, which surrounds the FactSet consensus of $1.54. The stock has gained 1.2% over the past three months through Wednesday, while the S&P 500
SPX,
-0.17%
has advanced 11.4%.