Analyst Note
| Rebecca Scheuneman, CFA |Hormel’s investor day provided a platform for the firm to highlight its strategy for the newly acquired Planters brand, which will serve as a cornerstone of its entertaining and snacking lineup. Given Hormel’s brand-building prowess (which underpins its narrow moat), we’re optimistic Planters’ new marketing campaign will help rejuvenate brand equity, while new flavors, sustainable packaging, and merchandising events should boost growth. Further, with 15% of Planters’ sales stemming from convenience stores, the deal provides an opening for Hormel to expand its legacy brands (protein snack packs and salsas) into the channel.