In this file:

 

·         Happy Little Plants: Hormel Enters The Beyond Meat Arena
… The flagship product for now will be a soy-based ground meat alternative. It appears to be quite competitive in the nutritional sweepstakes, offering 20 grams of protein with just 180 calories. That's a solid 44% of calories coming from protein. Beyond Meat's four ounce patty also has 20 grams of protein, but due to higher fat content, comes in at 270 calories and a significantly lower protein to calorie ratio…

·         Hormel grows into plant-based meat with its new Happy Little Plants brand

… soy protein that can be used in any recipe calling for ground meat, the company said in a release…

 

·         Hormel unwraps plant-based protein line, called Happy Little Plants

The maker of bacon, ham, turkey and Spam is turning to plants as a protein source.

 

 

 

Happy Little Plants: Hormel Enters The Beyond Meat Arena

About: Hormel Foods Corporation (HRL), Includes: BYND, K, MKC, NSRGY, TSN

 

Ian Bezek, Seeking Alpha 

Sep. 5, 2019

 

Summary

 

·         Hormel and Kellogg both announced plant-based protein products at Wednesday's Barclays Global Consumer Staples Conference.

 

·         For Hormel's part, they are launching a soy-based line of plant proteins initially focusing on a ground meat alternative.

 

·         Hormel's entry into the field should make Beyond Meat owners nervous.

 

·         For Hormel, this won't move the needle immediately. Regardless, the bullish case for the stock remains strong.

 

 

I've frequently made the argument that Hormel Foods (HRL) is the most attractive investment play on the consumer trend toward increased protein consumption. And I previously suggested that Beyond Meat (BYND) would not live up to its hype in part because the product has minimal competitive moat.

 

Those two threads wove together nicely on Wednesday as Hormel announced that it has officially launched its new line of plant-based protein products to compete with the likes of Beyond Meat, Impossible Foods, and traditional packaged food companies with vegetarian product lines such as Kellogg (K).

 

Hormel is launching its Happy Little Plants line of various soy-based meat alternatives in grocery stores this week. The flagship product for now will be a soy-based ground meat alternative. It appears to be quite competitive in the nutritional sweepstakes, offering 20 grams of protein with just 180 calories. That's a solid 44% of calories coming from protein. Beyond Meat's four ounce patty also has 20 grams of protein, but due to higher fat content, comes in at 270 calories and a significantly lower protein to calorie ratio.

 

While this isn't directly going after the burger market, there's plenty of interest in ground meat-like products as well. And Hormel is quick to note its entrant into the field is preservative free, has no cholesterol, and is gluten-free, along with being quite low calorie for that product category.

 

Hormel Stock Reaction Reminds Us Of Beyond Meat's Fantasy Valuation ...

 

Beyond Meat Owners Should Be Nervous ...

 

What's Next For Hormel Foods Stock? ...

 

more, including links, charts    

https://seekingalpha.com/article/4289902-happy-little-plants-hormel-enters-beyond-meat-arena

 

 

 

Hormel grows into plant-based meat with its new Happy Little Plants brand

 

Cathy Siegner, FoodDive 

Sept. 5, 2019

 

Dive Brief:

 

·         Hormel Foods is launching a non-GMO meat substitute under its new Happy Little Plants brand made with soy protein that can be used in any recipe calling for ground meat, the company said in a release.

·         The plant-based ground product contains 20 grams of protein and 180 calories per serving, has no preservatives or cholesterol, and is gluten-free, Hormel said. It will initially be available at select Hy-Vee outlets in Iowa, Kansas, Minnesota, Missouri, Nebraska and Wisconsin, although the company noted more locations will be added in the future.

·         The Happy Little Plants line is being created as part of Hormel's first project under its Cultivated Foods umbrella. Company shares were up Sept. 4 after the news was announced, CNBC reported, but they later dropped by a fraction.

 

Dive Insight:

 

With this new Happy Little Plants brand of meat alternatives, the maker of Spam, bacon, ham and pepperoni seems to be acknowledging the popularity of the plant-based sector and wants to get a slice of the ever-increasing action.

 

Consumers are looking to reduce their meat consumption, with 60% of those ages 25 to 70 saying they're cutting back for cost or health reasons, according to HealthFocus International figures. So plant-based meat substitutes coming from well-known legacy food companies such as Hormel could attract additional audiences in addition to those already used to buying its brands.

 

That name familiarity could be an asset since Hormel is arriving a little bit late to the plant-based party. The delay may not matter if the company can quickly get its new ground meat alternative into stores nationwide so the brand can more effectively compete with the Beyond Burger, Impossible Burger and all the other plant-based products already there. However, many of the other manufacturers are slowly getting into the plant-based ground meat market, giving Hormel's new product a chance to fit into the niche.

 

Hormel isn't the only major manufacturer just now getting into this space. Tyson Foods introduced a plant-based nugget product under its new Raised & Rooted brand and planned to have it on shelves at 4,000 retail outlets and in food service distribution by the end of this month. And on the same day the Happy Little Plants brand was announced, Kellogg's MorningStar Farms said it is developing plant-based burgers and chicken under its new Incogmeato brand. An ambitious distribution schedule is likely necessary to try and catch up with the competition, and long-time food companies may be better positioned to get that done.

 

Meat producers have a big incentive to edge into the plant-based sector...

 

more, including links

https://www.fooddive.com/news/hormel-grows-into-plant-based-meat-with-its-new-happy-little-plants-brand/

 

 

Hormel unwraps plant-based protein line, called Happy Little Plants

The maker of bacon, ham, turkey and Spam is turning to plants as a protein source.

 

By Kristen Leigh Painter, Star Tribune (MN)

September 4, 2019

 

Hormel Foods Corp. is launching a new line of plant-based meat alternatives, joining the year's hottest trend in food.

 

Hormel's Happy Little Plants brand debuts with a soy-based product that looks and cooks like ground beef. It will begin showing up in Hy-Vee stores across the Midwest this week.

 

Other products, such as plant-based Italian sausage, breakfast links and bratwursts, will follow. Executives formally announced the brand line at the Barclays Global Consumer Staples Conference in Boston Wednesday.

 

"We are definitely celebrating plant for the goodness of plant. We are not trying to replicate meat," said Jim Splinter, vice president of corporate strategy at Hormel. "We are offering consumers choice. They are looking to add plants to their everyday routine."

 

Like others in the market, Hormel's Happy Little Plants products will be sold at a premium price, currently listed at $8.99 per pound. The company said the products will be produced fresh and sold refrigerated instead of frozen, in contrast to veggie burgers that were forerunners in the alternative meat category.

 

The move by the Austin, Minn.-based company long known for bacon, ham, turkey and Spam is yet another sign of the potential of the plant-based food market.

 

The initial public offering of Beyond Meat, another company making plant-based meat substitutes, in May became a pivotal moment when investors endorsed a trend that had been taking shape for several years. That IPO was the most successful of 2019 so far, and Beyond Meat's shares are now worth more than six times their initial price.

 

Tyson Foods then unveiled a new line of plant-based and blended products, called Raised & Rooted, in June. Also Wednesday, Kellogg Co. announced its own plant-based burger patty, called Incogmeato, under its MorningStar Farms brand.

 

Competition in the meat-alternative market is steep. Hormel looked at acquiring a number of startups, Splinter said, but the smaller companies set their value higher than what Hormel was willing to pay.

 

Hormel turned inward, seeing potential to build a plant-based line itself. It already has the refrigerated supply chain and distribution capabilities, plus the technological capabilities to create a viable product quickly.

 

Hormel established a small team of people from across the company to work in a fast-paced, startup-like environment, dubbed Agile. This group of Hormel employees was able to get the Happy Little Plants from concept to market in less than 10 weeks.

 

While the grunt work was done in Austin over the summer, Hormel used proprietary research...

 

more

http://www.startribune.com/hormel-unwraps-plant-based-protein-line-called-happy-little-plants/559404552/