Nathan's Famous, Inc. (NATH)

In January 2026, Smithfield Foods announced it would acquire Nathan's Famous, Inc. for approximately $450 million, leading to a 7% premarket increase in NATH shares. The acquisition is expected to close in the first half of 2026. Nathan's Famous has maintained a quarterly dividend of $0.50 per share, resulting in a forward yield of 1.97%. Over the past 52 weeks, NATH stock has traded between $84.72 and $118.50. In the fiscal second quarter ended September 28, 2025, the company reported revenue growth in its Branded Product Program, but faced margin compression due to increased cost of sales.

Demand for Nathan's Famous products and its stock exhibits seasonality. The stock has shown seasonal strength between May 19 and September 21, with a geometric average return of 7.15% above the S&P 500 Total Return Index over the past 20 years. This period aligns with warmer weather and the Fourth of July hot dog eating contest, which increases brand visibility and demand.

Nathan's Famous, Inc. is an American company known for its fast-food restaurants and branded products, specializing in hot dogs. It operates as a licensor, wholesaler, and retailer in the Consumer Cyclical sector, with business segments including Branded Product Program, Product Licensing, and Restaurant Operations. The company offers a variety of products, including hot dogs, hamburgers, and branded items like sausages and frozen French fries, sold through various retail channels.

Nathan's Famous distributes its products across all 50 U.S. states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, and Guam. Internationally, it has a presence in 20 to 21 foreign countries, including Canada, Mexico, and the United Kingdom. As of January 2026, the company operated 234 global restaurants, with 162 in the U.S. across 17 states, and managed 143 virtual kitchens worldwide.

Nathan's Famous has a strong brand reputation, established since 1916 in Coney Island, New York City. The company is known for its annual Fourth of July International Hot Dog Eating Contest, which contributes to its cultural presence. The acquisition by Smithfield Foods is expected to further strengthen the brand and enable expanded growth.

Nathan's Famous, Inc. has 245 institutional owners and shareholders holding a total of 2,659,343 shares. Institutional investors own approximately 21.56% of the company's stock, while insiders hold about 25.60%, and public companies and individual investors account for 52.84%. Major institutional shareholders include Gamco Investors, Inc. Et Al, EQ ADVISORS TRUST - 1290 VT GAMCO Small Company Value Portfolio Class IB, Gabelli Funds Llc, BlackRock, Inc., Renaissance Technologies Llc, Dimensional Fund Advisors Lp, Vanguard Group Inc, and Geode Capital Management, Llc.