Alcoa has a beta of about 125, whereas Hormel Foods has a beta of 179. the expected excess return of the market portfolio is 4%, which of these firms has a higher equity cost of capital and how much higher is? A Hormel Foods: 2.16% OB. Hormal Foods: 0.54% OC. More information such as risk free rate) needed OD Alcoa 0.54% OL Alcoa 2.18%