The Hershey Co HSY

Morningstar Rating
$174.25 +0.30 (0.17%)
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Company Report

Price vs Fair Value

HSY is trading at a LOCK|m@!m#%< premium.
Price
$173.95
Fair Value
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Uncertainty
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1-Star Price
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5-Star Price
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Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Hershey is pursuing tech-enabled productivity by embedding AI across sourcing, manufacturing, and distribution, targeting $110 million in savings, which is slated to be reinvested in its brands.

Bears

Unrelenting pressure on consumer pocketbooks could dent purchases of more indulgent and discretionary categories, such as confectionery and snacking.

News

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Trading Information

Previous Close Price
$173.95
Day Range
$171.62–175.04
52-Week Range
$156.40–239.37
Bid/Ask
$174.23 / $174.31
Shares Outstanding
200.98M
Market Cap
$35.02B
Volume/Avg
2M / 2M

Key Statistics

Price/Earnings (Normalized)
20.78
Price/Sales
2.88
Dividend Yield (Trailing)
3.29%
Dividend Yield (Forward)
3.34%
Dividend Payment Schedule
Mar, Jun, Sep, Dec
Total Yield
4.55%

Company Profile

Hershey is a leading US confectionery manufacturer (in a $55 billion market, according to Euromonitor), controlling more than 35% of the domestic chocolate aisle. Beyond its namesake label, the firm's portfolio has expanded over the last 85 years and now comprises 100 brands, including Reese's, Kit Kat, Kisses, and Ice Breakers. Hershey's products are sold in about 80 countries, though only a high-single-digit percentage of sales comes from markets outside the US, including the UK, Brazil, India, and Mexico. The firm has sought inorganic opportunities to extend its reach beyond its core confectionery business, adding Amplify Snack Brands and its Skinny Pop ready-to-eat popcorn to its portfolio, as well as Pirate Brands, Dot's Pretzels, and LesserEvil over the past few years.
Sector
Consumer Defensive
Industry
Confectioners
Stock Style Box
Mid Core
Total Number of Employees
19,595

Competitors

Valuation

Metric
HSY
NSRGY
CPB
Price/Earnings (Normalized)
20.7824.7017.24
Price/Book Value
7.177.471.75
Price/Sales
2.882.420.70
Price/Cash Flow
13.0313.445.65
Price/Earnings
HSY
NSRGY
CPB

Financial Strength

Metric
HSY
NSRGY
CPB
Quick Ratio
0.570.380.29
Current Ratio
1.240.830.82
Interest Coverage
11.365.962.57
Quick Ratio
HSY
NSRGY
CPB

Profitability

Metric
HSY
NSRGY
CPB
Return on Assets (Normalized)
12.64%7.99%4.28%
Return on Equity (Normalized)
37.34%33.92%16.51%
Return on Invested Capital (Normalized)
18.28%12.26%8.11%
Return on Assets
HSY
NSRGY
CPB

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