DailyIQ
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Sector:Consumer DefensiveAll sectors
Last updated 4 minutes ago

HSY·The Hershey Company

$.
-. (-.%)
After Hours
High
$177.60
Open
$176.50
Market Cap
35.59B
52W High
$239.48
Low
$173.54
P. Close
$174.36
P/E
32.52
52W Low
$160.07
Fwd P/E
123.61
DailyIQ Est.
$217.32
Technical Score (1D)
23
SELL
News Sentiment
68
BULLISH
Morningstar Research released an analyst report on Hershey, but the excerpt contains no detailed financial metrics or forward guidance, so traders should await the full report for actionable insights. The earnings preview indicates that Hershey is expected to report double‑digit net income growth in Q2, driven by stronger sales in core confectionery lines and improved margin management, which could lift the stock in the next trading days. The company’s shares rose 1.94% on a brief market rally, a move that reflects general market momentum rather than a company‑specific catalyst, so the rally is likely to dissipate once earnings are released. BNP Paribas has lifted its price target to $245 from $240 while maintaining an outperform rating, underscoring confidence in Hershey’s growth trajectory and cost‑control initiatives, which may support a bullish stance in the short term. However, Bank of America previously trimmed its target to $200 amid concerns over consumer spending and rising costs, creating conflicting analyst sentiment that traders should monitor for a potential shift in valuation. The appointment of former PepsiCo executive Heather Hoytink as President of U.S. operations signals a strategic push into higher‑protein snack categories, exemplified by the launch of the ONE x Reese’s protein bar, which could broaden Hershey’s product mix and appeal to health‑conscious consumers. Salty‑snack sales in Q1 continued to strengthen beyond the LesserEvil brand, supporting the overall portfolio and suggesting that Hershey’s broader category strategy is gaining traction. Going forward, traders should watch the upcoming earnings release for guidance on revenue trends and margin resilience, monitor how the new U.S. leadership translates into channel performance, and keep an eye on commodity price movements that could affect cost structures.
Earnings Summary
HSY is a leading global confectioner that produces chocolate and non‑chocolate candies, gum, mints, and snack items, operating through North America Confectionery, North America Salty Snacks, and International segments. The company’s well‑known brands such as Hershey’s, Reese’s, and Kit Kat give it a strong competitive advantage in the consumer‑defensive confectionery sector. In the most recent two quarters, the company posted EPS of $2.35 in Q1 2026 versus $1.71 in Q4 2025, an increase of roughly 37 %, while revenue rose from $3.091 billion to $3.104 billion, a modest 0.4 % gain; in contrast, the prior two quarters saw a decline in revenue from $3.181 billion in Q3 2025 to $3.091 billion in Q4 2025, even as EPS grew from $1.30 to $1.71. Hershey has consistently outperformed analyst expectations, beating EPS estimates in all six quarters reported, with the most recent guidance for Q4 2026 still pending. Historically, the company has maintained a steady upward trajectory in earnings, with EPS growth outpacing revenue growth in recent periods, and has demonstrated resilience in margins amid rising commodity costs. Recent news highlights a BNP Paribas price‑target upgrade to $245 on the basis of expected revenue growth and margin resilience, while Bank of America trimmed its target to $200 citing weaker guidance and inflationary headwinds; the appointment of former PepsiCo executive Heather Hoytink as U.S. president and the launch of a high‑protein Reese’s bar signal a strategic push into better‑for‑you snack categories that could support future revenue growth. Investors should watch the upcoming Q4 2026 earnings release for guidance on revenue and margin expectations, commodity price trends that could affect cost structures, and the performance of the new protein snack line in the U.S. market.

EPS

EstBeatMiss
$0.80$1.24$1.68$2.11$2.55Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$1.43 - -
Q1'26$2.05$2.35+14.7%
Q4'25$1.42$1.71+20.6%
Q3'25$1.06$1.30+22.2%
Q2'25$1.00$1.21+20.4%
Q1'25$1.93$2.09+8.0%

Revenue

EstBeatMiss
$2.5B$2.7B$2.9B$3.1B$3.3BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$2.7B - -
Q1'26$3.0B$3.1B+2.6%
Q4'25$3.0B$3.1B+2.7%
Q3'25 - $3.2B -
Q2'25 - $2.6B -
Q1'25 - $2.8B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

HSY Stock Snapshot

HSY is currently trading at $174.41, giving The Hershey Company a market cap of 35.59B and a P/E ratio of 32.5. Today's range spans $173.54–$177.60, with shares opening at $176.50 and moving up $0.05 (0.0%) from the prior close. DailyIQ's technical score sits at 23/100 (SELL) with a news sentiment reading of 68/100.

Over the past year HSY has traded between $160.07 and $239.48 - the current price is +9.0% off the 52-week low and -27.2% from the high. 29 analysts cover the stock with a Hold consensus and a mean 12-month target of $216.43 (range $166.00–$255.00), implying upside of +24.1%.

Sector rotation is working against HSY - large-cap, Consumer Defensive, 35.59B market cap. Technical score 23/100 (SELL), sentiment bullish (68/100), price $174.41 (in the lower half of its 52-week range). (P/E: 32.5) When capital rotates out of a sector, large-cap names with bearish technicals are the first to absorb the selling. Annual range $160.07–$239.48 frames where the next potential demand zone resides.

The current SELL phase for HSY (23/100) at $174.41 (in the lower half of its 52-week range) suggests that the market is discounting either a fundamental deterioration or a sector headwind that hasn't fully appeared in the earnings line yet. Sentiment at 68/100 (bullish) confirms that news flow is not providing a counternarrative. At 35.59B in Consumer Defensive capitalization, HSY has the liquidity for institutional exits to be orderly — but orderly doesn't mean shallow within the $160.07–$239.48 range.