Hershey HSY
The Hershey Company is a leading confectionery and snack manufacturer, known for brands like Hershey's, Reese's, and Kisses, selling its products through a broad retail distribution network in North America and other markets. Hershey shows solid financial health (6.26) with a 26.82% ROIC and a 23.12% operating margin, although its valuation (P/E 22.73) is not particularly cheap. The 631% earnings growth is an accounting anomaly that does not reflect the underlying trend.
Detailed metrics
Market and fundamental data as of the analysis date.
Full AI report
Generated automatically from the metrics, the macro context and the company's news.
The Hershey Company is a leading confectionery and snack manufacturer, known for brands like Hershey's, Reese's, and Kisses, selling its products through a broad retail distribution network in North America and other markets. Hershey shows solid financial health (6.26) with a 26.82% ROIC and a 23.12% operating margin, although its valuation (P/E 22.73) is not particularly cheap. The 631% earnings growth is an accounting anomaly that does not reflect the underlying trend.
Score by category
| Category | Score |
|---|---|
| Financial health | 6.3 |
| Quality / Moat | 7.9 |
| Valuation | 5.7 |
| Growth | 7.8 |
| Dividend | 6.6 |
| Momentum | 4.5 |
| Risk & Context | 9.2 |
OVERALL SCORE: 7.0/10
Context and risks
The rise in crude oil and 10-year yields does not materially affect Hershey: its confectionery business is defensive, with stable margins and no direct exposure to energy commodities. The increase in cocoa costs is a known sector factor, but it is not linked to the macro context described.
News considered in the analysis
- Halloween Spending to Set Record. Bargain-Hunting Dominates. — El gasto récord en Halloween es un viento de cola estacional para las ventas de confitería, aunque el enfoque en gangas sugiere presión promocional.
- Hershey vs. Mondelez: Same Cocoa Problem, Two Very Different Dividends — Comparación genérica de dividendos sin información nueva sobre Hershey.
- Hershey CEO: America’s 250 years of innovation and why we expanded our innovation pipeline 50% in one year — La expansión del pipeline de innovación es positiva para el crecimiento a largo plazo, aunque es una declaración de intenciones sin impacto financiero inmediato.
- P&G vs. Hershey: One Dividend Has a Major Advantage When Costs Surge — Comparación de dividendos sin información específica sobre Hershey.
- 3 US Consumer Staples Stocks To Watch As Inflation Squeezes Shoppers — Artículo genérico sobre acciones defensivas sin información específica sobre Hershey.
Verdict: Hold positions: the quality of the business and stable dividend offset a valuation with no margin of safety.
Main risk: The main risk is margin pressure from higher cocoa and other ingredient costs, which could compress profitability if the company fails to pass on higher costs through prices.
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