HSY

The Hershey Company

Fundamental data last updated:September 14, 2026

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company profile

SECTOR

Consumer Defensive

industry

Food Confectioners

Exchange

NYSE

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

The Hershey Company, together with its subsidiaries, engages in the manufacture and sale of confectionery products and pantry items in the United States and internationally. The company operates through three segments: North America Confectionery, North America Salty Snacks, and International. It offers chocolate and non-chocolate confectionery products; gum and mint refreshment products, including mints, chewing gums, and bubble gums; pantry items, such as baking ingredients, toppings, beverages, and sundae syrups; and snack items comprising spreads, meat snacks, bars and snack bites, mixes, popcorn, and protein bars. The company provides its products primarily under the Hershey's, Reese's, Kisses, Jolly Rancher, Almond Joy, Brookside, barkTHINS, Cadbury, Good & Plenty, Heath, Kit Kat, Payday, Rolo, Twizzlers, Whoppers, York, Ice Breakers, Breath Savers, Bubble Yum, Lily's, SkinnyPop, Pirates Booty, Paqui, Dot's Homestyle Pretzels, and ONE Bar brands, as well as under the Pelon Pelo Rico, IO-IO, and Sofit brands. It markets and sells its products to wholesale distributors, chain grocery stores, mass merchandisers, chain drug stores, vending companies, wholesale clubs, convenience stores, dollar stores, concessionaires, and department stores. The company was founded in 1894 and is headquartered in Hershey, Pennsylvania.

 


VALUATION

P/E

35.20

Market Cap ($M USD)

$39.32B

Forward P/E

15.62

PEG

0.12

PRICE TO SALES

3.28

PRICE TO BOOK

8.13

EV / EBITDA

21.51

5-Year Average P/E

Free Cash Flow Yield

5.52%

DCF Value

$372.37

Graham Number

$54.34

Price to FCF

18.13

EV to FCF

20.20

Earnings Yield

2.84%

FCF Yield

5.52%

DIVIDEND

Yield

2.91%

Annual Payout

$5.64

Payout Ratio

100.69%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$5.51

Next Year EPS Growth Estimate

$12.41

Next Year Revenue Growth Estimate

$13.86B

Return on Equity (ROE)

23.72%

FREE CASH FLOW

Operating Margin

14.08%

Debt-to-Equity

1.17

Piotroski F-Score

8

Altman Z-Score

3.90

Return on Invested Capital (ROIC)

15.63%

Current Ratio

1.24

Quick Ratio

0.77

Net Debt to EBITDA

2.20

Interest Coverage

8.17

Gross Profit margin

34.76%

FCF PER SHARE

$10.92

REVENUE PER SHARE

$60.36

Gainseekers Quantitative Analysis

Summary

The market appears to be significantly undervaluing The Hershey Company. With a DCF value towering over its recent pricing, the stock seems mispriced. The Forward P/E of 14.98 suggests a more attractive valuation compared to its current P/E, indicating potential growth. Meanwhile, an Altman Z-score of 3.81 reflects financial stability, and a PEG ratio of 0.12 signals undervaluation relative to growth prospects. However, the earnings yield of 2.96% is modest, hinting at a need for careful consideration.

AI Exposure / Tech Reliance

In the realm of AI and tech adaptation, Hershey's position as a food confectioner means it faces minimal direct disruption from tech shifts. However, leveraging AI for supply chain optimization and consumer insights could enhance efficiency. The company's focus on traditional consumer goods provides a buffer against rapid tech-driven changes.

The Bull Case

For the value-driven investor, Hershey's robust ROIC of 15.63% and a Piotroski F-Score of 8 highlight strong operational efficiency and financial health. The company's operating margin of 14.08% and a solid FCF yield further underscore its ability to generate cash effectively. These metrics suggest Hershey has significant pricing power and capital efficiency, making it an attractive buy for those seeking stable growth.

The Bear Case

Despite its strengths, Hershey faces challenges with its high Price/Book ratio of 7.80 and Price/Sales of 3.14, indicating a potentially overvalued stock. The payout ratio exceeding 100% raises concerns about dividend sustainability. Additionally, trading significantly below its 50-Day SMA suggests technical weakness, which could deter momentum investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$221.14

Institutional Ownership %

1-Year Beta

0.07

Insider Buying % (6 Mo)

Distance to 52-Week High

23.55%

Distance to 52-Week Low

18.60%

EARNINGS SURPRISE %

15.20%

50-DAY SMA

$197.10

200-DAY SMA

$193.80

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.