Hershey (HSY) ended the recent trading session at $192.58, demonstrating a -1.52% change from the preceding day's closing price. This change lagged the S&P 500's 0.28% loss on the day. Elsewhere, the Dow saw a downswing of 0.52%, while the tech-heavy Nasdaq depreciated by 0.08%.
The chocolate bar and candy maker's stock has climbed by 5.37% in the past month, exceeding the Consumer Staples sector's loss of 3.78% and the S&P 500's gain of 4.03%.
Market participants will be closely following the financial results of Hershey in its upcoming release. The company plans to announce its earnings on October 30, 2025. The company is expected to report EPS of $1.07, down 54.27% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $3.11 billion, up 4.1% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.91 per share and a revenue of $11.51 billion, indicating changes of -36.93% and +2.78%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Hershey. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Hershey currently has a Zacks Rank of #3 (Hold).
Investors should also note Hershey's current valuation metrics, including its Forward P/E ratio of 33.07. This valuation marks a premium compared to its industry average Forward P/E of 22.41.
It's also important to note that HSY currently trades at a PEG ratio of 4.72. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Food - Confectionery industry stood at 3.55 at the close of the market yesterday.
The Food - Confectionery industry is part of the Consumer Staples sector. At present, this industry carries a Zacks Industry Rank of 212, placing it within the bottom 15% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Hershey Company (The) (HSY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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