Hershey (HSY) closed the most recent trading day at $166.59, moving +1.44% from the previous trading session. The stock's performance was ahead of the S&P 500's daily gain of 0.13%. Meanwhile, the Dow experienced a drop of 1.33%, and the technology-dominated Nasdaq saw a decrease of 0.13%.
Heading into today, shares of the chocolate bar and candy maker had lost 1.86% over the past month, lagging the Consumer Staples sector's gain of 0.72% and outpacing the S&P 500's loss of 6.3% in that time.
The upcoming earnings release of Hershey will be of great interest to investors. The company's earnings report is expected on May 1, 2025. In that report, analysts expect Hershey to post earnings of $1.94 per share. This would mark a year-over-year decline of 36.81%. Simultaneously, our latest consensus estimate expects the revenue to be $2.82 billion, showing a 13.25% drop compared to the year-ago quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.10 per share and a revenue of $11.42 billion, representing changes of -34.9% and +1.99%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Hershey. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.27% lower. Right now, Hershey possesses a Zacks Rank of #3 (Hold).
Investors should also note Hershey's current valuation metrics, including its Forward P/E ratio of 26.93. This denotes a premium relative to the industry's average Forward P/E of 22.86.
It is also worth noting that HSY currently has a PEG ratio of 5.85. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Food - Confectionery industry currently had an average PEG ratio of 4.36 as of yesterday's close.
The Food - Confectionery industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 89, putting it in the top 36% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Hershey Company (The) (HSY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
