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Hershey (HSY) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Hershey (HSY - Free Report) closed at $236.77, marking a -1.88% move from the previous day. This change lagged the S&P 500's daily loss of 0.74%. At the same time, the Dow lost 0.9%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the chocolate bar and candy maker had gained 6.63% over the past month. This has outpaced the Consumer Staples sector's gain of 5.86% and the S&P 500's gain of 3.74% in that time.
Investors will be hoping for strength from Hershey as it approaches its next earnings release. On that day, Hershey is projected to report earnings of $1.79 per share, which would represent year-over-year growth of 5.92%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.58 billion, up 10.86% from the year-ago period.
HSY's full-year Zacks Consensus Estimates are calling for earnings of $8.29 per share and revenue of $10.35 billion. These results would represent year-over-year changes of +15.46% and +15.33%, respectively.
It is also important to note the recent changes to analyst estimates for Hershey. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Hershey currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Hershey is currently trading at a Forward P/E ratio of 29.12. Its industry sports an average Forward P/E of 25.65, so we one might conclude that Hershey is trading at a premium comparatively.
Investors should also note that HSY has a PEG ratio of 3.8 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. HSY's industry had an average PEG ratio of 3.8 as of yesterday's close.
The Food - Confectionery industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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Hershey (HSY) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Hershey (HSY - Free Report) closed at $236.77, marking a -1.88% move from the previous day. This change lagged the S&P 500's daily loss of 0.74%. At the same time, the Dow lost 0.9%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the chocolate bar and candy maker had gained 6.63% over the past month. This has outpaced the Consumer Staples sector's gain of 5.86% and the S&P 500's gain of 3.74% in that time.
Investors will be hoping for strength from Hershey as it approaches its next earnings release. On that day, Hershey is projected to report earnings of $1.79 per share, which would represent year-over-year growth of 5.92%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.58 billion, up 10.86% from the year-ago period.
HSY's full-year Zacks Consensus Estimates are calling for earnings of $8.29 per share and revenue of $10.35 billion. These results would represent year-over-year changes of +15.46% and +15.33%, respectively.
It is also important to note the recent changes to analyst estimates for Hershey. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Hershey currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Hershey is currently trading at a Forward P/E ratio of 29.12. Its industry sports an average Forward P/E of 25.65, so we one might conclude that Hershey is trading at a premium comparatively.
Investors should also note that HSY has a PEG ratio of 3.8 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. HSY's industry had an average PEG ratio of 3.8 as of yesterday's close.
The Food - Confectionery industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within 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 follow all of these stock-moving metrics, and many more, on Zacks.com.