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Hershey (HSY) Gains But Lags Market: What You Should Know
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Hershey (HSY - Free Report) closed at $234.98 in the latest trading session, marking a +0.57% move from the prior day. The stock lagged the S&P 500's daily gain of 1.49%. Elsewhere, the Dow gained 1.6%, while the tech-heavy Nasdaq added 0.06%.
Heading into today, shares of the chocolate bar and candy maker had gained 0.63% over the past month, lagging the Consumer Staples sector's gain of 1.33% and outpacing the S&P 500's loss of 3.49% in that time.
Investors will be hoping for strength from Hershey as it approaches its next earnings release. The company is expected to report EPS of $1.79, up 5.92% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.58 billion, up 10.92% 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.
Investors should also note any recent changes to analyst estimates for Hershey. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, 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. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Hershey currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Hershey currently has a Forward P/E ratio of 28.2. For comparison, its industry has an average Forward P/E of 23.47, which means Hershey is trading at a premium to the group.
It is also worth noting that HSY currently has a PEG ratio of 3.68. 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. HSY's industry had an average PEG ratio of 3.68 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 100, which puts it in the top 40% 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.
To follow HSY in the coming trading sessions, be sure to utilize Zacks.com.
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Hershey (HSY) Gains But Lags Market: What You Should Know
Hershey (HSY - Free Report) closed at $234.98 in the latest trading session, marking a +0.57% move from the prior day. The stock lagged the S&P 500's daily gain of 1.49%. Elsewhere, the Dow gained 1.6%, while the tech-heavy Nasdaq added 0.06%.
Heading into today, shares of the chocolate bar and candy maker had gained 0.63% over the past month, lagging the Consumer Staples sector's gain of 1.33% and outpacing the S&P 500's loss of 3.49% in that time.
Investors will be hoping for strength from Hershey as it approaches its next earnings release. The company is expected to report EPS of $1.79, up 5.92% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.58 billion, up 10.92% 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.
Investors should also note any recent changes to analyst estimates for Hershey. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, 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. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Hershey currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Hershey currently has a Forward P/E ratio of 28.2. For comparison, its industry has an average Forward P/E of 23.47, which means Hershey is trading at a premium to the group.
It is also worth noting that HSY currently has a PEG ratio of 3.68. 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. HSY's industry had an average PEG ratio of 3.68 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 100, which puts it in the top 40% 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.
To follow HSY in the coming trading sessions, be sure to utilize Zacks.com.