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These Dividend Monsters Continue to Outshine the Market: PEP, HSY
Key Takeaways
Tech stocks aren't always the answer to see great returns.
HSY and PEP have both built simple, dependable businesses.
Both have nicely outperformed the S&P 500 in 2026.
Amid the continued AI craze in 2026, many have overlooked simple businesses that aren’t overly flashy, such as well-established companies like Hershey (HSY - Free Report) , and PepsiCo (PEP - Free Report) , both of which have nicely outperformed relative to the S&P 500 in 2026, as shown below.
Image Source: Zacks Investment Research
Hershey Enjoys Bullish Revisions
The Hershey Company, a current Zacks Rank #2 (Buy), is the largest chocolate manufacturer in North America and a global leader in chocolate and non-chocolate confectionery. The company has seen its earnings outlook for its current and next fiscal year jump higher over recent months, a huge positive concerning sustaining its recent momentum.
Image Source: Zacks Investment Research
Hershey has also been on a nice earnings streak, exceeding earnings and revenue estimates in three consecutive quarters, underpinning the recent momentum nicely.
Shares are also highly attractive from an income-focused standpoint, with the company overall a long-time favorite of those seeking consistent paydays. Shares currently yield a solid 2.7% annually, which compares to a current yield of 1.1% from the S&P 500.
Image Source: Zacks Investment Research
PepsiCo Keeps Paying
PepsiCo is a long-established company engaged in the manufacturing, marketing, and distribution of grain-based snack foods, beverages, and other products.
While revisions for its current and next fiscal year stand a hair below where they were a year ago, the bounce back and stability of revisions that have followed since last June eases concenrs nicely. The stock also popped on its latest set of better-than-expected results, with improved operational efficiencies leading to 15% year-over-year EPS growth.
Image Source: Zacks Investment Research
Keep in mind that PepsiCo holds the elite Dividend King title, showing an unparalleled commitment to its shareholders through 50+ consecutive years of increased dividend payouts. Shares currently yield a rock-solid 3.6% annually, with its dividend reliability illustrated below.
Image Source: Zacks Investment Research
Bottom Line
You don’t have to focus on the hottest tech trend to see great returns. Less-flashy companies like PepsiCo (PEP - Free Report) and The Hershey Company (HSY - Free Report) have established themselves fully by doing the ‘simple’ things exceptionally well. Of course, they’re likely not to impress investors given their less-flashy nature, but sometimes boring is better.
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These Dividend Monsters Continue to Outshine the Market: PEP, HSY
Key Takeaways
Amid the continued AI craze in 2026, many have overlooked simple businesses that aren’t overly flashy, such as well-established companies like Hershey (HSY - Free Report) , and PepsiCo (PEP - Free Report) , both of which have nicely outperformed relative to the S&P 500 in 2026, as shown below.
Image Source: Zacks Investment Research
Hershey Enjoys Bullish Revisions
The Hershey Company, a current Zacks Rank #2 (Buy), is the largest chocolate manufacturer in North America and a global leader in chocolate and non-chocolate confectionery. The company has seen its earnings outlook for its current and next fiscal year jump higher over recent months, a huge positive concerning sustaining its recent momentum.
Image Source: Zacks Investment Research
Hershey has also been on a nice earnings streak, exceeding earnings and revenue estimates in three consecutive quarters, underpinning the recent momentum nicely.
Shares are also highly attractive from an income-focused standpoint, with the company overall a long-time favorite of those seeking consistent paydays. Shares currently yield a solid 2.7% annually, which compares to a current yield of 1.1% from the S&P 500.
Image Source: Zacks Investment Research
PepsiCo Keeps Paying
PepsiCo is a long-established company engaged in the manufacturing, marketing, and distribution of grain-based snack foods, beverages, and other products.
While revisions for its current and next fiscal year stand a hair below where they were a year ago, the bounce back and stability of revisions that have followed since last June eases concenrs nicely. The stock also popped on its latest set of better-than-expected results, with improved operational efficiencies leading to 15% year-over-year EPS growth.
Image Source: Zacks Investment Research
Keep in mind that PepsiCo holds the elite Dividend King title, showing an unparalleled commitment to its shareholders through 50+ consecutive years of increased dividend payouts. Shares currently yield a rock-solid 3.6% annually, with its dividend reliability illustrated below.
Image Source: Zacks Investment Research
Bottom Line
You don’t have to focus on the hottest tech trend to see great returns. Less-flashy companies like PepsiCo (PEP - Free Report) and The Hershey Company (HSY - Free Report) have established themselves fully by doing the ‘simple’ things exceptionally well. Of course, they’re likely not to impress investors given their less-flashy nature, but sometimes boring is better.