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Hershey (HSY) Registers a Bigger Fall Than the Market: Important Facts to Note
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Hershey (HSY - Free Report) closed the most recent trading day at $191.09, moving -1.22% from the previous trading session. This move lagged the S&P 500's daily loss of 0.1%. On the other hand, the Dow registered a gain of 0.57%, and the technology-centric Nasdaq decreased by 0.33%.
The chocolate bar and candy maker's stock has climbed by 7.01% in the past month, exceeding the Consumer Staples sector's loss of 2.31% and the S&P 500's gain of 2.57%.
The investment community will be closely monitoring the performance of Hershey in its forthcoming earnings report. The company's upcoming EPS is projected at $1.06, signifying a 54.70% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $3.11 billion, up 4.1% from the prior-year quarter.
HSY's full-year Zacks Consensus Estimates are calling for earnings of $5.92 per share and revenue of $11.51 billion. These results would represent year-over-year changes of -36.82% and +2.78%, respectively.
It is also important to note the recent changes to analyst estimates for Hershey. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.16% decrease. Right now, Hershey possesses a Zacks Rank of #3 (Hold).
Looking at valuation, Hershey is presently trading at a Forward P/E ratio of 32.67. This valuation marks a premium compared to its industry average Forward P/E of 22.88.
Investors should also note that HSY has a PEG ratio of 4.67 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Food - Confectionery industry was having an average PEG ratio of 3.5.
The Food - Confectionery industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 103, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Hershey (HSY) Registers a Bigger Fall Than the Market: Important Facts to Note
Hershey (HSY - Free Report) closed the most recent trading day at $191.09, moving -1.22% from the previous trading session. This move lagged the S&P 500's daily loss of 0.1%. On the other hand, the Dow registered a gain of 0.57%, and the technology-centric Nasdaq decreased by 0.33%.
The chocolate bar and candy maker's stock has climbed by 7.01% in the past month, exceeding the Consumer Staples sector's loss of 2.31% and the S&P 500's gain of 2.57%.
The investment community will be closely monitoring the performance of Hershey in its forthcoming earnings report. The company's upcoming EPS is projected at $1.06, signifying a 54.70% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $3.11 billion, up 4.1% from the prior-year quarter.
HSY's full-year Zacks Consensus Estimates are calling for earnings of $5.92 per share and revenue of $11.51 billion. These results would represent year-over-year changes of -36.82% and +2.78%, respectively.
It is also important to note the recent changes to analyst estimates for Hershey. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.16% decrease. Right now, Hershey possesses a Zacks Rank of #3 (Hold).
Looking at valuation, Hershey is presently trading at a Forward P/E ratio of 32.67. This valuation marks a premium compared to its industry average Forward P/E of 22.88.
Investors should also note that HSY has a PEG ratio of 4.67 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Food - Confectionery industry was having an average PEG ratio of 3.5.
The Food - Confectionery industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 103, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.