Covington Investment Advisors Inc. Raises Stake in Hershey Company (The) (NYSE:HSY)

Key Points

• Covington Investment Advisors Inc. increased its investment in The Hershey Company by 18.4%, bringing its total holdings to approximately $5.60 million as of the first quarter.
• Several other institutional investors, including Montag & Caldwell LLC and Tradewinds Capital Management LLC, have also recently acquired or boosted their positions in Hershey, highlighting increased institutional interest in the company.
• Analysts have generally given Hershey a "Hold" rating, with an average price target of $169.68, while recent quarterly results showed a significant revenue increase of 26% compared to last year.

Covington Investment Advisors Inc. grew its stake in Hershey Company (The) (NYSE:HSY - Free Report) by 18.4% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 32,737 shares of the company's stock after buying an additional 5,086 shares during the period. Covington Investment Advisors Inc.'s holdings in Hershey were worth $5,599,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Trust Co. of Vermont grew its stake in Hershey by 2.4% during the first quarter. Trust Co. of Vermont now owns 2,691 shares of the company's stock worth $460,000 after purchasing an additional 62 shares during the period. Ignite Planners LLC grew its stake in Hershey by 5.2% during the first quarter. Ignite Planners LLC now owns 1,278 shares of the company's stock worth $214,000 after purchasing an additional 63 shares during the period. Klein Pavlis & Peasley Financial Inc. grew its stake in Hershey by 0.9% during the first quarter. Klein Pavlis & Peasley Financial Inc. now owns 7,248 shares of the company's stock worth $1,229,000 after purchasing an additional 66 shares during the period. Allworth Financial LP grew its stake in Hershey by 0.9% during the first quarter. Allworth Financial LP now owns 7,189 shares of the company's stock worth $1,179,000 after purchasing an additional 67 shares during the period. Finally, Fifth Third Wealth Advisors LLC grew its stake in Hershey by 2.6% during the first quarter. Fifth Third Wealth Advisors LLC now owns 2,768 shares of the company's stock worth $473,000 after purchasing an additional 69 shares during the period. Institutional investors and hedge funds own 57.96% of the company's stock.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on the company. Mizuho raised their target price on Hershey from $155.00 to $165.00 and gave the stock a "neutral" rating in a research note on Monday, July 28th. Wall Street Zen upgraded Hershey from a "sell" rating to a "hold" rating in a report on Saturday, August 2nd. Royal Bank Of Canada cut their price target on Hershey from $178.00 to $175.00 and set a "sector perform" rating on the stock in a report on Friday, May 2nd. Sanford C. Bernstein increased their price target on Hershey from $155.00 to $179.00 and gave the stock a "market perform" rating in a report on Thursday, July 31st. Finally, Bank of America increased their price target on Hershey from $175.00 to $208.00 and gave the stock a "neutral" rating in a report on Thursday, July 31st. Four research analysts have rated the stock with a sell rating and sixteen have assigned a hold rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $168.83.

Hershey Stock Performance

Hershey stock traded up $0.52 during mid-day trading on Thursday, reaching $180.58. 659,141 shares of the company's stock were exchanged, compared to its average volume of 1,858,427. The business's fifty day simple moving average is $174.45 and its 200 day simple moving average is $167.87. The firm has a market capitalization of $36.61 billion, a PE ratio of 23.98, a P/E/G ratio of 4.26 and a beta of 0.27. Hershey Company has a one year low of $140.13 and a one year high of $208.03. The company has a quick ratio of 0.89, a current ratio of 1.53 and a debt-to-equity ratio of 1.15.

Hershey (NYSE:HSY - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported $1.21 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.98 by $0.23. Hershey had a return on equity of 37.36% and a net margin of 13.54%. The business had revenue of $2.61 billion during the quarter, compared to the consensus estimate of $2.50 billion. During the same period last year, the business posted $1.27 earnings per share. The business's revenue for the quarter was up 26.0% on a year-over-year basis. On average, sell-side analysts expect that Hershey Company will post 6.12 earnings per share for the current year.

Hershey Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, September 15th. Shareholders of record on Friday, August 15th will be given a $1.37 dividend. This represents a $5.48 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date of this dividend is Friday, August 15th. Hershey's dividend payout ratio (DPR) is currently 72.78%.

Insiders Place Their Bets

In other Hershey news, insider Rohit Grover sold 1,334 shares of the firm's stock in a transaction on Monday, July 21st. The stock was sold at an average price of $180.00, for a total value of $240,120.00. Following the completion of the sale, the insider directly owned 38,068 shares of the company's stock, valued at $6,852,240. This trade represents a 3.39% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CFO Steven E. Voskuil sold 5,000 shares of the business's stock in a transaction on Monday, July 21st. The shares were sold at an average price of $180.00, for a total value of $900,000.00. Following the sale, the chief financial officer owned 61,319 shares in the company, valued at approximately $11,037,420. The trade was a 7.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 118,311 shares of company stock valued at $20,931,348. Company insiders own 0.34% of the company's stock.

Hershey Company Profile

The Hershey Company, together with its subsidiaries, engages in the manufacture and sale of confectionery products and pantry items in the United States and internationally. The company operates through three segments: North America Confectionery, North America Salty Snacks, and International. It offers chocolate and non-chocolate confectionery products; gum and mint refreshment products, including mints, chewing gums, and bubble gums; protein bars; pantry items, such as baking ingredients, toppings, beverages, and sundae syrups; and snack items comprising spreads, bars, snack bites, mixes, popcorn, and pretzels.