Hershey Company (The) $HSY Shares Sold by Principal Financial Group Inc.

Key Points

• Principal Financial Group cut its Hershey stake by 14.6% in the first quarter, selling 33,639 shares and leaving it with 197,503 shares valued at about $41.1 million.
• Hershey reported a strong quarterly result, with EPS of $2.35 topping estimates and revenue of $3.10 billion beating expectations; revenue also rose 10.7% year over year.
• Despite the earnings beat, Wall Street remains cautious: analysts’ consensus rating is Hold, with a consensus price target of $212.56, while CFO Steven E. Voskuil also sold 1,500 shares in June.

Principal Financial Group Inc. decreased its holdings in shares of Hershey Company (The) (NYSE:HSY - Free Report) by 14.6% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 197,503 shares of the company's stock after selling 33,639 shares during the period. Principal Financial Group Inc. owned about 0.10% of Hershey worth $41,059,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors have also recently added to or reduced their stakes in the company. Chicago Partners Investment Group LLC increased its holdings in Hershey by 5.7% in the 1st quarter. Chicago Partners Investment Group LLC now owns 1,560 shares of the company's stock worth $324,000 after acquiring an additional 84 shares in the last quarter. Applied Finance Capital Management LLC lifted its holdings in Hershey by 9.7% during the first quarter. Applied Finance Capital Management LLC now owns 5,236 shares of the company's stock valued at $1,089,000 after purchasing an additional 464 shares in the last quarter. Procyon Advisors LLC grew its position in shares of Hershey by 235.3% in the first quarter. Procyon Advisors LLC now owns 5,706 shares of the company's stock valued at $1,186,000 after purchasing an additional 4,004 shares during the period. Global Assets Advisory LLC acquired a new stake in shares of Hershey in the first quarter valued at about $113,000. Finally, Carnegie Investment Counsel purchased a new stake in shares of Hershey during the first quarter worth about $205,000. Institutional investors and hedge funds own 57.96% of the company's stock.

Hershey Stock Performance

HSY opened at $171.50 on Friday. The firm has a market capitalization of $34.79 billion, a PE ratio of 31.94, a PEG ratio of 1.03 and a beta of 0.11. Hershey Company has a twelve month low of $161.43 and a twelve month high of $239.48. The firm's 50-day moving average price is $182.21 and its 200 day moving average price is $197.13. The company has a current ratio of 1.24, a quick ratio of 0.77 and a debt-to-equity ratio of 0.99.

Hershey (NYSE:HSY - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The company reported $2.35 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.04 by $0.31. The company had revenue of $3.10 billion during the quarter, compared to analysts' expectations of $3.03 billion. Hershey had a net margin of 9.12% and a return on equity of 28.98%. Hershey's revenue was up 10.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.09 EPS. As a group, sell-side analysts expect that Hershey Company will post 8.42 EPS for the current fiscal year.

Hershey Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Friday, May 15th were given a $1.452 dividend. The ex-dividend date was Friday, May 15th. This represents a $5.81 dividend on an annualized basis and a dividend yield of 3.4%. Hershey's dividend payout ratio is 108.19%.

Wall Street Analyst Weigh In

HSY has been the subject of several research analyst reports. Zacks Research downgraded shares of Hershey from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, April 7th. BTIG Research assumed coverage on Hershey in a research note on Monday, April 13th. They set a "neutral" rating for the company. Bank of America reduced their target price on Hershey from $220.00 to $200.00 and set a "neutral" rating for the company in a report on Thursday, June 25th. Wells Fargo & Company decreased their target price on Hershey from $220.00 to $200.00 and set an "equal weight" rating on the stock in a research report on Friday, May 1st. Finally, Stifel Nicolaus lowered their price target on Hershey from $230.00 to $215.00 and set a "hold" rating on the stock in a research note on Tuesday, April 21st. Seven equities research analysts have rated the stock with a Buy rating and sixteen have issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $212.56.

Insider Activity

In related news, CFO Steven E. Voskuil sold 1,500 shares of the stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $173.43, for a total value of $260,145.00. Following the completion of the sale, the chief financial officer owned 54,695 shares of the company's stock, valued at approximately $9,485,753.85. This trade represents a 2.67% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.08% of the stock is owned by company insiders.

About Hershey

The Hershey Company NYSE: HSY is a leading North American chocolatier and snack manufacturer headquartered in Hershey, Pennsylvania. The company develops, produces and markets a wide range of confectionery and snack products for retail, foodservice and international customers. Hershey's business spans manufacturing, branded product marketing, packaging and distribution across grocery, convenience, mass merchant and e-commerce channels.

Hershey's product portfolio centers on chocolate and sugar confectionery, including core brands such as Hershey's, Reese's, Hershey's Kisses and Twizzlers, alongside non-chocolate snacks and confectionery brands.

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