Brokerages Set Hershey Company (The) (NYSE:HSY) PT at $168.83

Key Points

• The Hershey Company has received a consensus rating of "Reduce" from analysts, with an average target price of $168.83 for its shares.
• The company reported earnings of $1.21 per share, exceeding estimates and demonstrating a 26% increase in revenue compared to the previous year.
• Hershey announced a quarterly dividend of $1.37 per share, indicating a 3.1% yield and a payout ratio of 72.78%.

Shares of Hershey Company (The) (NYSE:HSY - Get Free Report) have earned a consensus recommendation of "Reduce" from the eighteen ratings firms that are presently covering the stock, Marketbeat.com reports. Four investment analysts have rated the stock with a sell recommendation and fourteen have issued a hold recommendation on the company. The average twelve-month price target among brokerages that have issued a report on the stock in the last year is $168.8333.

A number of research analysts have recently commented on the company. Barclays increased their target price on Hershey from $165.00 to $190.00 and gave the company an "equal weight" rating in a research report on Friday, August 1st. UBS Group dropped their price target on Hershey from $175.00 to $170.00 and set a "neutral" rating for the company in a research report on Friday, May 2nd. Royal Bank Of Canada lowered their price objective on Hershey from $178.00 to $175.00 and set a "sector perform" rating for the company in a research note on Friday, May 2nd. Mizuho lifted their price target on shares of Hershey from $155.00 to $165.00 and gave the stock a "neutral" rating in a research note on Monday, July 28th. Finally, Wells Fargo & Company increased their price target on Hershey from $135.00 to $154.00 and gave the stock an "underweight" rating in a report on Thursday, July 31st.

Hershey Price Performance

Shares of NYSE HSY traded up $0.88 during midday trading on Friday, reaching $178.87. The stock had a trading volume of 513,631 shares, compared to its average volume of 1,850,097. The company has a debt-to-equity ratio of 1.15, a quick ratio of 0.89 and a current ratio of 1.53. The stock has a 50-day moving average of $175.12 and a 200-day moving average of $168.49. The company has a market capitalization of $36.26 billion, a price-to-earnings ratio of 23.76, a price-to-earnings-growth ratio of 4.29 and a beta of 0.27. Hershey has a 12-month low of $140.13 and a 12-month high of $208.03.

Hershey (NYSE:HSY - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The company reported $1.21 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.98 by $0.23. The business had revenue of $2.61 billion during the quarter, compared to analyst estimates of $2.50 billion. Hershey had a net margin of 13.54% and a return on equity of 37.36%. The company's revenue was up 26.0% on a year-over-year basis. During the same period last year, the firm posted $1.27 EPS. As a group, research analysts anticipate that Hershey will post 6.12 EPS for the current fiscal year.

Hershey Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 15th will be paid a $1.37 dividend. The ex-dividend date is Friday, August 15th. This represents a $5.48 dividend on an annualized basis and a dividend yield of 3.1%. Hershey's dividend payout ratio is presently 72.78%.

Insider Activity

In other news, SVP James Turoff sold 1,300 shares of the business's stock in a transaction dated Tuesday, July 1st. The shares were sold at an average price of $175.00, for a total transaction of $227,500.00. Following the transaction, the senior vice president owned 25,321 shares of the company's stock, valued at approximately $4,431,175. The trade was a 4.88% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CAO Jennifer Mccalman sold 974 shares of the business's stock in a transaction on Wednesday, May 28th. The shares were sold at an average price of $157.11, for a total value of $153,025.14. Following the completion of the sale, the chief accounting officer owned 2,994 shares in the company, valued at $470,387.34. This represents a 24.55% decrease in their position. The disclosure for this sale can be found here. Insiders sold 118,311 shares of company stock valued at $20,931,348 over the last 90 days. Company insiders own 0.28% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Putney Financial Group LLC bought a new position in Hershey in the fourth quarter worth about $25,000. Mpwm Advisory Solutions LLC acquired a new position in Hershey in the 4th quarter valued at approximately $28,000. Proffitt & Goodson Inc. bought a new stake in Hershey during the first quarter worth about $28,000. Trust Co. of Toledo NA OH acquired a new position in Hershey during the 2nd quarter valued at about $28,000. Finally, Tradewinds Capital Management LLC grew its holdings in Hershey by 129.5% during the first quarter. Tradewinds Capital Management LLC now owns 179 shares of the company's stock valued at $31,000 after purchasing an additional 101 shares during the period. Institutional investors and hedge funds own 57.96% 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.