Hershey (NYSE:HSY) Shares Down 3.6% - Here's Why

Hershey Company (The) (NYSE:HSY - Get Free Report)'s stock price fell 3.6% during mid-day trading on Wednesday . The stock traded as low as $165.95 and last traded at $163.78. 159,967 shares traded hands during mid-day trading, a decline of 91% from the average session volume of 1,792,846 shares. The stock had previously closed at $169.93.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. Citigroup decreased their price target on Hershey from $173.00 to $165.00 and set a "neutral" rating on the stock in a research note on Tuesday, April 15th. Morgan Stanley decreased their price objective on Hershey from $183.00 to $177.00 and set an "equal weight" rating for the company in a report on Thursday, April 17th. Mizuho reduced their target price on Hershey from $167.00 to $155.00 and set a "neutral" rating for the company in a report on Wednesday, May 28th. Barclays upped their price objective on Hershey from $160.00 to $165.00 and gave the company an "equal weight" rating in a research note on Monday, May 5th. Finally, Wells Fargo & Company increased their target price on Hershey from $125.00 to $132.00 and gave the stock an "underweight" rating in a research report on Friday, March 14th. Six research analysts have rated the stock with a sell rating and fifteen have issued a hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average target price of $158.84.

Hershey Trading Down 4.3%

The firm's 50-day simple moving average is $165.75 and its 200 day simple moving average is $164.85. The stock has a market cap of $32.96 billion, a P/E ratio of 20.10, a PEG ratio of 6.48 and a beta of 0.30. The company has a current ratio of 1.59, a quick ratio of 1.11 and a debt-to-equity ratio of 1.11.

Hershey (NYSE:HSY - Get Free Report) last released its quarterly earnings results on Thursday, May 1st. The company reported $2.09 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.94 by $0.15. Hershey had a net margin of 15.32% and a return on equity of 38.70%. The business had revenue of $2.81 billion for the quarter, compared to analyst estimates of $2.81 billion. During the same quarter in the previous year, the business earned $3.07 earnings per share. The firm's revenue was down 13.8% compared to the same quarter last year. As a group, equities research analysts anticipate that Hershey Company will post 6.12 earnings per share for the current year.

Hershey Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, June 16th. Investors of record on Friday, May 16th were issued a dividend of $1.37 per share. This represents a $5.48 annualized dividend and a yield of 3.37%. The ex-dividend date was Friday, May 16th. Hershey's dividend payout ratio is currently 67.57%.

Insider Activity at Hershey

In other news, insider Rohit Grover sold 1,333 shares of the company's stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $175.00, for a total value of $233,275.00. Following the completion of the transaction, the insider owned 39,402 shares in the company, valued at $6,895,350. This represents a 3.27% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP James Turoff sold 1,300 shares of the business's stock in a transaction on Tuesday, July 1st. The stock was sold at an average price of $175.00, for a total transaction of $227,500.00. Following the completion of the sale, the senior vice president directly owned 25,321 shares in the company, valued at approximately $4,431,175. This represents a 4.88% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 54,107 shares of company stock worth $9,008,118. 0.28% of the stock is owned by insiders.

Hedge Funds Weigh In On Hershey

Several hedge funds have recently bought and sold shares of HSY. Capital International Investors lifted its position in shares of Hershey by 31.4% in the 4th quarter. Capital International Investors now owns 12,460,147 shares of the company's stock worth $2,110,126,000 after purchasing an additional 2,980,997 shares during the period. Charles Schwab Investment Management Inc. lifted its position in shares of Hershey by 7.7% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 4,991,639 shares of the company's stock valued at $853,720,000 after acquiring an additional 356,249 shares during the period. Geode Capital Management LLC lifted its position in shares of Hershey by 1.3% during the 4th quarter. Geode Capital Management LLC now owns 3,801,145 shares of the company's stock valued at $642,139,000 after acquiring an additional 47,394 shares during the period. Royal Bank of Canada raised its holdings in Hershey by 25.4% during the first quarter. Royal Bank of Canada now owns 2,753,077 shares of the company's stock worth $470,858,000 after buying an additional 557,056 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its holdings in Hershey by 38.6% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,628,047 shares of the company's stock worth $275,710,000 after buying an additional 453,428 shares during the last quarter. 57.96% of the stock is owned by institutional investors.

About Hershey

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.

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