Hershey (NYSE:HSY) Stock Price Expected to Rise, DA Davidson Analyst Says

Key Points

• DA Davidson has raised its price target for Hershey stock from $171 to $188, maintaining a "neutral" rating, which suggests only a slight downside of 0.90% from the current price.
• Hershey's stock recently traded at $189.71, with a 12-month range between $140.13 and $208.03, indicating a strong performance despite analyst ratings leaning towards "hold."
• In recent months, several analysts and institutions have adjusted their ratings on Hershey, with mixed sentiments; however, the consensus rating remains at "Hold" and the average target price at $169.68.

Hershey (NYSE:HSY - Get Free Report) had its price objective lifted by equities research analysts at DA Davidson from $171.00 to $188.00 in a report issued on Monday,Benzinga reports. The brokerage currently has a "neutral" rating on the stock. DA Davidson's target price would suggest a potential downside of 0.90% from the stock's current price.

Several other equities research analysts also recently weighed in on HSY. Wall Street Zen raised shares of Hershey from a "sell" rating to a "hold" rating in a research report on Saturday. Stifel Nicolaus boosted their target price on shares of Hershey from $160.00 to $180.00 and gave the stock a "hold" rating in a research report on Tuesday, July 29th. Citigroup dropped their target price on shares of Hershey from $173.00 to $165.00 and set a "neutral" rating for the company in a research report on Tuesday, April 15th. Sanford C. Bernstein boosted their target price on shares of Hershey from $155.00 to $179.00 and gave the stock a "market perform" rating in a research report on Thursday. Finally, Royal Bank Of Canada dropped their target price on shares of Hershey from $178.00 to $175.00 and set a "sector perform" rating for the company in a research report on Friday, May 2nd. Five equities research analysts have rated the stock with a sell rating and sixteen have issued a hold rating to the company's stock. According to data from MarketBeat.com, Hershey currently has a consensus rating of "Hold" and a consensus target price of $169.68.

Hershey Trading Up 0.4%

Shares of HSY stock traded up $0.70 during mid-day trading on Monday, reaching $189.71. The company's stock had a trading volume of 400,024 shares, compared to its average volume of 1,869,211. The company's 50 day simple moving average is $170.58 and its 200-day simple moving average is $166.29. Hershey has a 12-month low of $140.13 and a 12-month 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. The firm has a market capitalization of $38.44 billion, a PE ratio of 25.19, a price-to-earnings-growth ratio of 4.56 and a beta of 0.27.

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

Insider Activity

In other Hershey news, SVP James Turoff sold 1,300 shares of the company's stock in a transaction on Tuesday, July 1st. The shares were sold at an average price of $175.00, for a total value of $227,500.00. Following the transaction, the senior vice president directly owned 25,321 shares in the company, valued at $4,431,175. The trade was a 4.88% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Steven E. Voskuil sold 5,000 shares of the company's stock in a transaction on Monday, July 21st. The shares were sold at an average price of $180.00, for a total transaction of $900,000.00. Following the completion of the transaction, the chief financial officer owned 61,319 shares in the company, valued at approximately $11,037,420. This represents a 7.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 118,311 shares of company stock valued at $20,931,348. 0.28% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Hershey

Several institutional investors and hedge funds have recently modified their holdings of the business. Capital International Investors grew its stake in shares of Hershey by 31.4% in the fourth quarter. Capital International Investors now owns 12,460,147 shares of the company's stock valued at $2,110,126,000 after acquiring an additional 2,980,997 shares in the last quarter. Charles Schwab Investment Management Inc. grew its stake in shares of Hershey by 7.7% in the first 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 in the last quarter. Royal Bank of Canada grew its stake in shares of Hershey by 25.4% in the first quarter. Royal Bank of Canada now owns 2,753,077 shares of the company's stock valued at $470,858,000 after acquiring an additional 557,056 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in shares of Hershey by 38.6% in 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 valued at $275,710,000 after acquiring an additional 453,428 shares in the last quarter. Finally, Northern Trust Corp grew its stake in shares of Hershey by 0.8% in the first quarter. Northern Trust Corp now owns 1,590,903 shares of the company's stock valued at $272,092,000 after acquiring an additional 11,946 shares in the last quarter. 57.96% of the stock is currently owned by institutional investors and hedge funds.

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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