Hershey Co Stock Buy Hold or Sell Recommendation
| HSY Stock | USD 188.14 1.06 0.57% |
Considering the 90-day investment horizon and your typical level of risk aversion, our recommendation regarding Hershey Co is 'Strong Hold'. Macroaxis provides Hershey buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Hershey positions. The advice algorithm takes into account all of Hershey's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Hershey's buy or sell advice are summarized below:
Real Value 215.74 | Target Price 241.24 | Hype Value 188.11 | Market Value 188.14 | Naive Value 190.17 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Hershey Co given historical horizon and risk tolerance towards Hershey. When Macroaxis issues a 'buy' or 'sell' recommendation for Hershey Co, the advice is generated through an automated system that utilizes algorithms and statistical models.
Hershey |
Execute Hershey Buy or Sell Advice
The Hershey recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Hershey Co. Macroaxis does not own or have any residual interests in Hershey Co or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Hershey's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Hershey Trading Alerts and Improvement Suggestions
| The company has 4.81 B in debt with debt to equity (D/E) ratio of 1.69, which is OK given its current industry classification. Hershey has a current ratio of 0.78, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Hershey until it has trouble settling it off, either with new capital or with free cash flow. So, Hershey's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Hershey sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Hershey to invest in growth at high rates of return. When we think about Hershey's use of debt, we should always consider it together with cash and equity. | |
| Over 81.0% of Hershey shares are owned by institutional investors | |
| On 15th of March 2024 Hershey paid $ 1.37 per share dividend to its current shareholders | |
| Latest headline from benzinga.com: Changing Frugal Eating Habits - How Novo NordiskEli Lillys Weight Loss Drugs Reshaping Food Spending |
Hershey Returns Distribution Density
The distribution of Hershey's historical returns is an attempt to chart the uncertainty of Hershey's future price movements. The chart of the probability distribution of Hershey daily returns describes the distribution of returns around its average expected value. We use Hershey Co price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Hershey returns is essential to provide solid investment advice for Hershey.
| Mean Return | -0.0049 | Value At Risk | -2.69 | Potential Upside | 2.53 | Standard Deviation | 1.52 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Hershey historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Hershey Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Hershey is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Hershey Co backward and forwards among themselves. Hershey's institutional investor refers to the entity that pools money to purchase Hershey's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Northern Trust Corp | 2023-12-31 | 1.8 M | Legal & General Group Plc | 2023-12-31 | 1.5 M | Qube Research & Technologies | 2023-12-31 | 1.5 M | Amvescap Plc. | 2023-12-31 | 1.4 M | Fmr Inc | 2023-12-31 | 1.4 M | Hhg Plc | 2023-12-31 | 1.4 M | Goldman Sachs Group Inc | 2023-12-31 | 1.3 M | Bank Of America Corp | 2023-12-31 | 1.2 M | Bank Of New York Mellon Corp | 2023-12-31 | 1.2 M | Vanguard Group Inc | 2023-12-31 | 15.2 M | Blackrock Inc | 2023-12-31 | 15 M |
Hershey Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (21.2M) | (151.9M) | 21.5M | (187.0M) | (157.2M) | (149.3M) | |
| Change In Cash | (94.7M) | 650.7M | (814.7M) | 134.6M | (62.0M) | (65.1M) | |
| Free Cash Flow | 1.4B | 1.3B | 1.6B | 1.8B | 1.6B | 1.6B | |
| Depreciation | 291.5M | 294.9M | 315.0M | 379.0M | 419.8M | 226.9M | |
| Other Non Cash Items | 200.2M | 236.5M | 158.7M | 230.6M | 286.2M | 300.5M | |
| Dividends Paid | 610.3M | 640.7M | 686.0M | 775.0M | 889.1M | 933.5M | |
| Capital Expenditures | 318.2M | 441.6M | 495.9M | 519.5M | 771.1M | 809.7M | |
| Net Income | 1.1B | 1.3B | 1.5B | 1.6B | 1.9B | 2.0B | |
| End Period Cash Flow | 493.3M | 1.1B | 329.3M | 463.9M | 401.9M | 269.7M | |
| Change Receivables | 40.3M | (55.5M) | (14.6M) | (38.2M) | (34.3M) | (32.6M) | |
| Net Borrowings | (184.7M) | 327.2M | 429.6M | (250.4M) | (287.9M) | (273.5M) | |
| Change To Netincome | 237.1M | 321.0M | 238.8M | 333.4M | 383.5M | 402.6M | |
| Investments | (80.2M) | (87.2M) | (128.4M) | (275.5M) | (1.0B) | (962.3M) |
Hershey Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Hershey or Food Products sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Hershey's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Hershey stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.05 | |
β | Beta against NYSE Composite | 0.47 | |
σ | Overall volatility | 1.53 | |
Ir | Information ratio | -0.07 |
Hershey Volatility Alert
Hershey Co exhibits very low volatility with skewness of 0.14 and kurtosis of 0.0. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Hershey's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Hershey's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Hershey Implied Volatility
Hershey's implied volatility exposes the market's sentiment of Hershey Co stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Hershey's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Hershey stock will not fluctuate a lot when Hershey's options are near their expiration.
Hershey Fundamentals Vs Peers
Comparing Hershey's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Hershey's direct or indirect competition across all of the common fundamentals between Hershey and the related equities. This way, we can detect undervalued stocks with similar characteristics as Hershey or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Hershey's fundamental indicators could also be used in its relative valuation, which is a method of valuing Hershey by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Hershey to competition |
| Fundamentals | Hershey | Peer Average |
| Return On Equity | 0.5 | -0.31 |
| Return On Asset | 0.14 | -0.14 |
| Profit Margin | 0.17 % | (1.27) % |
| Operating Margin | 0.17 % | (5.51) % |
| Current Valuation | 42.88 B | 16.62 B |
| Shares Outstanding | 149.6 M | 571.82 M |
| Shares Owned By Insiders | 0.26 % | 10.09 % |
| Shares Owned By Institutions | 81.30 % | 39.21 % |
| Number Of Shares Shorted | 4.3 M | 4.71 M |
| Price To Earning | 30.09 X | 28.72 X |
| Price To Book | 9.26 X | 9.51 X |
| Price To Sales | 3.40 X | 11.42 X |
| Revenue | 11.16 B | 9.43 B |
| Gross Profit | 4.5 B | 27.38 B |
| EBITDA | 3.12 B | 3.9 B |
| Net Income | 1.86 B | 570.98 M |
| Cash And Equivalents | 463.89 M | 2.7 B |
| Cash Per Share | 1.60 X | 5.01 X |
| Total Debt | 4.81 B | 5.32 B |
| Debt To Equity | 1.69 % | 48.70 % |
| Current Ratio | 0.80 X | 2.16 X |
| Book Value Per Share | 20.05 X | 1.93 K |
| Cash Flow From Operations | 2.32 B | 971.22 M |
| Short Ratio | 1.70 X | 4.00 X |
| Earnings Per Share | 9.05 X | 3.12 X |
| Price To Earnings To Growth | 3.59 X | 4.89 X |
| Target Price | 207.81 | |
| Number Of Employees | 18.65 K | 18.84 K |
| Beta | 0.33 | -0.15 |
| Market Capitalization | 38.2 B | 19.03 B |
| Total Asset | 11.9 B | 29.47 B |
| Retained Earnings | 4.56 B | 9.33 B |
| Working Capital | (96.25 M) | 1.48 B |
Note: Acquisition by Wolfe Kenneth L of 916 shares of Hershey subject to Rule 16b-3 [view details]
Hershey Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Hershey . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Hershey Buy or Sell Advice
When is the right time to buy or sell Hershey Co? Buying financial instruments such as Hershey Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 5.0B | 4.8B | 4.8B | 5.1B | Total Assets | 10.4B | 10.9B | 11.9B | 12.5B |
Use Investing Ideas to Build Portfolios
In addition to having Hershey in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Moderate Funds Thematic Idea Now
Moderate Funds
Funds or Etfs that combine stocks, bonds and money market instruments to get modest capital appreciation over time. The Moderate Funds theme has 46 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Moderate Funds Theme or any other thematic opportunities.
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Check out Hershey Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Complementary Tools for Hershey Stock analysis
When running Hershey's price analysis, check to measure Hershey's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Hershey is operating at the current time. Most of Hershey's value examination focuses on studying past and present price action to predict the probability of Hershey's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hershey's price. Additionally, you may evaluate how the addition of Hershey to your portfolios can decrease your overall portfolio volatility.
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Is Hershey's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Hershey. If investors know Hershey will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Hershey listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.12) | Dividend Share 4.456 | Earnings Share 9.05 | Revenue Per Share 54.533 | Quarterly Revenue Growth 0.002 |
The market value of Hershey is measured differently than its book value, which is the value of Hershey that is recorded on the company's balance sheet. Investors also form their own opinion of Hershey's value that differs from its market value or its book value, called intrinsic value, which is Hershey's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Hershey's market value can be influenced by many factors that don't directly affect Hershey's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Hershey's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hershey is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hershey's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.