Hershey (NYSE:HSY) Issues Earnings Results, Beats Expectations By $0.31 EPS

Hershey (NYSE:HSY) announced its quarterly earnings data on Thursday. The company reported $1.71 earnings per share for the quarter, beating the consensus estimate of $1.40 by $0.31, FiscalAI reports. The business had revenue of $3.09 billion for the quarter, compared to analyst estimates of $2.97 billion. Hershey had a net margin of 11.84% and a return on equity of 32.08%. Hershey’s revenue was up 7.0% compared to the same quarter last year. During the same period in the prior year, the business posted $2.69 earnings per share. Hershey updated its FY 2026 guidance to 8.200-8.520 EPS.

Here are the key takeaways from Hershey’s conference call:

• Management guided to a recovery year with 4%–5% net sales growth and significant earnings improvement (CFO cited roughly 30%–35% EPS growth), signaling confidence in top-line momentum and margin recovery.
• Despite recent cocoa price declines, Hershey is largely hedged above current spot levels and the hedging position is “not in great shape” for 2026, so much of the potential cocoa-driven margin upside is likely to roll into 2027 rather than materialize this year.
• The salty-snacks business is a clear growth engine — Q4 salty grew ~18% with double-digit volume gains, driving share and retail space expansion.
• Hershey plans double-digit increases in advertising and multi-year R&D/innovation investments to fuel long-term growth, which should support demand but will temper near-term margin improvement.
• Management is monitoring macro risks (tariff inventory effects, SNAP waivers — 2 of 12 states implemented so far — and GLP-1 adoption); tariffs aided Q4 margins but some tariffed inventory will pressure Q1, and the company calls SNAP a manageable headwind included in the outlook.

Hershey Stock Performance

Shares of NYSE HSY traded up $17.78 during mid-day trading on Thursday, reaching $223.57. 3,796,892 shares of the company’s stock were exchanged, compared to its average volume of 1,976,818. The firm has a market capitalization of $45.34 billion, a price-to-earnings ratio of 33.43 and a beta of 0.18. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.36 and a quick ratio of 0.83. Hershey has a 52 week low of $150.04 and a 52 week high of $225.55. The firm has a 50-day moving average price of $188.12 and a two-hundred day moving average price of $185.26.

Wall Street Analysts Forecast Growth

HSY has been the topic of a number of research analyst reports. Morgan Stanley restated an “overweight” rating and set a $214.00 price objective on shares of Hershey in a report on Wednesday, January 28th. Argus raised shares of Hershey to a “hold” rating in a report on Wednesday, November 26th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $188.00 price objective on shares of Hershey in a research report on Thursday, January 29th. Zacks Research upgraded Hershey from a “hold” rating to a “strong-buy” rating in a research note on Thursday, January 29th. Finally, DA Davidson lifted their price target on shares of Hershey from $185.00 to $207.00 and gave the company a “neutral” rating in a research report on Monday. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and fifteen have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $197.56.

Trending Headlines about Hershey

Here are the key news stories impacting Hershey this week:

• Positive Sentiment: Q4 results beat Street estimates — EPS $1.71 vs. consensus ~$1.40 and revenue $3.09B vs. ~$2.97B; management also issued stronger FY‑2026 guidance, which lifted investor expectations for growth. Hershey Reports Fourth-Quarter and Full-Year 2025 Financial Results; Provides 2026 Outlook
• Positive Sentiment: Board approved a higher quarterly dividend (common stock $1.452), reflecting management confidence and boosting the stock’s income appeal. Hershey Declares Quarterly Dividends
• Positive Sentiment: Guidance revised above consensus (FY‑2026 EPS range 8.200–8.520 vs. street ~7.08), helping push analysts to raise targets and contributing to upside momentum. Hershey sees strong 2026 even as cocoa costs weigh (Reuters)
• Positive Sentiment: Several analyst upgrades and higher price targets following the print have supported the rally and set a new 1‑year high for the stock. Hershey Sets New 1-Year High on Analyst Upgrade
• Positive Sentiment: Technical buyers noted a breakout/past buy point after the bullish earnings and outlook, attracting momentum flows into the shares. Good Sign For Valentine’s Day? Hershey Jumps Past Buy Point On Earnings, Outlook
• Neutral Sentiment: Cocoa futures moved today as markets digested Hershey’s outlook — futures rose on short covering after the company eased demand concerns; this is an industry reaction that can trade independently of HSY’s fundamentals. Cocoa Prices Rise as Hershey Allays Cocoa Demand Concerns
• Negative Sentiment: Despite the beat, margins remain pressured by high cocoa costs and tariff expenses; fourth‑quarter profit was lower year‑over‑year and management flagged commodity/tariff headwinds that will weigh on near‑term profitability. Hershey Profit Dragged Down by Tariffs, Cocoa Costs (WSJ)

Insider Activity at Hershey

In other news, insider Stacy Taffet purchased 200 shares of the stock in a transaction dated Friday, November 21st. The shares were purchased at an average cost of $186.19 per share, with a total value of $37,238.00. Following the completion of the acquisition, the insider owned 9,371 shares in the company, valued at $1,744,786.49. This represents a 2.18% increase in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CFO Steven E. Voskuil sold 1,500 shares of the company’s stock in a transaction on Tuesday, January 20th. The stock was sold at an average price of $198.67, for a total transaction of $298,005.00. Following the completion of the transaction, the chief financial officer directly owned 52,319 shares in the company, valued at approximately $10,394,215.73. The trade was a 2.79% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 6,000 shares of company stock worth $1,119,450. Company insiders own 0.34% of the company’s stock.

Institutional Trading of Hershey

A number of hedge funds have recently bought and sold shares of HSY. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Hershey by 6.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 15,310 shares of the company’s stock worth $2,618,000 after purchasing an additional 937 shares during the period. EverSource Wealth Advisors LLC grew its stake in Hershey by 20.2% in the second quarter. EverSource Wealth Advisors LLC now owns 697 shares of the company’s stock worth $116,000 after purchasing an additional 117 shares during the period. Gamco Investors INC. ET AL purchased a new position in Hershey during the second quarter valued at $267,000. Bank of Nova Scotia boosted its stake in Hershey by 4.5% during the second quarter. Bank of Nova Scotia now owns 17,927 shares of the company’s stock worth $2,975,000 after acquiring an additional 769 shares in the last quarter. Finally, Daiwa Securities Group Inc. raised its stake in Hershey by 5.4% during the second quarter. Daiwa Securities Group Inc. now owns 22,247 shares of the company’s stock valued at $3,692,000 after buying an additional 1,149 shares during the last quarter. Institutional investors own 57.96% of the company’s stock.

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.