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Dec 21, 2018
Hershey (HSY, $106.43) Stock Sweetens, After Rating Upgrade from Bank of America Analysts

Hershey (HSY, $106.43) Stock Sweetens, After Rating Upgrade from Bank of America Analysts

Hershey shares got a substantial boost on Wednesday, after Bank of America upgraded its rating of the company’s stock to "buy" from "underperform" . The Bank’s analysts raised price target to $120 a share, from previous outlook of $92.

The stock hit a yearly low of $89.10 on May 3, but bounced back to a year high of $110 on Dec. 13.  On Wednesday, Hershey stock price climbed +3.11% to touch $107.61. While Hershey’s chocolate, candy and gum categories have been struggling with slowing sales, the company has tried to mitigate the impact on overall business by making divestitures(such as selling its two international brands) and new investments - to catch up on growth.  

Related Ticker: HSY

Contributor

Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.


HSY in +4.27% Uptrend, growing for three consecutive days on August 19, 2026

Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where HSY advanced for three days, in 191 of 302 cases, the price rose further within the following month. The odds of a continued upward trend are 63%.

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 9 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.

HSY may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.

The Aroon Indicator entered an Uptrend today. In 123 of 222 cases where HSY Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 55%.

Bearish Trend Analysis

The Momentum Indicator moved below the 0 level on August 27, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on HSY as a result. In 42 of 77 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 55%.

The Moving Average Convergence Divergence Histogram (MACD) for HSY turned negative on August 27, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 48 similar instances when the indicator turned negative. In 30 of the 48 cases the stock turned lower in the days that followed. This puts the odds of success at 62%.

HSY moved below its 50-day moving average on August 31, 2026 date and that indicates a change from an upward trend to a downward trend.

The 10-day moving average for HSY crossed bearishly below the 50-day moving average on September 09, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 8 of 13 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 62%.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where HSY declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 60%.

Fundamental Analysis (Ratings)

The Tickeron Valuation Rating of 26 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: HSY's P/B Ratio (7.634) is slightly higher than the industry average of (3.205). P/E Ratio (23.678) is within average values for comparable stocks, (20.454). Projected Growth (PEG Ratio) (0.871) is also within normal values, averaging (0.898). Dividend Yield (0.033) settles around the average of (0.025) among similar stocks. P/S Ratio (2.899) is also within normal values, averaging (1.967).

The Tickeron SMR rating for this company is 31 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron PE Growth Rating for this company is 45 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron Price Growth Rating for this company is 61 (best 1 - 100 worst), indicating steady price growth. HSY’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Profit vs. Risk Rating rating for this company is 89 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. HSY’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 85, placing this stock worse than average.

Notable companies

The most notable companies in this group are Mondelez International (NASDAQ:MDLZ).

Industry description

A specialty/candy manufacturer specializes in one or more of the following: chocolate, candies, pasta, condiments, seasonings, among other items. Hershey Company, McCormick & Company and J.M. Smucker Company are some of the major firms in this segment. Demand for this industry’s products comes from both institutions/restaurants as well as households.

Market Cap

The average market capitalization across the Food: Specialty/Candy Industry is 23.51B. The market cap for tickers in the group ranges from 6.25K to 79.69B. MDLZ holds the highest valuation in this group at 79.69B. The lowest valued company is OGGFF at 6.25K.

High and low price notable news

The average weekly price growth across all stocks in the Food: Specialty/Candy Industry was 1%. For the same Industry, the average monthly price growth was -8%, and the average quarterly price growth was -25%. SOWG experienced the highest price growth at 13%, while RMCF experienced the biggest fall at -9%.

Volume

The average weekly volume growth across all stocks in the Food: Specialty/Candy Industry was -31%. For the same stocks of the Industry, the average monthly volume growth was -93% and the average quarterly volume growth was -68%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 45
P/E Growth Rating: 47
Price Growth Rating: 61
SMR Rating: 71
Profit Risk Rating: 85
Seasonality Score: -45 (-100 ... +100)
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published General Information

General Information

a manufacturer of chocolate, candy, chewing gum, non-confectionery products and snack foods

Industry FoodSpecialtyCandy

Profile
Details
Industry
Food Specialty Or Candy
Address
19 East Chocolate Avenue
Phone
+1 717 534-4200
Employees
19595
Web
https://www.thehersheycompany.com
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