The Hershey Company (NYSE:HSY) Sees Large Growth in Short Interest

The Hershey Company (NYSE:HSY) was the recipient of a significant increase in short interest during the month of September. As of September 30th, there was short interest totalling 6,360,000 shares, an increase of 7.4% from the September 15th total of 5,920,000 shares. Based on an average daily trading volume, of 1,370,000 shares, the days-to-cover ratio is currently 4.6 days.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on HSY. Jefferies Financial Group cut shares of Hershey from a “hold” rating to an “underperform” rating and reduced their price target for the company from $184.00 to $163.00 in a research report on Thursday, September 26th. Citigroup cut shares of Hershey from a “neutral” rating to a “sell” rating and cut their price target for the stock from $195.00 to $182.00 in a report on Tuesday, August 27th. UBS Group lowered shares of Hershey from a “buy” rating to a “neutral” rating and lowered their target price for the stock from $226.00 to $209.00 in a research report on Monday, October 7th. Royal Bank of Canada reduced their price objective on shares of Hershey from $209.00 to $205.00 and set a “sector perform” rating on the stock in a research note on Friday, August 2nd. Finally, Argus downgraded shares of Hershey from a “buy” rating to a “hold” rating in a research note on Wednesday, August 14th. Four analysts have rated the stock with a sell rating and sixteen have issued a hold rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $195.00.

Insider Activity

In related news, CAO Jennifer Mccalman sold 538 shares of the stock in a transaction that occurred on Monday, August 12th. The stock was sold at an average price of $199.17, for a total value of $107,153.46. Following the transaction, the chief accounting officer now owns 3,238 shares of the company’s stock, valued at $644,912.46. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. In related news, CAO Jennifer Mccalman sold 538 shares of the firm’s stock in a transaction on Monday, August 12th. The stock was sold at an average price of $199.17, for a total value of $107,153.46. Following the completion of the transaction, the chief accounting officer now owns 3,238 shares in the company, valued at $644,912.46. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Steven E. Voskuil sold 1,500 shares of the stock in a transaction dated Tuesday, July 23rd. The stock was sold at an average price of $190.83, for a total value of $286,245.00. Following the sale, the chief financial officer now directly owns 34,228 shares in the company, valued at $6,531,729.24. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On Hershey

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Capital Advisors Ltd. LLC boosted its stake in shares of Hershey by 218.2% in the 2nd quarter. Capital Advisors Ltd. LLC now owns 140 shares of the company’s stock valued at $26,000 after purchasing an additional 96 shares during the last quarter. Riverview Trust Co bought a new position in shares of Hershey in the 1st quarter valued at about $29,000. GHP Investment Advisors Inc. boosted its stake in shares of Hershey by 55.0% in the 2nd quarter. GHP Investment Advisors Inc. now owns 155 shares of the company’s stock valued at $28,000 after purchasing an additional 55 shares during the last quarter. OFI Invest Asset Management bought a new position in shares of Hershey in the 2nd quarter valued at about $29,000. Finally, Crewe Advisors LLC bought a new position in Hershey during the 1st quarter worth approximately $35,000. Institutional investors and hedge funds own 57.96% of the company’s stock.

Hershey Stock Performance

Hershey stock traded up $0.48 during midday trading on Wednesday, reaching $184.81. 1,177,730 shares of the stock traded hands, compared to its average volume of 1,691,059. The company has a current ratio of 0.86, a quick ratio of 0.48 and a debt-to-equity ratio of 0.87. The firm has a fifty day moving average price of $194.98 and a two-hundred day moving average price of $193.39. The firm has a market cap of $37.37 billion, a price-to-earnings ratio of 18.36, a PEG ratio of 5.44 and a beta of 0.37. Hershey has a fifty-two week low of $178.82 and a fifty-two week high of $211.92.

Hershey (NYSE:HSY) last issued its quarterly earnings results on Thursday, August 1st. The company reported $1.27 earnings per share for the quarter, missing analysts’ consensus estimates of $1.44 by ($0.17). Hershey had a return on equity of 45.36% and a net margin of 16.76%. The company had revenue of $2.07 billion during the quarter, compared to analyst estimates of $2.30 billion. During the same period in the prior year, the company posted $2.01 earnings per share. The company’s revenue was down 16.7% on a year-over-year basis. On average, equities research analysts forecast that Hershey will post 9.47 earnings per share for the current year.

Hershey Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, September 16th. Shareholders of record on Friday, August 16th were issued a $1.37 dividend. This represents a $5.48 dividend on an annualized basis and a yield of 2.97%. The ex-dividend date was Friday, August 16th. Hershey’s dividend payout ratio (DPR) is presently 54.31%.

Hershey Company Profile

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.