HSY Consumer Defensive

The Hershey Company

$167.54-2.17%

Price as of close on Nov 3, 2026 · Financials updated Oct 9, 2026

Basics

Sector: Consumer Defensive
Industry: Confectioners
Country: United States
Market cap: 33.7B USD
Enterprise value: 39.5B USD
Full-time employees: 17,550

Overall health

Drawback: higher risk than most peers: less short-term liquidity (current ratio 1.18 vs a peer median of 1.52) and more debt relative to equity (1.23× vs a peer median of 0.42×)higher risk: less liquidity (current ratio 1.18 vs peers 1.52) and more debt vs equity (1.23× vs peers 0.42×)
About average: growth and valuation

Ranks #383 of 761 consumer defensive companies (bottom 50%)

See how it ranks against its peers

Worth knowing

Profit is backed by cash. Free cash flow is 150% of reported profit.
Hershey's free cash flow is 150% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.
Wide margins. Operating margin 18% (12 months to Jun 2026) vs a peer median of 7.6%.Operating margin 18% vs peers 7.6%.
Hershey keeps 18% of revenue as operating profit, more than 84% of peers (median 7.6%).

StockQuotient Score

51/ 100

Oct 5 51 → Nov 4 51

Valuation

Is the price right?

42/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why

Held back by:

▼ EBITDA yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield4.4%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score -0.05Sector median: 0.0453 · MAD: 0.0301

EBITDA yield6.9%

SEC filings · 12 months to Jun 2026Reported value50% base weight · Z-score -0.40Sector median: 0.0865 · MAD: 0.0435

Free cash flow yield6.6%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 0.08Sector median: 0.0622 · MAD: 0.0441

Other data (not scored)

Book yield13.4%

SEC filings · latest balance sheetReported valueInformational · 0% composite weightSector median: 0.5381 · MAD: 0.2865

Growth

Is it growing?

56/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Helped by:

▲ Revenue growth

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth-2.9%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.17Sector median: 0.0154 · MAD: 0.2529

3-year revenue growth3.9%

SEC filings · 3 years to Jun 2026Reported value33% base weight · Z-score 0.04Sector median: 0.0366 · MAD: 0.0470

Revenue growth7.7%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.84Sector median: 0.0278 · MAD: 0.0585

Profitability

Does it earn well?

87/100

Strong

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

Operating margin rose 3.5 points to 17.8%

Why

Stronger than most peers on:

▲ ROA
▲ Operating margin
▲ ROIC

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin17.8%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 2.01Sector median: 0.0759 · MAD: 0.0508

Return on assets10.7%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 2.55Sector median: 0.0396 · MAD: 0.0262

Return on invested capital18.2%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 1.57Sector median: 0.0766 · MAD: 0.0673

Other data (not scored)

Gross margin38.4%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.3182 · MAD: 0.1263

Return on equity32.6%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.0831 · MAD: 0.0675

Risk

Debt, liquidity, price swings

Higher

Higher relative risk

2/3 inputs reported · Partial data

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Debt / equity
▼ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

BetaUnavailable

Missing · left out of the score · no sector data, so not countedNot counted · remaining weights rescaledSector median: 0.4070 · MAD: 0.1690

Current ratio1.18×

SEC filings · latest balance sheetReported value33% base weight · Z-score -0.53Sector median: 1.5250 · MAD: 0.6460

Debt / equity1.23×

SEC filings · latest balance sheetReported value33% base weight · Z-score -2.25Sector median: 0.4234 · MAD: 0.3581

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Hershey

Is Hershey getting weaker?: Its latest SEC filing (Jul 30, 2026) got stronger: operating margin rose 3.5 points to 17.8%. Its overall score is unchanged at 51/100 since Oct 28, 2026.
How is Hershey valued vs its peers?: Priced about in line with its peers. Valuation scores 42/100 against 823 consumer defensive peers. EBITDA yield 6.9% vs a peer median of 8.7% (weaker than 62% of peers).EBITDA yield 6.9% vs peers 8.7% (weaker than 62% of peers).
Is Hershey growing?: At about the same pace as its peers. Growth scores 56/100 against 823 consumer defensive peers. Revenue growth 7.7% vs a peer median of 2.8% (stronger than 72% of peers).Revenue growth 7.7% vs peers 2.8% (stronger than 72% of peers).
How profitable is Hershey?: More profitable than most of its peers. Profitability scores 87/100 against 823 consumer defensive peers. Return on assets 10.7% vs a peer median of 4.0% (stronger than 91% of peers).Return on assets 10.7% vs peers 4.0% (stronger than 91% of peers).
How risky is Hershey?: Higher risk relative to 823 consumer defensive peers, judged on debt, liquidity and share-price swings. Debt / equity 1.23× vs a peer median of 0.42× (weaker than 83% of peers).Debt / equity 1.23× vs peers 0.42× (weaker than 83% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 28, 2026 · filed Jul 30, 2026 · compared with the quarter ended Mar 29, 2026

Got stronger

Operating margin rose 3.5 points to 17.8%

	Previous quarter	Latest quarter	Change
Revenue (12 months)	12.0B USD	12.2B USD	+1.4%
Net income (12 months)	1.1B USD	1.5B USD	+36.1%
Operating margin	14.3%	17.8%	+3.5 pts
Free cash flow (12 months)	1.9B USD	2.2B USD	+15.7%
Debt	5.4B USD	5.6B USD	+4.7%
Cash	877.0M USD	791.2M USD	−9.8%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Sector: Consumer Defensive · 91 companies

Valuations in Consumer Defensive are within their usual range since 2016.

30% of months since 2016 were valued lower than now.
18% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values −4% and earnings +7% (medians): prices and earnings moved broadly together.
Median price-to-sales is −58% vs the whole market, against a usual −39%.

2016Shaded: most expensive fifth of its range2026

Shown for Consumer Defensive: too few Confectioners companies have a long enough history of their own.

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Gross margin	45.1%	43.2%	44.8%	47.3%	33.5%	▼ 14 pts
Operating margin	22.8%	21.7%	22.9%	25.9%	12.3%	▼ 14 pts
Net margin	16.5%	15.8%	16.7%	19.8%	7.6%	▼ 12 pts
Return on assets (ROA)	14.2%	15.0%	15.6%	17.2%	6.4%	▼ 11 pts
Return on equity (ROE)	53.6%	49.8%	45.4%	47.1%	19.0%	▼ 28 pts
Free cash flow margin	17.7%	17.4%	13.9%	17.2%	15.6%	▼ 1.6 pts
Current ratio	0.90×	0.80×	0.97×	0.96×	1.19×	▲ 25%
Quick ratio	0.50×	0.44×	0.52×	0.64×	0.72×	▲ 12%
Debt to equity	1.82×	1.45×	1.17×	1.08×	1.17×	▲ 7.7%
Interest coverage	15.74×	16.14×	15.86×	16.63×	6.41×	▼ 61%

HSY price history

Price history is added with the daily price update and will appear after the next one.

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Bringing the fundamentals into focus…

Overall health

Drawback: higher risk than most peers: less short-term liquidity (current ratio 1.18 vs a peer median of 1.52) and more debt relative to equity (1.23× vs a peer median of 0.42×)higher risk: less liquidity (current ratio 1.18 vs peers 1.52) and more debt vs equity (1.23× vs peers 0.42×)

About average: growth and valuation

Ranks #383 of 761 consumer defensive companies (bottom 50%)

See how it ranks against its peers

Worth knowing

Profit is backed by cash. Free cash flow is 150% of reported profit.

Hershey's free cash flow is 150% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.

Wide margins. Operating margin 18% (12 months to Jun 2026) vs a peer median of 7.6%.Operating margin 18% vs peers 7.6%.

Hershey keeps 18% of revenue as operating profit, more than 84% of peers (median 7.6%).

Questions investors ask about Hershey

Is Hershey getting weaker?

Its latest SEC filing (Jul 30, 2026) got stronger: operating margin rose 3.5 points to 17.8%. Its overall score is unchanged at 51/100 since Oct 28, 2026.

How is Hershey valued vs its peers?

Priced about in line with its peers. Valuation scores 42/100 against 823 consumer defensive peers. EBITDA yield 6.9% vs a peer median of 8.7% (weaker than 62% of peers).EBITDA yield 6.9% vs peers 8.7% (weaker than 62% of peers).

Is Hershey growing?

At about the same pace as its peers. Growth scores 56/100 against 823 consumer defensive peers. Revenue growth 7.7% vs a peer median of 2.8% (stronger than 72% of peers).Revenue growth 7.7% vs peers 2.8% (stronger than 72% of peers).

How profitable is Hershey?

More profitable than most of its peers. Profitability scores 87/100 against 823 consumer defensive peers. Return on assets 10.7% vs a peer median of 4.0% (stronger than 91% of peers).Return on assets 10.7% vs peers 4.0% (stronger than 91% of peers).

How risky is Hershey?

Higher risk relative to 823 consumer defensive peers, judged on debt, liquidity and share-price swings. Debt / equity 1.23× vs a peer median of 0.42× (weaker than 83% of peers).Debt / equity 1.23× vs peers 0.42× (weaker than 83% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

12.0B USD

12.2B USD

+1.4%

Net income (12 months)

1.1B USD

1.5B USD

+36.1%

Operating margin

14.3%

17.8%

+3.5 pts

Free cash flow (12 months)

1.9B USD

2.2B USD

+15.7%

Debt

5.4B USD

5.6B USD

+4.7%

Cash

877.0M USD

791.2M USD

−9.8%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Gross margin

45.1%

43.2%

44.8%

47.3%

33.5%

▼ 14 pts

Operating margin

22.8%

21.7%

22.9%

25.9%

12.3%

▼ 14 pts

Net margin

16.5%

15.8%

16.7%

19.8%

7.6%

▼ 12 pts

Return on assets (ROA)

14.2%

15.0%

15.6%

17.2%

6.4%

▼ 11 pts

Return on equity (ROE)

53.6%

49.8%

45.4%

47.1%

19.0%

▼ 28 pts

Free cash flow margin

17.7%

17.4%

13.9%

17.2%

15.6%

▼ 1.6 pts

Current ratio

0.90×

0.80×

0.97×

0.96×

1.19×

▲ 25%

Quick ratio

0.50×

0.44×

0.52×

0.64×

0.72×

▲ 12%

Debt to equity

1.82×

1.45×

1.17×

1.08×

1.17×

▲ 7.7%

Interest coverage

15.74×

16.14×

15.86×

16.63×

6.41×

▼ 61%