Hershey's Pricing Power Continues To Sweeten Sales, Drive Growth: Analyst
Portfolio Pulse from Priya Nigam
Bernstein analyst Alexia Howard upgraded Hershey Co (NYSE:HSY) from Market Perform to Outperform and raised the price target from $220 to $235. The upgrade is based on improved market share and volume trends, robust top line growth, potential for good gross margins in 2024, and the stock trading below its typical valuation over the past five years. Hershey's pricing power and innovation, along with potential acquisitions, are expected to drive sales growth. Hershey shares rose by 1.94% to $193.90 in premarket trading on Monday.
January 29, 2024 | 5:03 pm
News sentiment analysis
Sort by:
Descending
POSITIVE IMPACT
Hershey Co received an analyst upgrade from Market Perform to Outperform and a price target increase from $220 to $235 by Bernstein, indicating improved market performance and growth potential.
The upgrade by Bernstein reflects a positive outlook on Hershey's financial performance and market position. The increase in price target suggests that the analyst sees significant growth potential for the company. The premarket stock price movement indicates immediate positive investor reaction to the news, which is likely to carry into the short term. The analyst's confidence in Hershey's pricing power and innovation to drive sales growth, despite rising cocoa prices, further supports the potential for stock appreciation.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100