Hershey Shares Melt: Q2 Earnings And Sales Miss Targets Amid Consumer Spending Slump
Portfolio Pulse from Nabaparna Bhattacharya
The Hershey Company (NYSE:HSY) reported disappointing Q2 earnings and sales, missing analyst expectations due to a challenging consumer environment. Adjusted EPS fell 36.8% to $1.27, and sales dropped 16.7% to $2.07 billion. The company cited higher commodity costs and lower retailer inventory as key issues. Despite these challenges, Hershey announced quarterly dividends and adjusted its full-year outlook downward.
August 01, 2024 | 12:35 pm
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Hershey's Q2 earnings and sales missed expectations, leading to a 5.56% drop in premarket trading. Adjusted EPS fell 36.8% to $1.27, and sales dropped 16.7% to $2.07 billion. The company cited higher commodity costs and lower retailer inventory as key issues. Despite these challenges, Hershey announced quarterly dividends and adjusted its full-year outlook downward.
Hershey's significant miss on both earnings and sales, combined with a downward adjustment in its full-year outlook, indicates a challenging environment that is likely to negatively impact the stock price in the short term. The 5.56% premarket drop reflects investor sentiment.
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IMPORTANCE 90
RELEVANCE 100