Hershey (HSY) Stock Forecast & Price Target

Hershey is likely securing cocoa for the second half of 2027, but with rising cocoa futures, it may dampen their expected upside to earnings per share (EPS) of 15-20%. Additionally, while Hershey is expanding their portfolio through acquisitions, the majority of its sales still come from the US, making it vulnerable to a potential shift in consumer preferences or competition. However, Hershey has demonstrated strong brand recognition and pricing power in the confectionery market, making it a strong potential for value creation.

Hershey is facing strong competition and pressure on the consumer front. Although their fiscal year 2026 looks promising, the following year outlook seems to be more optimistic and not entirely reflective of their fiscal year 2027 projections. While their recent acquisitions show potential for expanding their product portfolio outside the US, their over-reliance on the domestic market and declining profitability raise concerns for long-term growth.