Hershey Valuation
HSY Stock | USD 174.81 0.14 0.08% |
At this time, the firm appears to be undervalued. Hershey retains a regular Real Value of $201.91 per share. The prevalent price of the firm is $174.81. Our model calculates the value of Hershey from evaluating the firm fundamentals such as Return On Equity of 0.43, return on asset of 0.13, and Current Valuation of 40.4 B as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Hershey's valuation include:
Price Book 8.4123 | Enterprise Value 40.4 B | Enterprise Value Ebitda 15.0127 | Price Sales 3.224 | Forward PE 20.284 |
Undervalued
Today
Please note that Hershey's price fluctuation is very steady at this time. Calculation of the real value of Hershey is based on 3 months time horizon. Increasing Hershey's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Hershey is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Hershey Stock. However, Hershey's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. Historical | Market 174.81 | Real 201.91 | Target 241.24 | Hype 174.21 | Naive 175.53 |
The intrinsic value of Hershey's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Hershey's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Hershey Co helps investors to forecast how Hershey stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Hershey more accurately as focusing exclusively on Hershey's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Hershey's intrinsic value based on its ongoing forecasts of Hershey's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Hershey's closest peers.
Hershey Cash |
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Hershey Valuation Trend
Analysing the historical paterns of Hershey's enterprise value and its market capitalization is a good way to estimate and gauge the value of Hershey Co over time and is usually enough for investors to make rational market timing decisions.
Hershey Revenue by Product
Hershey Total Value Analysis
Hershey Co is currently projected to have company total value of 40.4 B with market capitalization of 35.37 B, debt of 5.13 B, and cash on hands of 463.89 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Hershey fundamentals before making security assessment based on enterprise value of the companyTakeover Price | Market Cap | Debt Obligations | Cash |
40.4 B | 35.37 B | 5.13 B | 463.89 M |
Hershey Investor Information
About 88.0% of the company shares are owned by institutional investors. The company recorded earning per share (EPS) of 8.71. Hershey last dividend was issued on the 18th of November 2024. The entity had 2:1 split on the 16th of June 2004. Based on the key measurements obtained from Hershey's financial statements, Hershey Co is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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Operating Profit Margin | 0.13 | 0.2294 |
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Total Cash From Operating Activities | 2.4 B | 2.3 B |
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Operating Income | 2.7 B | 2.6 B |
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Hershey Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Hershey has an asset utilization ratio of 93.8 percent. This suggests that the Company is making $0.94 for each dollar of assets. An increasing asset utilization means that Hershey Co is more efficient with each dollar of assets it utilizes for everyday operations.Hershey Ownership Allocation
Hershey Co has a total of 147.74 Million outstanding shares. The majority of Hershey outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in Hershey to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in Hershey Co. Please pay attention to any change in the institutional holdings of Hershey as this could imply that something significant has changed or is about to change at the company. Please note that on November 11, 2024, Representative Marjorie Taylor Greene of US Congress acquired under $15k worth of Hershey's common stock.Hershey Profitability Analysis
The company reported the last year's revenue of 11.16 B. Total Income to common stockholders was 1.86 B with profit before taxes, overhead, and interest of 4.5 B.Hershey Past Distributions to stockholders
About Hershey Valuation
Our relative valuation model uses a comparative analysis of Hershey. We calculate exposure to Hershey's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Hershey's related companies.Last Reported | Projected for Next Year | ||
Gross Profit | 5.1 B | 5.3 B | |
Pretax Profit Margin | 0.19 | 0.11 | |
Operating Profit Margin | 0.23 | 0.13 | |
Net Profit Margin | 0.17 | 0.18 | |
Gross Profit Margin | 0.45 | 0.34 |
Hershey Quarterly Retained Earnings |
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A single share of Hershey represents a small ownership stake in the entity. As a stockholder of Hershey, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Hershey Dividends Analysis For Valuation
Dividends Paid is likely to rise to about 933.5 M in 2024, whereas Dividend Yield is likely to drop 0.02 in 2024. . At this time, Hershey's Retained Earnings Total Equity is fairly stable compared to the past year. Earnings Yield is likely to rise to 0.05 in 2024, whereas Retained Earnings are likely to drop slightly above 3.4 B in 2024.
Last Reported | Projected for Next Year | ||
Dividends Paid | 889.1 M | 933.5 M | |
Dividend Yield | 0.02 | 0.02 | |
Dividend Payout Ratio | 0.48 | 0.42 | |
Dividend Paid And Capex Coverage Ratio | 1.40 | 1.19 |
There are various types of dividends Hershey can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Hershey shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Hershey Co directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Hershey pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Hershey by the value of the dividends paid out.
Hershey Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding | 205.5 M | |
Quarterly Earnings Growth Y O Y | -0.127 | |
Forward Price Earnings | 20.284 |
Hershey Current Valuation Indicators
Valuation refers to the process of determining the present value of Hershey Co and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Hershey we look at many different elements of the entity such as Hershey's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Hershey, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Hershey's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Hershey's worth.Additional Tools for Hershey Stock Analysis
When running Hershey's price analysis, check to measure Hershey's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Hershey is operating at the current time. Most of Hershey's value examination focuses on studying past and present price action to predict the probability of Hershey's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hershey's price. Additionally, you may evaluate how the addition of Hershey to your portfolios can decrease your overall portfolio volatility.