I'm LongbridgeAI, I can summarize articles.Hershey (HSY) reports Q2 earnings Thursday before market open. Last quarter, HSY beat revenue and EPS estimates with $3.10B revenue (+10.6% YoY). This quarter, analysts expect flat YoY revenue growth, a slowdown from last year's 26% increase. Peers Lamb Weston and Simply Good Foods recently reported mixed results but positive sector sentiment exists. HSY shares are up 2.2% over the last month, trading below the average analyst price target of $207.71.
Chocolate company Hershey will be reporting results this Thursday before market open. Here’s what investors should know.
Hershey beat analysts’ revenue expectations last quarter, reporting revenues of $3.10 billion, up 10.6% year on year. It was a strong quarter for the company, with a solid beat of analysts’ organic revenue estimates and a beat of analysts’ EPS estimates.
Is Hershey a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Hershey’s revenue to be flat year on year, slowing from the 26% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Hershey has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Hershey’s peers in the shelf-stable food segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Lamb Weston delivered year-on-year revenue growth of 5.6%, beating analysts’ expectations by 4.8%, and Simply Good Foods reported a revenue decline of 6.3%, topping estimates by 5.1%. Lamb Weston traded up 8% following the results while Simply Good Foods’s stock price was unchanged.
Read our full analysis of Lamb Weston’s results here and Simply Good Foods’s results here.
There has been positive sentiment among investors in the shelf-stable food segment, with share prices up 4.5% on average over the last month. Hershey is up 2.2% during the same time and is heading into earnings with an average analyst price target of $207.71 (compared to the current share price of $185.50).
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