HSY US S&P 500Russell 1000 Earnings call
The Hershey Company (HSY) · Q2 2026 results and valuation
Share price: $176.43 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · published 30 Jul 2026 and 30 Apr 2026
Net income up 5.2% on the previous quarter. Management sounded cautious, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
+5.2%
Net income vs Q1 2026
Outlook given
Net income 457.7M vs 435.1M
Revenue −10.2%
2 · How management spoke
Cautious
Among the least upbeat of all company calls
Answers to analysts: typical, in line with the script.
Similar to last call.
3 · What stood out
Key theme
The company expects to see really good growth on a 2-year basis and is well-positioned to deliver growth in the second half despite tougher…
Valuation
Is The Hershey Company undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 3.9% growth a year (3-year revenue growth), the model's fair value is $108.58 a share — the stock trades 62% above it. Today's price assumes 9.4% growth a year.
Current price
$176.43
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+9.4% for 10 yrs
Fair value / share
$108.58
Buy below
$81.43
Price vs fair value
Overvalued 62%
Price vs buy-below price
Overvalued 117%
Read between the lines
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Key theme
First-half share gains reflect disciplined focus on everyday immediate-consumption business.
Source quote
“We look at how we're performing on our everyday business, our immediate consumption business. But we look at the business just like that. Our seasons were incredibly disciplined around seasons, and that's why if you think about the first half, we gained share across seasons.”
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Guidance
Margins are expected to improve in the second half through stronger demand and supply-chain optimization.
Source quote
“Again, looking ahead, we expect to see some margin improvement in the second half as we move to capture that demand and also optimize the supply chain while still...”
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Guidance
Expect volume trends to improve as commodity inflation eases and customer price sensitivity normalizes.
Source quote
“Look, as commodity inflation eases and pricing elasticities normalize, we expect volume trends to improve over time.”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“What I like about margin recovery and share performance, is it's in the right place is innovation that drives growth and profitability is a great way to grow the category...”
“So in total, very excited about that business, strong first half, some real pockets of strength, but also we're making choices to set it up for long-term success.”
“So we continue to see robust runway for growth with our core brands and dots is leading the way.”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-06-28)
| Metric | Q2 2026period end 2026-06-28 | Q1 2026period end 2026-03-29 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 2.79B | 3.10B | −10.2% | 2.61B | +6.6% |
| Gross profit | 1.26B | 1.22B | +3.3% | 796.3M | +58.7% |
| Operating income | 642.6M | 640.7M | +0.3% | 192.8M | +233.3% |
| Net income | 457.7M | 435.1M | +5.2% | 62.7M | +629.7% |
| P/E | — | — | — | — | — |
Topics
Most discussed now
- New The recent '26 and '27 West African crop data is, I'd say, encouraging after a slow start.
- New El Nino speculation is certainly impacting pricing today and lately but Hershey does not expect Cocoa to remain at current...
- New Some real pockets that Hershey is excited about, Brazil, the U.K., India, in particular, has were probably some of its strongest...
- New On the margin side, in particular, you're seeing the higher cocoa costs flow through with a little bit of a...
- New That's why Hershey has confidence that it can make meaningful progress on both margin and share performance.
Faded since Q1 2026
- Fading Hershey measures inventory points of interruption on the floor amount of inventory that it has on the floor and location...
- Fading Consumer behavior, let's just kind of start with this quarter and then as Hershey moves through the year, but consumer...
- Fading Where implemented, Hershey does see considerable consumer confusion and it's possible that, that would improve over time.
- Fading It does go back a little to what Kirk said how high and how long would the oil price impact...
Latest announcements
Official filings, newest first.
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Results of operations · SEC 8-K
- Director or officer change · SEC 8-K
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Shareholder vote results · SEC 8-K
- Results of operations · SEC 8-K
- Director or officer change · SEC 8-K
- Results of operations; Regulation FD disclosure · SEC 8-K