Hershey vs Kraft Heinz

Hershey and Kraft Heinz are the companies compared on this page. This page compares business models, financial performance, and market context to help readers understand how each operates within the consumer goods sector. The content is presented in a neutral, accessible way for readers seeking context about these firms. Educational content, not financial advice.

Hershey and Kraft Heinz are the companies compared on this page. This page compares business models, financial performance, and market context to help readers understand how each operates within the c...

Comparison Snapshot

Key Financial Metrics

HSY

Metric

KHC

$45.14B

Market Cap

$29.36B

-13.56%

Potential Profit

5.95%

Hold

Analyst Rating

Hold

Why It's Moving

HSY Stock Warning: Why Analysts See -15% Downside Risk

Q4 revenue jumped 7% to $3.1B, topping estimates, with adjusted EPS of $1.71 crushing forecasts by 22%, driving the sharp post-earnings rally.
FY2026 EPS guidance of $8.20-$8.52 far exceeded consensus, signaling robust profit restoration, yet stock's 52% 52-week gain leaves it overvalued per analyst means.
DA Davidson lifted target to $243 on February 6 citing innovation pipeline and brand reinvestment, but 'Neutral' stance underscores threats from GLP-1 drugs and program shifts.

Sentiment:

🐻Bearish

Kraft Heinz Stuns Market by Scrapping Split Plans and Pouring $600M into Turnaround Amid Weak Outlook.

Halted separation into two entities less than five months after announcement, redirecting efforts to core operations amid volume declines in key categories like coffee and bacon.
Committing $600 million to marketing, sales, R&D, and product upgrades, signaling aggressive push to combat inflationary pressures and SNAP headwinds.
Issued cautious 2026 forecast with organic sales down 1.5%-3.5% and adjusted operating income falling 14%-18%, well below expectations and fueling investor sell-off.

Sentiment:

🐻Bearish

HSY Stock Warning: Why Analysts See -15% Downside Risk

Q4 revenue jumped 7% to $3.1B, topping estimates, with adjusted EPS of $1.71 crushing forecasts by 22%, driving the sharp post-earnings rally.
FY2026 EPS guidance of $8.20-$8.52 far exceeded consensus, signaling robust profit restoration, yet stock's 52% 52-week gain leaves it overvalued per analyst means.
DA Davidson lifted target to $243 on February 6 citing innovation pipeline and brand reinvestment, but 'Neutral' stance underscores threats from GLP-1 drugs and program shifts.

Sentiment:

🐻Bearish

Kraft Heinz Stuns Market by Scrapping Split Plans and Pouring $600M into Turnaround Amid Weak Outlook.

Halted separation into two entities less than five months after announcement, redirecting efforts to core operations amid volume declines in key categories like coffee and bacon.
Committing $600 million to marketing, sales, R&D, and product upgrades, signaling aggressive push to combat inflationary pressures and SNAP headwinds.
Issued cautious 2026 forecast with organic sales down 1.5%-3.5% and adjusted operating income falling 14%-18%, well below expectations and fueling investor sell-off.

Sentiment:

🐻Bearish

Investment Analysis

Hershey

HSY

Pros

The Hershey Company holds a dominant 36% share of the US chocolate market with a portfolio of 100 strong brands including Reese's and Kit Kat.
Reported a solid 26% increase in consolidated net sales in Q2 2025, demonstrating strong demand and organic growth.
Maintains a healthy dividend yield around 3.2%, supported by robust net income and stable cash flow generation.

Considerations

Current market sentiment is bearish with stock volatility and a modest price growth forecast under 2% through the end of 2025.
Exposure is predominantly to the US market with less than 10% of sales internationally, limiting global diversification.
Rising operating expenses and pressure on consumer spending could negatively impact profit margins and discretionary confectionery sales.

Kraft Heinz

KHC

Pros

Kraft Heinz is a leading global packaged foods manufacturer with a significant dividend yield above 6%, providing attractive income potential.
Market capitalization of approximately $28.8 billion reflects substantial size and presence in the food sector.
Broad product portfolio and global reach provide diversified revenue streams across multiple food categories.

Considerations

Lacks a reliable price-to-earnings ratio, indicating possible inconsistent earnings or valuation challenges.
Shares trade in a narrow price range with moderate volatility, suggesting limited short-term growth momentum.
Faces execution risks related to competitive pressure in packaged foods and changing consumer preferences towards healthier options.

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