Hershey Stock Jumps Premarket After Goldman Sachs 'Buy' Call

Goldman Sachs analysts upgraded their rating on Hershey Co.'s stock, sending the candy seller's shares 3% higher in premarket trading on Tuesday.

They believe that after the company's multiple guidance reductions, the HSY stock is at a "compelling risk/reward," with the impact of higher tariffs and cocoa prices largely priced in, according to the summary of their investor note on The Fly.

Goldman Sachs believes that Hershey's recent pricing announcements will drive "outsized" earnings growth in fiscal 2026. The firm also raised its price target on HSY to $222 from $170, mirroring moves from Piper Sandler and JPMorgan in recent weeks.

Currently, analysts have an average price target of $185.91, according to Koyfin data, less than a $1 under the stock's last close.

In July, Hershey reported second-quarter revenue and profit above expectations and told retailers that it will increase prices across its confectionery portfolio.

Hershey, which makes Kisses chocolates and Reese's Peanut Butter Cups, didn't specify the products that will see their prices go up.

On Stocktwits, the retail sentiment for the company was 'neutral' as of the last reading. HSY stock is up 9.6% year-to-date, below the 12.5% gains in the benchmark S&P 500 index.

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