Goldman Sachs reiterated its optimistic stance on The Hershey Company (HSY) on Monday after meetings with the CEO and CFO of the candy giant.
The analysts give HSY its highest rating of “Conviction Buy” and a price target of $81. That target is a +15.1% upside from Friday’s closing price of $70.35.
Goldman Sachs believes that Hershey’s is the leader in its market; it will see positive growth in 2013 which will fuel low to mid-teens earnings per share growth.
Hershey shares were flat in premarket trading on Monday. The stock is up $8.57, or +13.87%, year to date.
The Bottom Line
Shares of Hershey Foods (HSY) will now have a 2.39% dividend yield, based on Friday’s closing stock price of $70.35. The stock has technical support in the $66-$68 price area. The stock is trading near the all-time high range of $72-$74 a share.
The Hershey Company (HSY) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.