# Hershey Cost of Revenue vs Operating Income Analysis

HSY | - USA Stock | ## USD 206.98 1.86 0.91% |

Hershey Foods financial indicator trend analysis is much more than just examining Hershey Foods Corp latest accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Hershey Foods Corp is a good investment. Please check the relationship between Hershey Foods Cost of Revenue and its Operating Income accounts. Please check Risk vs Return Analysis.

## Cost of Revenue vs Operating Income

## Cost of Revenue vs Operating Income Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of Hershey Foods Corp Cost of Revenue account and Operating Income. At this time, the significance of the direction appears to have almost identical trend.

The correlation between Hershey Foods' Cost of Revenue and Operating Income is

**0.91**. Overlapping area represents the amount of variation of Cost of Revenue that can explain the historical movement of Operating Income in the same time period over historical financial statements of Hershey Foods Corp, assuming nothing else is changed. The correlation between historical values of Hershey Foods' Cost of Revenue and Operating Income is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Cost of Revenue of Hershey Foods Corp are associated (or correlated) with its Operating Income. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Operating Income has no effect on the direction of Cost of Revenue i.e., Hershey Foods' Cost of Revenue and Operating Income go up and down completely randomly.## Correlation Coefficient | 0.91 |

Relationship Direction | Positive |

Relationship Strength | Very Strong |

## Cost of Revenue

Cost of Revenue is found on Hershey Foods Corp income statement and represents the costs associated with goods and services Hershey Foods provides. Indirect cost, such as salaries, is not included. In other words, cost of revenue is the total cost incurred to obtain a sale. It is more than the traditional cost of goods sold, since it includes specific selling and marketing activities. The aggregate cost of goods produced and sold and services rendered during the reporting period.## Operating Income

Operating Income is the amount of profit realized from Hershey Foods Corp operations after accounting for operating expenses such as cost of goods sold (COGS), wages and depreciation. Operating income takes the gross income and subtracts other operating expenses and then removes depreciation. Operating Income of Hershey Foods Corp is typically a synonym for earnings before interest and taxes (EBIT) and is also commonly referred to as operating profit or recurring profit. Operating income is a measure of financial performance before the deduction of Interest Expense; Income Tax Expense and other Non-Operating items. It is calculated as Gross Profit minus Operating Expenses.Most indicators from Hershey Foods fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Hershey Foods Corp current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Please check Risk vs Return Analysis.Hershey Foods Selling General and Administrative Expense is fairly stable at the moment as compared to the past year. Hershey Foods reported Selling General and Administrative Expense of 2 Billion in 2021. Net Cash Flow Investment Acquisitions and Disposals is likely to rise to about 118.3

**M**in 2022, whereas Net Cash Flow Business Acquisitions and Disposals is likely to drop (1.5**B**) in 2022. 2019 | 2020 | 2021 | 2022 (projected) | |

Consolidated Income | 1.15 B | 1.28 B | 1.48 B | 1.31 B |

Direct Expenses | 4.36 B | 4.45 B | 4 B | 3.79 B |

## Hershey Foods fundamental ratios Correlations

**Click cells**to compare fundamentals

## Hershey Foods Account Relationship Matchups

### High Positive Relationship

### High Negative Relationship

## Hershey Foods fundamental ratios Accounts

2017 | 2018 | 2019 | 2020 | 2021 | 2022 (projected) | ||

Inventories | 752.84 M | 784.88 M | 815.25 M | 964.21 M | 867.79 M | 766.4 M | |

Receivables | 588.26 M | 594.14 M | 568.51 M | 615.23 M | 553.71 M | 516.21 M | |

Accounts Payable | 523.23 M | 502.31 M | 550.83 M | 580.06 M | 522.05 M | 480.29 M | |

Accumulated Other Comprehensive Income | (313.75 M) | (356.78 M) | (323.97 M) | (338.08 M) | (249.22 M) | (268.89 M) | |

Total Assets | 5.55 B | 7.7 B | 8.14 B | 9.13 B | 10.41 B | 9.27 B | |

Current Assets | 2 B | 2.24 B | 2.12 B | 2.98 B | 2.25 B | 2.45 B | |

Assets Non Current | 3.55 B | 5.46 B | 6.02 B | 6.15 B | 8.17 B | 6.81 B | |

Cash and Equivalents | 380.18 M | 588 M | 493.26 M | 1.14 B | 329.27 M | 421.85 M | |

Cash and Equivalents USD | 380.18 M | 588 M | 493.26 M | 1.14 B | 329.27 M | 421.85 M | |

Total Debt | 2.92 B | 4.46 B | 4.27 B | 4.6 B | 5.03 B | 4.47 B | |

Debt Current | 859.46 M | 1.2 B | 735.67 M | 512.87 M | 942.27 M | 867.91 M | |

Debt Non Current | 2.06 B | 3.25 B | 3.53 B | 4.09 B | 4.09 B | 3.6 B | |

Total Debt USD | 2.92 B | 4.46 B | 4.27 B | 4.6 B | 5.03 B | 4.47 B | |

Shareholders Equity | 915.34 M | 1.4 B | 1.74 B | 2.23 B | 2.76 B | 2.28 B | |

Shareholders Equity USD | 915.34 M | 1.4 B | 1.74 B | 2.23 B | 2.76 B | 2.28 B | |

Goodwill and Intangible Assets | 1.19 B | 3.08 B | 3.33 B | 3.28 B | 4.67 B | 5.04 B | |

Inventory | 752.84 M | 784.88 M | 815.25 M | 964.21 M | 988.51 M | 970.01 M | |

Total Liabilities | 4.62 B | 6.3 B | 6.4 B | 6.89 B | 7.66 B | 6.97 B | |

Current Liabilities | 2.08 B | 2.42 B | 2.01 B | 1.89 B | 2.49 B | 2.42 B | |

Liabilities Non Current | 2.55 B | 3.88 B | 4.39 B | 5 B | 5.16 B | 4.56 B | |

Trade and Non Trade Payables | 523.23 M | 502.31 M | 550.83 M | 580.06 M | 692.34 M | 661.81 M | |

Property Plant and Equipment Net | 2.11 B | 2.13 B | 2.15 B | 2.29 B | 2.59 B | 2.56 B | |

Trade and Non Trade Receivables | 588.26 M | 594.14 M | 568.51 M | 615.23 M | 671.46 M | 677.29 M | |

Accumulated Retained Earnings Deficit | 6.37 B | 7.03 B | 1.29 B | 1.93 B | 2.72 B | 3.44 B | |

Tax Assets | 3.02 M | 1.17 M | 31.03 M | 29.37 M | 40.87 M | 46.65 M | |

Tax Liabilities | 63.38 M | 210.63 M | 219.94 M | 246.08 M | 291.07 M | 231 M |

## Hershey Foods Investors Sentiment

The influence of Hershey Foods' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Hershey. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.## Hershey Foods Implied Volatility | 28.29 |

Hershey Foods' implied volatility exposes the market's sentiment of Hershey Foods Corp stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Hershey Foods' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Hershey Foods stock will not fluctuate a lot when Hershey Foods' options are near their expiration.

Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Hershey Foods in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Hershey Foods' short interest history, or implied volatility extrapolated from Hershey Foods options trading.

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The market value of Hershey Foods Corp is measured differently than its book value, which is the value of Hershey that is recorded on the company's balance sheet. Investors also form their own opinion of Hershey Foods' value that differs from its market value or its book value, called intrinsic value, which is Hershey Foods' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Hershey Foods' market value can be influenced by many factors that don't directly affect Hershey Foods' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Hershey Foods' value and its price as these two are different measures arrived at by different means. Investors typically determine Hershey Foods value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hershey Foods' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.