Hershey Foods Current Liabilities vs. Cash and Equivalents

HSY
 Stock
  

USD 227.11  1.87  0.83%   

For Hershey Foods profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hershey Foods to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hershey Foods Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hershey Foods's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hershey Foods Corp over time as well as its relative position and ranking within its peers. Please check Risk vs Return Analysis.
  
Return on Sales is likely to rise to 0.22 in 2022, whereas Price to Sales Ratio is likely to drop 4.16 in 2022. Net Income to Non Controlling Interests is likely to rise to about 5.7 M in 2022, whereas Accumulated Other Comprehensive Income is likely to drop (268.9 M) in 2022.

Hershey Foods Current Liabilities

2.42 Billion

Is Hershey Foods' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Hershey Foods. If investors know Hershey will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Hershey Foods listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.055
Market Capitalization
46.6 B
Quarterly Revenue Growth YOY
0.19
Return On Assets
0.14
Return On Equity
0.63
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.

Hershey Foods Corp Cash and Equivalents vs. Current Liabilities Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Hershey Foods's current stock value. Our valuation model uses many indicators to compare Hershey Foods value to that of its competitors to determine the firm's financial worth.
Hershey Foods Corp is one of the top stocks in current liabilities category among related companies. It is one of the top stocks in cash and equivalents category among related companies creating about  0.15  of Cash and Equivalents per Current Liabilities. The ratio of Current Liabilities to Cash and Equivalents for Hershey Foods Corp is roughly  6.56 . Hershey Foods Current Liabilities is fairly stable at the moment as compared to the past year. Hershey Foods reported Current Liabilities of 2.49 Billion in 2021. Comparative valuation analysis is a catch-all model that can be used if you cannot value Hershey Foods by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Hershey Foods' Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Hershey Foods' earnings, one of the primary drivers of an investment's value.

Hershey Cash and Equivalents vs. Current Liabilities

Current Liabilities is the company's short term debt. This usually includes obligations that are due within the next 12 months or within one fiscal year. Current liabilities are very important in analyzing a company's financial health as it requires the company to convert some of its current assets into cash.
Hershey Foods 
Current Liabilities 
 = 
Payables 
Accrued Debt 
2.22 B
Current liabilities appear on the company's balance sheet and include all short term debt accounts, accounts and notes payable, accrued liabilities as well as current payments due on the long-term loans. One of the most useful applications of Current Liabilities is the current ratio which is defined as current assets divided by its current liabilities. High current ratios mean that current assets are more than sufficient to pay off current liabilities.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
Hershey Foods 
Cash 
 = 
Bank Deposits 
+  
Liquidities 
338.06 M
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).

Hershey Cash and Equivalents Comparison

Hershey Foods is currently under evaluation in cash and equivalents category among related companies.

Hershey Foods Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Hershey Foods, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hershey Foods will eventually generate negative long term returns. The profitability progress is the general direction of Hershey Foods' change in net profit over the period of time. It can combine multiple indicators of Hershey Foods, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for 2022
Accumulated Other Comprehensive Income-249.2 M-268.9 M
Consolidated Income1.5 B1.3 B
Net Income1.5 B1.3 B
Net Income Common Stock1.5 B1.3 B
Net Income to Non Controlling Interests5.3 M5.7 M
Operating IncomeB1.9 B
Income Tax Expense314.4 M307.4 M
Net Income Per Employee77.8 K63.1 K
The Hershey Company, together with its subsidiaries, engages in the manufacture and sale of confectionery products and pantry items in the United States and internationally. The company was founded in 1894 and is headquartered in Hershey, Pennsylvania. Hershey Foods operates under Confectioners classification in the United States and is traded on New York Stock Exchange. It employs 16620 people.

Hershey Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Hershey Foods. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Hershey Foods position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Hershey Foods' important profitability drivers and their relationship over time.

Use Hershey Foods in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Hershey Foods position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Hershey Foods will appreciate offsetting losses from the drop in the long position's value.

Hershey Foods Pair Trading

Hershey Foods Corp Pair Trading Analysis

The ability to find closely correlated positions to Hershey Foods could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hershey Foods when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Hershey Foods - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Hershey Foods Corp to buy it.
The correlation of Hershey Foods is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Hershey Foods moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hershey Foods Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Hershey Foods can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Hershey Foods position

In addition to having Hershey Foods in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Conservative
Conservative Theme
Funds or Etfs that invest using buy-and-hold investment strategy in companies with consistent growth over many years of operation. The Conservative theme has 40 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Conservative Theme or any other thematic opportunities.
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Please check Risk vs Return Analysis. Note that the Hershey Foods Corp information on this page should be used as a complementary analysis to other Hershey Foods' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.

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When running Hershey Foods Corp price analysis, check to measure Hershey Foods' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Hershey Foods is operating at the current time. Most of Hershey Foods' value examination focuses on studying past and present price action to predict the probability of Hershey Foods' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Hershey Foods' price. Additionally, you may evaluate how the addition of Hershey Foods to your portfolios can decrease your overall portfolio volatility.
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To fully project Hershey Foods' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hershey Foods Corp at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Hershey Foods' income statement, its balance sheet, and the statement of cash flows.
Potential Hershey Foods investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Hershey Foods investors may work on each financial statement separately, they are all related. The changes in Hershey Foods's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Hershey Foods's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.