Analyst Ratings February 6, 2026

Bernstein Lifts Hershey Price Target to $250 After Strong 2026 Guidance Beat

Analyst raises valuation while keeping a Market Perform rating as company posts better-than-expected Q4 results and delivers upbeat 2026 EPS outlook

By Maya Rios HSY
Bernstein Lifts Hershey Price Target to $250 After Strong 2026 Guidance Beat
HSY

Bernstein SocGen Group raised its price target on Hershey to $250 from $192 and maintained a Market Perform rating after the confectioner issued 2026 EPS guidance well above consensus. The stock has already rallied sharply, while other firms also increased targets following stronger-than-expected fourth-quarter results and an improved fiscal 2026 outlook.

Key Points

  • Bernstein raised Hershey's price target to $250 from $192 and kept a Market Perform rating after management issued 2026 EPS guidance of 30-35%, versus a 12% consensus.
  • Hershey beat expectations in Q4 2025 with EPS of $1.71 (vs $1.40 expected) and revenue of $3.09 billion (vs $2.97 billion expected), prompting other firms to raise price targets.
  • Analyst moves and company guidance affect the consumer packaged goods and food sectors, and have implications for equity valuations in consumer staples and packaged-food stocks.

Bernstein SocGen Group increased its price target on Hershey Co. to $250.00 from $192.00, while keeping a Market Perform recommendation on the stock. The move follows the chocolate maker's fiscal 2026 earnings per share guidance that calls for 30-35% growth, a range markedly higher than the consensus estimate of 12%.

Hershey shares are trading at $231.64 and have climbed 15.21% over the past week and 52.12% over the last 12 months, according to InvestingPro data. Bernstein said the magnitude of Hershey's guidance relative to consensus ranks among the largest such beats the analyst has observed in two decades covering the consumer goods sector, though the firm noted some of that optimism has already been incorporated into recent share-price gains.

Company management framed the expected profit rebound as a "balanced outlook," while explicitly acknowledging lingering uncertainties tied to price elasticities and cocoa input costs. Bernstein pointed out that, for now, elasticity trends are performing better than anticipated even as broader health and wellness dynamics persist.

In its analysis, Bernstein contrasted Hershey's stronger directional outlook with a more cautious stance from a peer, which the analyst attributed in part to a greater share of chocolate private label penetration in Europe.


Quarterly performance and peer reactions

Hershey posted robust results for the fourth quarter of fiscal 2025, delivering earnings per share of $1.71, above the analyst expectation of $1.40. Revenue for the quarter came in at $3.09 billion, topping forecasts of $2.97 billion. Those results prompted several firms to lift their price targets and outlooks.

UBS raised its price target on Hershey to $236 from $210, citing strong organic sales growth and improved margins. DA Davidson increased its target to $243 from $207, describing an "accelerated path to earnings restoration." TD Cowen also adjusted its valuation higher, moving its target to $210 from $195 on expectations of meaningful gross margin recovery supported by favorable elasticity trends and tariff relief.

Across brokers, the common thread is upward price-target revision while maintaining neutral or Market Perform-style stances: analysts are recognizing better-than-expected performance and an improved fiscal 2026 outlook while retaining measured ratings.


Outlook and implications

Hershey's fiscal year 2026 outlook surpasses consensus estimates by roughly 15% at the low end, according to the reporting firms' calculations. The guidance and recent quarterly beat have generated notable reappraisals of the company's near-term earnings trajectory, but analysts and management continue to flag demand elasticity and input-cost variability as key variables to monitor.

Investors and market participants will likely focus on execution against the guidance, movement in cocoa and other commodity costs, and whether elasticities continue to hold up amid health and wellness trends that can affect confectionery consumption.


Bottom line

Bernstein's sizeable price-target increase to $250 reflects the firm's revised view of Hershey's earnings path after the company projected substantially stronger EPS growth for 2026 than consensus. That reassessment sits alongside similar upward adjustments from UBS, DA Davidson and TD Cowen, even as rating stances remain neutral and management highlights outstanding uncertainties.

Risks

  • Uncertainty around price elasticities that could impact demand and gross margins in the confectionery and packaged-food sectors.
  • Volatility in cocoa and related input costs that could pressure margins for Hershey and peers in the food commodity supply chain.
  • Competitive dynamics, such as higher private-label chocolate market share in Europe, which can influence peers' outlooks and regional pricing power.

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