Company Performance - Hershey's stock closed at $162.91, reflecting a -1.21% change from the previous day, underperforming the S&P 500's daily loss of 0.4% [1] - Over the past month, Hershey's shares have declined by 3.23%, compared to a loss of 1.24% in the Consumer Staples sector and a gain of 4.97% in the S&P 500 [1] Upcoming Earnings - Hershey is set to disclose its earnings on July 30, 2025, with projected earnings of $1 per share, indicating a year-over-year decline of 21.26% [2] - The Zacks Consensus Estimate for revenue is $2.52 billion, representing a 21.35% increase from the previous year [2] Full Year Estimates - For the full year, earnings are projected at $5.88 per share, reflecting a -37.25% change from the previous year, while revenue is estimated at $11.5 billion, showing a +2.64% change [3] - Recent analyst estimate revisions suggest evolving short-term business trends, with positive revisions indicating a favorable business outlook [3][4] Valuation Metrics - Hershey has a Forward P/E ratio of 28.05, which is higher than the industry average of 22.77 [6] - The current PEG ratio for Hershey is 6.09, compared to the average PEG ratio of 4.5 for Food - Confectionery stocks [7] Industry Context - The Food - Confectionery industry is part of the Consumer Staples sector and currently holds a Zacks Industry Rank of 213, placing it in the bottom 14% of over 250 industries [8] - The Zacks Industry Rank indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]

Company Performance - Simply Good Foods reported quarterly earnings of $0.51 per share, matching the Zacks Consensus Estimate, and showing an increase from $0.50 per share a year ago [1] - The company posted revenues of $380.96 million for the quarter ended May 2025, exceeding the Zacks Consensus Estimate by 0.23% and up from $334.76 million year-over-year [2] - Over the last four quarters, Simply Good Foods has surpassed consensus EPS estimates three times and has also topped consensus revenue estimates three times [1][2] Stock Outlook - Simply Good Foods shares have declined approximately 17% since the beginning of the year, contrasting with the S&P 500's gain of 6.5% [3] - The company's current consensus EPS estimate for the upcoming quarter is $0.49 on revenues of $376.45 million, and for the current fiscal year, it is $1.94 on revenues of $1.46 billion [7] Industry Context - The Food - Confectionery industry, to which Simply Good Foods belongs, is currently ranked in the bottom 11% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Simply Good Foods' stock performance [5]

Group 1 - The core viewpoint is that Hershey (HSY) is well-positioned to continue its earnings-beat streak in the upcoming report, supported by a history of exceeding earnings estimates [1][5] - Hershey has an average surprise of 10.38% over the past two quarters, indicating strong performance relative to expectations [1][5] - The last reported quarter showed earnings of $2.09 per share, surpassing the Zacks Consensus Estimate of $1.94 per share by 7.73% [2] Group 2 - The previous quarter's earnings were $2.69 per share against an expectation of $2.38 per share, resulting in a surprise of 13.03% [2] - There has been a favorable change in earnings estimates for Hershey, with a positive Earnings ESP of +11.13%, suggesting analysts are optimistic about its near-term earnings potential [5][8] - The combination of a positive Earnings ESP and a Zacks Rank 3 (Hold) indicates a high likelihood of another earnings beat, with historical data showing nearly 70% success in similar scenarios [6][8]

Core Viewpoint - Simply Good Foods (SMPL) has consistently surpassed earnings estimates and is well-positioned for future earnings reports, making it a strong candidate for investors in the Zacks Food - Confectionery industry [1]. Earnings Performance - In the last reported quarter, Simply Good Foods achieved earnings of $0.46 per share, exceeding the Zacks Consensus Estimate of $0.39 per share by 17.95% [2]. - In the previous quarter, the company was expected to post earnings of $0.46 per share but delivered $0.49 per share, resulting in a surprise of 6.52% [2]. Earnings Estimates and Predictions - Recent estimates for Simply Good Foods have been increasing, with a positive Earnings ESP (Expected Surprise Prediction) indicating a strong likelihood of an earnings beat [5]. - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have historically produced positive surprises nearly 70% of the time [6]. Earnings ESP Analysis - Simply Good Foods currently has an Earnings ESP of +0.79%, suggesting that analysts are optimistic about the company's earnings prospects [8]. - The next earnings report for the company is expected to be released on July 10, 2025 [8].

Company Performance - Hershey's stock closed at $166.59, with a gain of +1.44% from the previous session, outperforming the S&P 500's gain of 0.13% [1] - Over the past month, Hershey's shares have declined by 1.86%, underperforming the Consumer Staples sector's gain of 0.72% and the S&P 500's loss of 6.3% [1] Upcoming Earnings - Hershey's earnings report is anticipated on May 1, 2025, with expected earnings of $1.94 per share, reflecting a year-over-year decline of 36.81% [2] - Revenue is projected to be $2.82 billion, indicating a 13.25% decrease compared to the same quarter last year [2] Fiscal Year Projections - For the fiscal year, earnings are estimated at $6.10 per share, representing a decline of 34.9%, while revenue is projected at $11.42 billion, showing a slight increase of 1.99% from the previous year [3] Analyst Estimates and Rankings - Recent changes in analyst estimates for Hershey suggest a shifting business landscape, with positive revisions indicating optimism about the company's outlook [3][4] - The Zacks Rank system, which evaluates estimated changes, currently ranks Hershey at 3 (Hold) [5] Valuation Metrics - Hershey's Forward P/E ratio stands at 26.93, which is higher than the industry's average Forward P/E of 22.86 [6] - The company has a PEG ratio of 5.85, compared to the Food - Confectionery industry's average PEG ratio of 4.36 [6] Industry Context - The Food - Confectionery industry is part of the Consumer Staples sector, holding a Zacks Industry Rank of 89, placing it in the top 36% of over 250 industries [7] - Strong individual industry groups, as measured by the Zacks Industry Rank, tend to outperform weaker groups by a factor of 2 to 1 [7]