The Hershey Company
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. It operates through three segments: North America Confectionery, North America Salty Snacks, and International. The company offers chocolate and non-chocolate confectionery products; gum and mint refreshment products, including mints, chewing gums, and bubble gums; protein bars; pantry items, such as baking ingredients, toppings, beverages, and sundae syrups; and snack items comprising spreads, bars, snack bites, mixes, popcorn, and pretzels. It provides its products primarily under the Hershey's, Reese's, Kisses, Jolly Rancher, Almond Joy, Brookside, barkTHINS, Cadbury, Good & Plenty, Heath, Kit Kat, Payday, Rolo, Twizzlers, Sour Strips, Whoppers, York, Ice Breakers, Breath Savers, Bubble Yum, Lily's, SkinnyPop, Pirates Booty, Dot's Homestyle Pretzels, and ONE Bar brands, as well as under the Pelon Pelo Rico, IO-IO, and Sofit brands. The company markets and sells its products to wholesale distributors, chain grocery stores, mass merchandisers, chain drug stores, vending companies, wholesale clubs, convenience stores, dollar stores, concessionaires, and department stores. It exports its products in approximately 65 countries worldwide. The Hershey Company was founded in 1894 and is based in Hershey, Pennsylvania.
What does it do?
Hershey makes some of the most recognizable candy and snack brands in America — think Reese's Peanut Butter Cups, Kit Kat (in the US), Hershey's Kisses, and SkinnyPop popcorn. If you've ever grabbed a chocolate bar at a checkout counter or raided a Halloween bag, you've almost certainly interacted with one of their products. They sell in over 80 countries, but the US is where the real money is made. Beyond candy, they've been quietly building a salty snacks business to reduce their dependence on chocolate.
Hershey is considered a 'defensive' stock — meaning people keep buying chocolate even during recessions, which makes it a popular safe haven when the economy gets shaky. Right now, investors are watching closely because cocoa prices have hit historic highs, squeezing the profit margins of every chocolate company on the planet. How Hershey navigates that cost pressure — through price hikes, product reformulation, or eating the loss — will define whether it remains the reliable, low-drama investment it's known for being.
How does it make money?
Hershey generates $11.7 billion in annual revenue, up from $11.2 billion the prior year — a roughly 4% increase. The vast majority comes from its North America Confectionery segment, which includes all the classic chocolate and candy brands sold in US grocery stores, gas stations, and pharmacies. A smaller but growing chunk comes from North America Salty Snacks, driven by brands like SkinnyPop and Dot's Pretzels, which Hershey has been using to diversify away from pure chocolate dependency. International sales round out the picture but remain a minor contributor compared to the dominant US business.
Why do investors care?
The growth story here isn't explosive — it's steady and durable, which is the whole point for many investors. Hershey has pricing power, meaning when costs rise, they can raise prices without losing too many customers, because people are emotionally attached to their favorite candy brands. The salty snacks expansion is the newer piece of the puzzle — it's a higher-growth category that could meaningfully boost revenue if Hershey can build the same kind of brand loyalty there. For things to go right, cocoa costs need to stabilize, the salty snacks segment needs to keep gaining shelf space, and consumers need to keep treating themselves even as household budgets tighten.
Deep Dive
MemberA full investor briefing on The Hershey Company — history, leadership, risks, and outlook.