Hershey could be poised for strong gains ahead, according to Goldman Sachs. The bank double upgraded shares of the chocolate and cocoa products company to buy from sell and hiked its price target to $222 from $170, which implies more than 19% upside from Monday’s closing price. “After multiple guidance reductions over the past year, we now see a compelling risk/reward set-up for the stock, with cost pressures (e.g., cocoa, tariffs) largely known and reflected in expectations, plus the company’s market share trends have improved with incremental tailwinds expected in 2H,” analyst Leah Jordan wrote in a Tuesday note. “Additionally, we expect recent pricing announcements to drive outsized earnings growth in FY26 with a solid consumer backdrop supporting better-than-expected elasticities, noting HSY’s historically strong pricing power tied to its iconic brand portfolio.” Jordan noted that some of Hershey’s market share losses over the past year have been recovering, seeing improvement in the seasonal, sweets and mints categories. She expects continued improvement in these areas due to gains in shelf space and a “step-up” in marketing and innovation. The analyst also noted improving trends in convenience store performance as a result of its data-driven strategy known as the “gold standard planogram,” which could benefit chocolate sales. “We see further tailwinds as the company rolls out these efforts across more c-stores (60% adoption expected by YE, up from 50% today),” the analyst also said. “That, combined with an easier c-store lap in 2H, suggests a constructive setup.” Unlike Jordan, most analysts are still on the sidelines with Hershey, as 17 out of 24 total analysts covering it have a hold rating, per LSEG. Shares were nearly 3% higher in the premarket Tuesday following the double upgrade. Though shares are positive on the year, having risen more than 9%, they’ve underperformed the broader market in that timeframe. ( Learn the best 2026 strategies from inside the NYSE with Josh Brown and others at CNBC PRO Live. Tickets and info here . )
