RBC Capital Markets analyst Nik Modi downgraded The Hershey Co (NYSE: HSY) to Sector Perform from Outperform at a lowered price target of $213 from $239.
The analysts' re-rating reflects the expected intense competitive landscape in 2024 across HSY's chocolate/confection categories in the U.S., as probably Mars and Ferraro/Ferrera will likely elevate their marketing, promotional spending, and innovation in the upcoming year.
The analyst notes that in 2023, HSY's shares have come under pressure due to the overall underperformance of the packaged food space (GLP-1 concerns, ...