10 Blue-Chip Stocks to Buy at 52-Week Lows

3. The Hershey Company (NYSE:HSY)

52 Week Range: $178.82 – $211.92

Current Share Price: $193.24

Number of Hedge Fund Holders: 39

Market Capitalization as of September 30: $39.1 Billion 

The Hershey Company (NYSE:HSY) is a consumer defensive company that manufactures and sells confectionery products and pantry items. It offers various products, including chocolate, non-chocolate confectionery, gum, and mints.

The Hershey Company (NYSE:HSY) has been under pressure recently. The stock price has been range-bound due to rising cocoa prices and declining chocolate demand. Nevertheless, Hershey’s Milk Chocolate Bar and Hershey’s Kisses have solidified the company’s position as an American consumer goods market leader.

The Hershey Company (NYSE:HSY) has also started pushing its most well-known confection brands into international markets as it looks to tap new sales opportunities and diversify its revenue stream. It is also in the process of developing a healthier snack line, which includes popcorn and pretzels, as it looks to cater to health-conscious clients. Thus, beyond Hershey’s domestic chocolate operations, there are reasons to be optimistic about the future.

Currently, The Hershey Company (NYSE:HSY)’s price-to-sales ratio (P/S) is approximately 3.58 against a five-year average of 4.1. The company’s price-to-earnings ratio (P/E) is 22.5, which is lower than the five-year average of 25.5. The stock appears reasonably priced when looking at more conventional metrics. Hershey Company stands out as one of the best blue chip stocks to buy at 52-week lows, offering a 2.8% dividend yield, significantly higher than its five-year average of 2%.

Furthermore, by the end of Q2 2024, 39 hedge funds had invested a total of $506 million in the company, according to Insider Monkey’s database. Holocene Advisors emerged as the leading stakeholder for that quarter.