12 Best Depressed Stocks to Invest in Now

9) The Hershey Company (NYSE:HSY)

52-week Low: $148.7

Price as of 24 January: $150.71

Number of Hedge Fund Holders: 33

The Hershey Company (NYSE:HSY) is engaged in the manufacturing and selling of confectionery products and pantry items. The company’s stock has been impacted by higher commodity costs and a shift in consumer behavior. There has been some softness in total snacking consumption in Q3 2024, with people prioritizing value and budgeting for meals. Amidst uncertainties, The Hershey Company (NYSE:HSY)’s progress in expanding into salty snacks, through the acquisition of brands such as SkinnyPop popcorn and Dot’s Pretzels, can act as growth catalysts.

Moving forward, the company’s strategic initiatives such as pricing strategies, product innovation, and cost-saving measures are expected to provide some relief. The Hershey Company (NYSE:HSY)’s focus on diversifying its product portfolio and expanding into healthier snack options might align with changing consumer preferences. The company’s competitive advantages including strong pricing power and disciplined capital allocation are expected to help it navigate challenges.

While The Hershey Company (NYSE:HSY)’s current portfolio remains focused on traditional confectionery products, it has opportunities to expand into healthier snack options. Through leveraging strong brand recognition and distribution networks, it can develop and market new products focused on healthier eating. Therefore, successful expansion into this ever-growing market segment can offset negative momentum in traditional chocolate sales.