HSY stock explained: What is Hershey stock?

Learn all about The Hershey Company’s stock, business model and more in this comprehensive guide.

Plus500 Experts • April 2026 • 5 min read

Hershey (NYSE: HSY) is one of the most recognisable names in the global food industry, best known for its chocolate products but increasingly positioned as a broader snacking company.

For investors, The Hershey shares may represent a classic consumer staples stock, stable, brand-driven, and dividend-oriented, yet with a unique ownership structure that shapes its long-term strategy.

What you’ll learn:

• What The Hershey Company is and how it was founded
• The key brands and products that drive its revenue
• How Hershey’s business model has evolved beyond chocolate
• The role of the Hershey Trust and how it impacts mergers and acquisitions
• Why the HSY stock is considered a defensive stock

What is The Hershey Company? (NYSE: HSY, founded 1894)

The Hershey Company was founded in 1894 by Milton S. Hershey in Pennsylvania and has since grown into one of the largest confectionery companies in the world. Originally focused on chocolate manufacturing, the company now operates as a diversified snacking business with products sold globally.

Hershey is publicly traded on the New York Stock Exchange under the ticker HSY and is part of the consumer staples sector, known for relatively stable demand regardless of economic cycles. Its operations are primarily concentrated in North America, which remains its largest market.

Products: Hershey's, Reese's, Kit Kat (US licence), Jolly Rancher

Hershey’s competitive advantage is rooted in its portfolio of iconic brands, many of which hold leading market positions in the U.S.

Key products include:

• Hershey’s - classic chocolate bars and Kisses
• Reese’s - peanut butter cups, consistently among the top-selling candies
• Kit Kat (U.S. license) - Hershey controls production and distribution in the U.S.
• Jolly Ranchers - fruit-flavoured hard and chewy candies

In addition to these flagship brands, Hershey also owns products like Twizzlers, Ice Breakers, SkinnyPop, and Dot’s Pretzels, reflecting its push beyond traditional confectionery.

Business model: confectionery + snacking

Hershey’s business model has evolved into a hybrid confectionery + snacking platform, allowing it to adapt to changing consumer preferences.

Core confectionery

Chocolate and candy remain the foundation of the business, generating strong margins and benefiting from brand loyalty and pricing power.

Expansion into snacking

To reduce reliance on sweets and capture growth trends, Hershey has expanded into:

• Salty snacks (e.g., pretzels, popcorn)
• Better-for-you and protein snacks
• Convenience-oriented products

Distribution and scale

The company leverages:

• Deep relationships with retailers
• Strong supply chain capabilities
• High brand visibility and marketing

This combination enables Hershey to maintain shelf dominance and consistent cash flow.

Hershey Trust ownership structure and its impact on M&A

A defining feature of Hershey stock is its ownership structure, centred around the Hershey Trust Company.

Control structure

Although the Hershey stock (HSY) is publicly traded, the Hershey Trust:

• Owns a minority of total shares
• Controls a majority of voting power through a dual-class share structure

The Trust was established to fund the Milton Hershey School, giving it a long-term, mission-driven perspective.

Impact on mergers and acquisitions

Limited takeover potential

The Trust’s control makes hostile takeovers extremely difficult. For example, past acquisition attempts by large food companies have been rejected.

Conservative deal strategy

Hershey typically focuses on smaller, strategic acquisitions, especially in snacking, rather than large transformational mergers.

Long-term focus

The Trust prioritises steady growth, dividends, and brand stewardship over short-term gains, which can be attractive for long-term investors but limits aggressive expansion.

Key takeaways:

• Hershey (HSY) is a leading U.S. confectionery and snacking company founded in 1894
• Its brand portfolio, Hershey’s, Reese’s, Kit Kat (U.S.), and Jolly Rancher, drives strong market positioning
• The company is transitioning into a broader snacking business beyond chocolate
• The Hershey Trust controls voting power, shaping long-term strategy and limiting M&A activity
• HSY stock is widely viewed as a stable, defensive stock with consistent demand