The Hershey Company seems like a good potential investment overall. Although it struggled in 2007, the recent increases in revenues and profit margin are promising. Hershey has always been a stable company, so it is very likely that it will continue to do well in the future. Combined with the fact that the industry is expected to grow over the next few years, Hershey appears to be a strong investment option with increasing net sales.
The Hershey Company is the leading North American manufacturer of quality chocolate and non-chocolate confectionery grocery products. Hershey Foods dominates forty percent of the US chocolate market. Hershey sells products in a variety of packaged forms and markets under more than fifty different brand names. In addition to being the largest North American manufacturer of quality chocolate and sugar confectionery products, the Hershey Company has also begun to develop and deliver single-serve cookies, brownies and value-added snack nuts. In meeting the demand of today's health conscience consumer, Hershey is also producing portion controlled snacks. Hershey has always done well financially. The company has remained profitable and stable over the past years.
The Confectionery Wholesaling industry has faced many ups and downs over the past couple of years, mainly because of the recession in 2008. The industry had a quick recovery because consumers continued to spend on small treats like chocolate as a form of indulgence or relief, while cutting back on more expensive luxuries. The nutritional content of confectionery impacts demand and consumption because of the recent trends of health and dietary concerns. This is causing consumers to move away from traditionally sugar-rich confectionery. Confectionery food products are high in saturated fat and sugar, which have been linked to heart disease and dental decay. This awareness has caused many people to reduce their consumption of these products, or simpl...