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HSY vs. PM: A Head-to-Head Stock Comparison

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Here’s a clear look at HSY and PM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolHSYPM
Company NameThe Hershey CompanyPhilip Morris International Inc.
CountryUnited StatesUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS IndustryFood ProductsTobacco
Market Capitalization38.13 billion USD256.67 billion USD
ExchangeNYSENYSE
Listing DateMarch 17, 1980March 17, 2008
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of HSY and PM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

HSY vs. PM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolHSYPM
5-Day Price Return-2.01%-1.91%
13-Week Price Return12.71%-9.39%
26-Week Price Return11.00%3.77%
52-Week Price Return-3.26%32.50%
Month-to-Date Return1.80%-0.83%
Year-to-Date Return10.45%33.66%
10-Day Avg. Volume1.52M6.38M
3-Month Avg. Volume1.65M5.67M
3-Month Volatility28.95%27.04%
Beta0.240.47

Profitability

Return on Equity (TTM)

HSY

33.77%

Food Products Industry

Max
30.51%
Q3
16.54%
Median
10.46%
Q1
6.76%
Min
-2.18%

HSY’s Return on Equity of 33.77% is exceptionally high, placing it well beyond the typical range for the Food Products industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

PM

575.44%

Tobacco Industry

Max
49.48%
Q3
49.48%
Median
13.16%
Q1
5.02%
Min
4.04%

PM’s Return on Equity of 575.44% is exceptionally high, placing it well beyond the typical range for the Tobacco industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

HSY vs. PM: A comparison of their Return on Equity (TTM) against their respective Food Products and Tobacco industry benchmarks.

Net Profit Margin (TTM)

HSY

13.54%

Food Products Industry

Max
18.44%
Q3
10.21%
Median
6.29%
Q1
3.53%
Min
-0.80%

A Net Profit Margin of 13.54% places HSY in the upper quartile for the Food Products industry, signifying strong profitability and more effective cost management than most of its peers.

PM

21.08%

Tobacco Industry

Max
21.36%
Q3
16.88%
Median
10.39%
Q1
7.51%
Min
4.74%

A Net Profit Margin of 21.08% places PM in the upper quartile for the Tobacco industry, signifying strong profitability and more effective cost management than most of its peers.

HSY vs. PM: A comparison of their Net Profit Margin (TTM) against their respective Food Products and Tobacco industry benchmarks.

Operating Profit Margin (TTM)

HSY

18.28%

Food Products Industry

Max
24.83%
Q3
14.29%
Median
9.64%
Q1
6.11%
Min
0.08%

An Operating Profit Margin of 18.28% places HSY in the upper quartile for the Food Products industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

PM

36.28%

Tobacco Industry

Max
18.53%
Q3
15.03%
Median
11.76%
Q1
11.00%
Min
6.94%

PM’s Operating Profit Margin of 36.28% is exceptionally high, placing it well above the typical range for the Tobacco industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

HSY vs. PM: A comparison of their Operating Profit Margin (TTM) against their respective Food Products and Tobacco industry benchmarks.

Profitability at a Glance

SymbolHSYPM
Return on Equity (TTM)33.77%575.44%
Return on Assets (TTM)11.51%12.56%
Net Profit Margin (TTM)13.54%21.08%
Operating Profit Margin (TTM)18.28%36.28%
Gross Profit Margin (TTM)40.13%66.46%

Financial Strength

Current Ratio (MRQ)

HSY

1.53

Food Products Industry

Max
3.99
Q3
2.39
Median
1.62
Q1
1.23
Min
0.57

HSY’s Current Ratio of 1.53 aligns with the median group of the Food Products industry, indicating that its short-term liquidity is in line with its sector peers.

PM

0.83

Tobacco Industry

Max
3.37
Q3
1.84
Median
1.26
Q1
0.79
Min
0.39

PM’s Current Ratio of 0.83 aligns with the median group of the Tobacco industry, indicating that its short-term liquidity is in line with its sector peers.

HSY vs. PM: A comparison of their Current Ratio (MRQ) against their respective Food Products and Tobacco industry benchmarks.

Debt-to-Equity Ratio (MRQ)

HSY

1.25

Food Products Industry

Max
1.92
Q3
0.92
Median
0.51
Q1
0.25
Min
0.00

HSY’s leverage is in the upper quartile of the Food Products industry, with a Debt-to-Equity Ratio of 1.25. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

PM

186.08

Tobacco Industry

Max
2.19
Q3
2.19
Median
0.58
Q1
0.07
Min
0.01

With a Debt-to-Equity Ratio of 186.08, PM operates with exceptionally high leverage compared to the Tobacco industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

HSY vs. PM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Food Products and Tobacco industry benchmarks.

Interest Coverage Ratio (TTM)

HSY

15.93

Food Products Industry

Max
65.06
Q3
29.45
Median
9.43
Q1
4.70
Min
-1.69

HSY’s Interest Coverage Ratio of 15.93 is positioned comfortably within the norm for the Food Products industry, indicating a standard and healthy capacity to cover its interest payments.

PM

11.67

Tobacco Industry

Max
306.04
Q3
126.21
Median
9.35
Q1
6.32
Min
-11.45

PM’s Interest Coverage Ratio of 11.67 is positioned comfortably within the norm for the Tobacco industry, indicating a standard and healthy capacity to cover its interest payments.

HSY vs. PM: A comparison of their Interest Coverage Ratio (TTM) against their respective Food Products and Tobacco industry benchmarks.

Financial Strength at a Glance

SymbolHSYPM
Current Ratio (MRQ)1.530.83
Quick Ratio (MRQ)0.850.83
Debt-to-Equity Ratio (MRQ)1.25186.08
Interest Coverage Ratio (TTM)15.9311.67

Growth

Revenue Growth

HSY vs. PM: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

HSY vs. PM: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

HSY

2.88%

Food Products Industry

Max
8.09%
Q3
4.48%
Median
2.69%
Q1
1.66%
Min
0.00%

HSY’s Dividend Yield of 2.88% is consistent with its peers in the Food Products industry, providing a dividend return that is standard for its sector.

PM

3.33%

Tobacco Industry

Max
6.77%
Q3
6.12%
Median
5.06%
Q1
3.83%
Min
0.57%

PM’s Dividend Yield of 3.33% is in the lower quartile for the Tobacco industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

HSY vs. PM: A comparison of their Dividend Yield (TTM) against their respective Food Products and Tobacco industry benchmarks.

Dividend Payout Ratio (TTM)

HSY

70.84%

Food Products Industry

Max
216.00%
Q3
112.15%
Median
72.83%
Q1
41.56%
Min
0.00%

HSY’s Dividend Payout Ratio of 70.84% is within the typical range for the Food Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

PM

70.92%

Tobacco Industry

Max
78.29%
Q3
75.97%
Median
64.37%
Q1
50.14%
Min
49.96%

PM’s Dividend Payout Ratio of 70.92% is within the typical range for the Tobacco industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

HSY vs. PM: A comparison of their Dividend Payout Ratio (TTM) against their respective Food Products and Tobacco industry benchmarks.

Dividend at a Glance

SymbolHSYPM
Dividend Yield (TTM)2.88%3.33%
Dividend Payout Ratio (TTM)70.84%70.92%

Valuation

Price-to-Earnings Ratio (TTM)

HSY

24.61

Food Products Industry

Max
41.70
Q3
24.61
Median
17.81
Q1
12.59
Min
3.07

HSY’s P/E Ratio of 24.61 is within the middle range for the Food Products industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

PM

30.47

Tobacco Industry

Max
44.17
Q3
36.23
Median
27.79
Q1
11.97
Min
9.91

PM’s P/E Ratio of 30.47 is within the middle range for the Tobacco industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

HSY vs. PM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Food Products and Tobacco industry benchmarks.

Price-to-Sales Ratio (TTM)

HSY

3.33

Food Products Industry

Max
3.33
Q3
1.74
Median
1.10
Q1
0.66
Min
0.11

With a P/S Ratio of 3.33, HSY trades at a valuation that eclipses even the highest in the Food Products industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

PM

6.42

Tobacco Industry

Max
7.60
Q3
5.15
Median
2.97
Q1
1.39
Min
0.80

PM’s P/S Ratio of 6.42 is in the upper echelon for the Tobacco industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

HSY vs. PM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Food Products and Tobacco industry benchmarks.

Price-to-Book Ratio (MRQ)

HSY

7.45

Food Products Industry

Max
5.01
Q3
2.98
Median
1.93
Q1
1.28
Min
0.47

At 7.45, HSY’s P/B Ratio is at an extreme premium to the Food Products industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

PM

1,368.86

Tobacco Industry

Max
4.76
Q3
4.76
Median
3.34
Q1
1.97
Min
1.05

At 1,368.86, PM’s P/B Ratio is at an extreme premium to the Tobacco industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

HSY vs. PM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Food Products and Tobacco industry benchmarks.

Valuation at a Glance

SymbolHSYPM
Price-to-Earnings Ratio (TTM)24.6130.47
Price-to-Sales Ratio (TTM)3.336.42
Price-to-Book Ratio (MRQ)7.451,368.86
Price-to-Free Cash Flow Ratio (TTM)20.6825.75