WallStSmart

Hershey Co (HSY)vsThe Coca-Cola Company (KO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Coca-Cola Company generates 311% more annual revenue ($49.28B vs $11.99B). KO leads profitability with a 27.8% profit margin vs 9.1%. HSY appears more attractively valued with a PEG of 1.04. HSY earns a higher WallStSmart Score of 69/100 (B-).

HSY

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 7.0Value: 4.0Quality: 4.3
Piotroski: 3/9

KO

Strong Buy

65

out of 100

Grade: B-

Growth: 6.0Profit: 9.5Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HSYSignificantly Overvalued (-23.2%)

Margin of Safety

-23.2%

Fair Value

$187.44

Current Price

$184.58

$2.86 premium

UndervaluedFair: $187.44Overvalued
KOSignificantly Overvalued (-29.0%)

Margin of Safety

-29.0%

Fair Value

$61.61

Current Price

$79.48

$17.87 premium

UndervaluedFair: $61.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HSY3 strengths · Avg: 9.0/10
EPS GrowthGrowth
93.6%10/10

Earnings expanding 93.6% YoY

Return on EquityProfitability
23.1%9/10

Every $100 of equity generates 23 in profit

Operating MarginProfitability
21.3%8/10

Strong operational efficiency at 21.3%

KO5 strengths · Avg: 9.4/10
Market CapQuality
$338.86B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
40.7%10/10

Every $100 of equity generates 41 in profit

Operating MarginProfitability
35.1%10/10

Strong operational efficiency at 35.1%

Profit MarginProfitability
27.8%9/10

Keeps 28 of every $100 in revenue as profit

Free Cash FlowQuality
$1.75B8/10

Generating 1.8B in free cash flow

Areas to Watch

HSY3 concerns · Avg: 3.3/10
P/E RatioValuation
33.8x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.133/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

KO3 concerns · Avg: 3.0/10
Price/BookValuation
10.2x4/10

Trading at 10.2x book value

Debt/EquityHealth
1.303/10

Elevated debt levels

PEG RatioValuation
4.022/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : HSY

The strongest argument for HSY centers on EPS Growth, Return on Equity, Operating Margin. Revenue growth of 10.6% demonstrates continued momentum. PEG of 1.04 suggests the stock is reasonably priced for its growth.

Bull Case : KO

The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 35.1%. Revenue growth of 12.1% demonstrates continued momentum.

Bear Case : HSY

The primary concerns for HSY are P/E Ratio, Debt/Equity, Piotroski F-Score.

Bear Case : KO

The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

HSY profiles as a value stock while KO is a mature play — different risk/reward profiles.

KO carries more volatility with a beta of 0.36 — expect wider price swings.

KO is growing revenue faster at 12.1% — sustainability is the question.

KO generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

HSY scores higher overall (69/100 vs 65/100) and 10.6% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Hershey Co

CONSUMER DEFENSIVE · CONFECTIONERS · USA

The Hershey Company, commonly known as Hershey's, is an American multinational company and one of the largest chocolate manufacturers in the world. It also manufactures baked products, such as cookies and cakes, and sells beverages like milkshakes, and many more that are produced globally. Its headquarters are in Hershey, Pennsylvania.

The Coca-Cola Company

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.

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