The Hershey Company
) recently introduced a new line of chocolate spreads in the
U.S., known as Hershey's Spreads. The spreads are available in
three varieties namely chocolate, chocolate with almond and
chocolate with hazelnut. These spreads can be used as a snack
enhancer as they will easily complement various fruits and
The marketing campaign for the product began in fourth quarter of
2013 and will continue through 2014.
Hershey's chocolate category gained market share in the third
quarter of 2013 on the back of its core brands, supported by
aggressive advertising, in-store selling, merchandising and
programming. The recent addition to the product portfolio is
likely to benefit the company in the upcoming quarters.
Innovation of new products and expansion of its portfolio have
been a part of Hershey's strategy, which caters to consumers'
changing preference and need for new flavors. Some successful
product innovations in the recent years include Reese's Minis,
Hershey's Drops and Rolo Minis. Some products lined up for 2014
include York Minis and Lancaster's Soft Creams Caramel. The
company has also planned some innovations for key international
markets like China, Mexico and Brazil.
Hershey carries a Zacks Rank #2 (Buy) as it has a bright outlook
for the fourth quarter. Though third-quarter revenues were
slightly soft, management expects sales to pick up in the fourth
quarter, gaining from the peak confectionary season.
Investors interested in the food industry may consider stocks
ConAgra Foods, Inc.
Green Mountain Coffee Roasters, Inc.
The Chefs' Warehouse, Inc.
). All these companies carry the same Zacks Rank as Hershey.
CONAGRA FOODS (CAG): Free Stock Analysis
CHEFS WAREHOUSE (CHEF): Free Stock Analysis
GREEN MTN COFFE (GMCR): Free Stock Analysis
HERSHEY CO/THE (HSY): Free Stock Analysis
To read this article on Zacks.com click here.