Hershey Options Trading: A Deep Dive into Market Sentiment

Investors with a lot of money to spend have taken a bearish stance on Hershey HSY.

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with HSY, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 14 uncommon options trades for Hershey.

This isn't normal.

The overall sentiment of these big-money traders is split between 35% bullish and 50%, bearish.

Out of all of the special options we uncovered, 7 are puts, for a total amount of $856,040, and 7 are calls, for a total amount of $395,294.

Projected Price Targets

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $195.0 to $230.0 for Hershey over the last 3 months.

Volume & Open Interest Development

In today's trading context, the average open interest for options of Hershey stands at 415.7, with a total volume reaching 1,064.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Hershey, situated within the strike price corridor from $195.0 to $230.0, throughout the last 30 days.

Hershey Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

About Hershey

Hershey is a leading confectionery manufacturer in the us (around a $25 billion market), controlling around 36% of the domestic chocolate space (per Euromonitor). Beyond its namesake label, the firm's mix has expanded over the last 85 years and now consists of 100 brands, including Reese's, Kit Kat, Kisses, and Ice Breakers. Hershey's products are sold in about 80 countries, albeit with just a high-single-digit percentage of sales coming from markets outside the us, including Brazil, India, and Mexico. The firm has sought inorganic opportunities to extend its reach beyond its core confection business, adding Amplify Snack Brands and its Skinny Pop ready-to-eat popcorn to its mix, Pirate Brands, and Dot's Pretzels over the past few years.

Having examined the options trading patterns of Hershey, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Present Market Standing of Hershey

• With a trading volume of 1,750,045, the price of HSY is up by 1.98%, reaching $196.28.
• Current RSI values indicate that the stock is is currently neutral between overbought and oversold.
• Next earnings report is scheduled for 3 days from now.

Professional Analyst Ratings for Hershey

In the last month, 3 experts released ratings on this stock with an average target price of $192.66666666666666.

• Maintaining their stance, an analyst from Piper Sandler continues to hold a Neutral rating for Hershey, targeting a price of $179.
• An analyst from Citigroup persists with their Neutral rating on Hershey, maintaining a target price of $199.
• An analyst from Wells Fargo has decided to maintain their Equal-Weight rating on Hershey, which currently sits at a price target of $200.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Hershey options trades with real-time alerts from Benzinga Pro.