The Hershey CoMEX:HSY 74 Interest Coverage is 11.81 as of Mar. 2026, which is 20% below its 10-year median of 14.80. GuruFocus rates MEX:HSY with a GF Score™ of 74/100 and a GF Value™ of MXN3,649.31 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,510 Consumer Packaged Goods companies, The Hershey Co ranks worse than 52.91% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. The Hershey Co's
Operating Income
for the
three
months ended in Mar. 2026 was MXN11,662 Mil. The Hershey Co's Interest Expense for the
three
months ended in Mar. 2026 was MXN-987 Mil.
The Hershey Co's interest coverage for the quarter that ended in Mar. 2026 was 11.81.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for The Hershey Co's Interest Coverage or its related term are showing as below:
MEX:HSY'
s Interest Coverage Range Over the Past 10 Years
Min: 6.5 Med: 14.8 Max: 16.79
Current: 7.53
MEX:HSY's Interest Coverage is ranked worse than 52.91% of 1510
companies
in the Consumer Packaged Goods industry
Industry Median: 8.64
vs MEX:HSY: 7.53
The Hershey Co (MEX:HSY) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
The Hershey Co Interest Coverage Related Terms
The Hershey Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for The Hershey Co's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
MEX:HSY vs TR, MDLZ, SOWG: Interest Coverage Comparison
For the Confectioners subindustry, The Hershey Co's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Hershey Co Interest Coverage vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, The Hershey Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where The Hershey Co's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
The Hershey Co (MEX:HSY) has a Interest Coverage of 11.81 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Hershey Co and its competitors. This is 20% below median its historical median of 14.80. Over the past decade, The Hershey Co's Interest Coverage has ranged from 6.50 to 16.79. According to the industry distribution chart, The Hershey Co ranks #799 out of 1510 companies in the Consumer Packaged Goods industry, placing it in the top 52.9%.
Is The Hershey Co's Interest Coverage too high?
The Hershey Co's current Interest Coverage of 11.81 is 20% below median its 10-year median of 14.80. Over the past 10 years, this metric has ranged from a low of 6.50 to a high of 16.79. The Consumer Packaged Goods industry median Interest Coverage is 8.64. The Hershey Co's value of 11.81 is 36.7% above this industry median. Based on the distribution chart, The Hershey Co ranks #799 out of 1510 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, The Hershey Co has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Hershey Co's Interest Coverage compare to TR and MDLZ?
According to the Consumer Packaged Goods industry distribution chart, The Hershey Co ranks #799 out of 1510 companies for Interest Coverage. This places The Hershey Co in the lower half of its industry. The industry median Interest Coverage is 8.64. The Hershey Co's value of 11.81 is 36.7% above this benchmark. Historically, The Hershey Co's own Interest Coverage has ranged from 6.50 to 16.79 over the past decade. While the company's 10-year median is 14.80 vs. the industry median of 8.64, The Hershey Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.64, based on 1,510 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Hershey Co's current Interest Coverage of 11.81 is 36.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Hershey Co and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Hershey Co's current Interest Coverage is 11.81, which is 20% below median its own 10-year median of 14.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Hershey Co stock overvalued right now?
Based on GuruFocus' analysis, The Hershey Co (MEX:HSY) is currently considered Modestly Undervalued. The stock's GF Value™ is MXN3,649.31, compared to a current price of MXN3,090.00 — trading 15.3% below its estimated fair value. The current Interest Coverage is 11.81, which is 20% below median its 10-year median of 14.80 and 36.7% above the Consumer Packaged Goods industry median of 8.64. The Hershey Co's overall GF Score™ is 74/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For The Hershey Co (MEX:HSY), the current Interest Coverage is 11.81 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Hershey Co (MEX:HSY) Overvalued in 2026?
Based on GuruFocus' analysis, The Hershey Co stock appears to be undervalued.
The current stock price of MXN3,090.00 is trading 15.3% below its estimated GF Value™ of MXN3,649.31.
GuruFocus considers The Hershey Co to be Modestly Undervalued.
Key valuation signals for MEX:HSY:
Interest Coverage: 11.81 (20% below median its 10-year median of 14.80)
GF Value™: MXN3,649.31 vs. price of MXN3,090.00 (15.3% below fair value)
Industry Position: 36.7% above the Consumer Packaged Goods median (#799 of 1510)
No single metric tells the full story. See the MEX:HSY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hershey is a leading US confectionery manufacturer (around a $55 billion market, according to Euromonitor), controlling 35% of the domestic chocolate aisle. Beyond its namesake label, the firm's portfolio has expanded over the last 85 years and now comprises 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 confectionery business, adding Amplify Snack Brands and its Skinny Pop ready-to-eat popcorn to its portfolio, as well as Pirate Brands, Dot's Pretzels, and LesserEvil over the past few years.
74GF Score
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