Hershey (HSY) has been making headlines recently, and the stock’s price swings have been uncharacteristically sharp for a company known for its steady, reliable growth (9% three years annualized). As a long-term investor, this volatility presented a unique opportunity, and I took advantage by locking in gains in three increments as the share price appreciated. Dividend Yield Decline and Profit-Taking One key metric I monitor is the dividend yield, which naturally declined as the stock price surged. This signaled a chance to capitalize on the elevated valuation, and I began trimming my position. However, with the news of a potential acquisition by Mondelez International (MDLZ), Hershey’s stock has become even more interesting. Mondelez Acquisition: A Likely Stalemate? The prospect of Mondelez acquiring Hershey has resurfaced, but history suggests that skepticism is warranted. According to analysts at Barclays, any potential offer would likely need to exceed $240 per share. However, the ...
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