I'm betting Hershey will be Hitting $64.40 within 3 trading days to and complete a 3 month head and shoulders pattern leading the stock much lower. After that the $62 range covering the gap is in sights. The first move to 64.40 could happen over the next three trading days.
HSY is one of two companies I'm shorting that I actually respect. Like HD, it is simply overpriced, so I'm compelled to short it. Hope your target and assessment pan out. I'll pull a 600-800% return on my July put if so.
Just trying to read the charts. Based on my the time frame of my post I was obviously wrong on the timing.
When I view Hershey all the way back to the summer of 2005 during the last major peak, I think the price history is repeating itself. I am guessing the second shoulder will form over the next couple of months as the price falls down into the low 60's
The Dividend isn't large enough to protect the price, the PE is higher than most in the same industry. The growth just isn't enough in this market.
I am just a noob making guesses. I will disclose I am short Hershey via Jan 60 Puts.