Is HERSHEY CO (HSY) Halal?

NYSE Consumer Defensive United States $43.3B
✓ HALAL
Confidence: 95/100
HERSHEY CO (HSY) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 12.6% against the AAOIFI threshold of 30%, HERSHEY CO comfortably passes the key financial ratio tests. The company operates in the Consumer Defensive sector (Confectioners), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 12.6%
/ 30%
2.0%
/ 30%
1.6%
/ 30%
0.3%
/ 5%
✓ HALAL
DJIM 12.6%
/ 33%
2.0%
/ 33%
1.6%
/ 33%
0.3%
/ 5%
✓ HALAL
MSCI 41.8%
/ 33%
6.7%
/ 33%
5.3%
/ 33%
0.3%
/ 5%
✗ NOT HALAL
S&P 12.6%
/ 33%
2.0%
/ 33%
1.6%
/ 33%
0.3%
/ 5%
✓ HALAL
FTSE 41.8%
/ 33%
6.7%
/ 33%
5.3%
/ 50%
0.3%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
49.2
Forward: 21.7
EPS
$4.34
Dividend Yield
272.0%
Payout: 126.3%
P/B Ratio
9.3
EV/EBITDA
24.4
EV: $48.1B
Revenue
$11.7B
Growth: 7.0%
Beta
0.1
Low volatility
Current Ratio
1.2

Profitability

Gross Margin 33.5%
Operating Margin 14.7%
Net Margin 7.6%
Return on Equity (ROE) 18.9%
Return on Assets (ROA) 6.9%

Cash Flow & Balance Sheet

Operating Cash Flow$2.3B
Free Cash Flow$1.7B
Total Debt$5.7B
Debt-to-Equity123.8
Current Ratio1.2
Total Assets$13.7B

Price & Trading

Last Close$210.43
50-Day MA$215.20
200-Day MA$189.88
Avg Volume2.0M
Beta0.1
52-Week Range
$150.04
$239.48

About HERSHEY CO (HSY)

CEO
Mr. Kirk C. Tanner
Employees
17,550
Sector
Consumer Defensive
Industry
Confectioners
Country
United States
Exchange
NYSE
Market Cap
$43.3B
Currency
USD

The Hershey Company, together with its subsidiaries, engages in the manufacture and sale of confectionery products and pantry items in the United States and internationally. It operates through three segments: North America Confectionery, North America Salty Snacks, and International. The company offers chocolate and non-chocolate confectionery products; gum and mint refreshment products, including mints, chewing gums, and bubble gums; protein bars; pantry items, such as baking ingredients, toppings, beverages, and sundae syrups; and snack items comprising spreads, bars, snack bites, mixes, popcorn, and pretzels. It provides its products primarily under the Hershey's, Reese's, Kisses, Jolly Rancher, Almond Joy, Brookside, barkTHINS, Cadbury, Good & Plenty, Heath, Kit Kat, Payday, Rolo, Twizzlers, Sour Strips, Whoppers, York, Ice Breakers, Breath Savers, Bubble Yum, Lily's, SkinnyPop, Pirates Booty, Dot's Homestyle Pretzels, and ONE Bar brands, as well as under the Pelon Pelo Rico, IO-IO, and Sofit brands. The company markets and sells its products to wholesale distributors, chain grocery stores, mass merchandisers, chain drug stores, vending companies, wholesale clubs, convenience stores, dollar stores, concessionaires, and department stores. It exports its products in approximately 65 countries worldwide. The Hershey Company was founded in 1894 and is based in Hershey, Pennsylvania.

Purification Calculator

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Frequently Asked Questions

Is HERSHEY CO (HSY) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), HERSHEY CO is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is HERSHEY CO's debt ratio?

HERSHEY CO's debt ratio is 12.6% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 41.8%.

Does HERSHEY CO require dividend purification?

Yes, HERSHEY CO has an impermissible income ratio of 0.30%, which means 0.30% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are HERSHEY CO's key financial metrics?

HERSHEY CO has a market capitalization of $43.3B, trailing P/E ratio of 49.2, and revenue of $11.7B. The company maintains a gross margin of 33.5% and a net margin of 7.6%. Return on equity stands at 18.9%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.