Hershey vs Cal-Maine Foods: Which Stock Could Rally?

HSY: Hershey logo
HSY
Hershey

Even as Hershey fell -11% during the past Week, its peer Cal-Maine Foods may be a better choice. Consistently evaluating alternatives is core to sound investment approach. Cal-Maine Foods (CALM) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Hershey (HSY) stock, suggesting you may be better off investing in CALM

  • CALM’s Last 12 Months revenue growth was 65.8%, vs. HSY’s 2.5%.
  • In addition, its Last 3-Year Average revenue growth came in at 31.8%, ahead of HSY’s 5.2%.
  • CALM leads on profitability over both periods – LTM margin of 36.4% and 3-year average of 27.4%.

A single stock can be risky, but there is a huge value to a broader, diversified approach. Should you buy one stock you like or build a portfolio designed to win across cycles? Our numbers show that the Trefis High Quality Portfolio has turned stock-picking uncertainty into market-beating consistency. This portfolio is incorporated in the asset allocation strategy of Empirical Asset Management — a Boston area wealth manager and Trefis partner — whose asset allocation framework yielded positive returns during the 2008-09 period when the S&P lost more than 40%.

HSY manufacturer and marketer of a diverse range of popular confectionery, snack, and breath freshener brands, founded in 1894 and based in Pennsylvania. CALM produces, grades, packages, and distributes specialty shell eggs, including nutritionally enhanced, cage-free, organic, and brown varieties to retailers and foodservice distributors.

Valuation & Performance Overview

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  HSY CALM Preferred
     
Valuation      
P/EBIT Ratio 15.3 2.7 CALM
     
Revenue Growth      
Last Quarter 26.0% 17.4% HSY
Last 12 Months 2.5% 65.8% CALM
Last 3 Year Average 5.2% 31.8% CALM
     
Operating Margins      
Last 12 Months 19.1% 36.4% CALM
Last 3 Year Average 21.6% 27.4% CALM
     
Momentum      
Last 3 Year Return -24.9% 88.8% CALM

Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: HSY Revenue Comparison | CALM Revenue Comparison
See more margin details: HSY Operating Income Comparison | CALM Operating Income Comparison
 
But do these numbers tell the full story? Read Buy or Sell CALM Stock to see if Cal-Maine Foods’s edge holds up under the hood or if Hershey still has cards to play (see Buy or Sell HSY Stock).

Historical Market Performance

  2020 2021 2022 2023 2024 2025 Total [1] Avg Best
Returns
HSY Return 6% 30% 22% -18% -7% -2% 31%  
CALM Return -12% -1% 52% 14% 87% -6% 162% <===
S&P 500 Return 16% 27% -19% 24% 23% 16% 112%  
Monthly Win Rates [3]
HSY Win Rate 50% 75% 58% 33% 33% 40%   48%  
CALM Win Rate 25% 42% 75% 67% 75% 70%   59%  
S&P 500 Win Rate 58% 75% 42% 67% 75% 70%   64% <===
Max Drawdowns [4]
HSY Max Drawdown -24% -5% -0% -21% -7% -15%   -12% <===
CALM Max Drawdown -28% -9% 0% -14% -6% -20%   -13%  
S&P 500 Max Drawdown -31% -1% -25% -1% -2% -15%   -12%  

[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 11/3/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year

 
Whatever your view on either of these stocks, investing in one or two stocks remains a risky proposition. Instead, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.