Stocks of high-quality companies typically command premiums in the market. They are usually a bedrock of stability when the economy/market turns lower. On the other hand, they can become bloated when things get too hot. This appears to be the case with The Hershey Company (HSY). The leading (public) confectionary company in the United States, Hershey is a business that prospers through all economic environments because chocolate is essentially recession proof. Hershey's stock has traded range bound between $90 and $110 for much of the past five years before busting out at the beginning of 2019. Now near highs at $146, the stock has gotten a little ahead of itself. Even high-quality companies can make for poor investments if the valuation is too high. We will identify where we feel shares need to fall to, and some growth drivers that could benefit the company over the long term.

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