Wells Fargo downgraded Hershey to Underweight from Equal Weight with a price target of $160, down from $175. The firm says Hershey “is on the precipice of historic” earnings pressure in 2025 and into 2026 from higher cocoa prices. Street earrings estimates need to come down substantially, the analyst tells investors in a research note. The firm says that while it is unclear if the surge in cocoa prices over the past five weeks will prove durable, as of right now, the company is looking at nearly mid-teens cocoa inflation in 2026 on top of what’s coming in 2025.