The article explains how to identify stocks poised for positive earnings surprises using the Zacks Earnings ESP (Expected Surprise Prediction) tool, which compares the most accurate analyst estimates to consensus estimates. When combined with a Zacks Rank #3 or better, stocks with positive ESP have historically produced positive surprises 70% of the time with 28.3% average annual returns. Two consumer staples examples highlighted are Hershey (HSY) with a +0.31% ESP and Archer Daniels Midland (ADM) with an +18.48% ESP.

Hershey (HSY) rose 2.7% to $168.68 in the latest session, outperforming the S&P 500's 0.33% gain. However, the stock has declined 3.83% over the past month. The company is projected to report earnings of $2.11 per share on October 29, 2026, representing 62.31% year-over-year growth, with full-year earnings expected at $8.49 per share. Hershey currently holds a Zacks Rank of #3 (Hold) with a Forward P/E ratio of 19.35, trading at a premium to its industry average.

Hershey (HSY) is highlighted as a stock with strong potential for another earnings beat, having exceeded consensus estimates in its last two quarters with an average surprise of 22.83%. The company currently has a positive Earnings ESP of +1.51% combined with a Zacks Rank #3 (Hold), suggesting a high probability of beating earnings expectations in its next report expected on October 29, 2026.

With U.S. consumer sentiment hitting rock bottom in October amid economic concerns, rising inflation, and potential further rate hikes, Zacks analysts recommend four defensive consumer staples stocks: Archer-Daniels-Midland, Dole, Diageo, and The Hershey Company. These low-beta stocks offer stability during market volatility while maintaining growth potential.

With U.S. consumer sentiment hitting rock bottom in October due to inflation concerns and geopolitical tensions, analysts recommend four defensive consumer staples stocks: ADM, DOLE, DEO, and HSY. These companies offer low beta exposure and dividend yields, providing stability during market volatility and potential Federal Reserve rate hikes.

GLP-1 weight-loss drugs like Wegovy and Zepbound are rapidly gaining adoption, with 11% of U.S. adults now using them. This is benefiting drug manufacturers Eli Lilly and Novo Nordisk, whose sales are surging. However, snack and beverage companies face headwinds as GLP-1 users reduce grocery spending by 5-8%, particularly on processed snacks. While some companies like Coca-Cola and Monster Beverage are weathering the impact due to their low-calorie portfolios, others like PepsiCo and Hershey are experiencing declining sales.

The author recommends five dividend stocks currently out of favor: PepsiCo, Hormel, Hershey, McCormick, and Realty Income. Despite near-term headwinds from inflation and rising interest rates, the author believes these companies have strong fundamentals, long histories of dividend increases, and will navigate current challenges successfully. He advocates a long-term buy-and-hold approach with dividend reinvestment, ignoring short-term stock price fluctuations.

The article recommends four consumer staples companies as long-term dividend investments: Procter & Gamble, Coca-Cola, Colgate-Palmolive, and Hershey. All four have decades of consistent dividend payments, strong brand portfolios, and generate sufficient free cash flow to sustain and grow their dividends through economic cycles.

Hershey stock rose 1.37% to $162.54 on October 8, 2026, outperforming the broader market decline. The company is expected to report strong earnings with EPS up 62.31% year-over-year and revenue growth of 2.3%. Hershey holds a Zacks Rank #2 (Buy) rating with a Forward P/E of 18.89, slightly above its industry average.

Hershey stock fell 1.82% on September 29, 2026, underperforming the S&P 500's 0.17% loss. The stock has declined 6.7% over the past month, lagging the Consumer Staples sector. However, the company maintains a Zacks Rank #2 (Buy) rating with positive earnings expectations, projecting 62.31% EPS growth for the upcoming quarter and 34.55% growth for the full fiscal year.

Zacks analysts published research on 16 major stocks on September 29, 2026. Visa maintains strong market position in digital payments but faces margin pressure from rising client incentives. Intuitive Surgical underperforms due to moderated U.S. procedure growth and China headwinds, though the platform remains solid. Williams Companies shows healthy momentum with raised guidance but carries high debt and valuation concerns. Additional coverage includes analysis of Friedman Industries, Jones Soda, Hershey, W.P. Carey, and other companies across various sectors.

The Hershey Company is ramping up demand creation efforts in the second half of 2026 by increasing brand investment by 30% year-over-year and launching 30% more innovation items, including new Hershey's Creme Filled Bars and Reese's Pieces with Cookie. The company is also strengthening seasonal programs and core-item availability to engage consumers amid selective spending patterns.