✎ Contributed by Ty Griffin
Snack and confectionery shares were in focus Thursday after Hershey Co. said growing adoption of GLP-1 weight-loss medications is contributing to stronger sales of gum and mints. CEO Kirk Tanner said retail sales of Ice Breakers, Hershey’s third-largest confection brand, rose more than 8% in the quarter, citing “functional snacking tailwinds” tied to GLP-1 usage.
While bad breath is not an officially listed side effect of GLP-1 drugs such as Ozempic, Wegovy and Mounjaro, some users have reported halitosis, which dental experts link to dry mouth associated with the medications. The trend also contributed to a 17% jump in Hershey’s protein bar sales, helping drive overall quarterly revenue up more than 10%, though the stock traded lower in morning action.
Market Reaction
- Hershey Co. (NYSE: HSY): $186.63, down $2.53 (1.34%)
- Mondelez International Inc. (NASDAQ: MDLZ): $61.49, up $0.45 (0.74%)
- PepsiCo Inc. (NASDAQ: PEP): $158.05, up $2.76 (1.78%)
- Novo Nordisk A/S (NYSE: NVO): $42.62, up $2.33 (5.78%)
- Eli Lilly and Co. (NYSE: LLY): $935.99, up $84.78 (9.96%)
Investor Sentiment
The mixed reaction in snack makers suggests investors are evaluating whether GLP-1 adoption represents a headwind or an opportunity for food companies. While appetite suppression tied to the drugs has raised concerns about reduced snacking demand, certain categories — including premium treats, protein products and breath-freshening items — may see offsetting gains.
Meanwhile, the strong gains in Novo Nordisk and Eli Lilly reflect continued enthusiasm around GLP-1 growth prospects. As adoption expands, investors are increasingly watching for second-order effects across consumer staples, from portion sizes and premiumization to shifts in category mix within packaged foods.
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