Kraft Heinz Company (NASDAQ:KHC) Receives Consensus Rating of “Reduce” from Brokerages

Shares of Kraft Heinz Company (NASDAQ:KHC) have been assigned an average rating of “Reduce” from the twenty brokerages that are presently covering the firm, Marketbeat Ratings reports. Five analysts have rated the stock with a sell recommendation, fourteen have given a hold recommendation and one has given a strong buy recommendation to the company. The average 1 year target price among brokers that have covered the stock in the last year is $22.6875.

KHC has been the subject of a number of research reports. Weiss Ratings reiterated a “sell (d)” rating on shares of Kraft Heinz in a research note on Tuesday, April 21st. Barclays increased their target price on Kraft Heinz from $24.00 to $25.00 and gave the stock an “equal weight” rating in a report on Thursday, February 12th. Wells Fargo & Company decreased their target price on Kraft Heinz from $25.00 to $23.00 and set an “equal weight” rating for the company in a research report on Thursday, March 12th. UBS Group boosted their price target on Kraft Heinz from $23.00 to $24.00 and gave the company a “neutral” rating in a report on Friday, May 8th. Finally, The Goldman Sachs Group set a $23.00 price target on Kraft Heinz in a research report on Thursday, February 12th.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of KHC. Vanguard Group Inc. raised its stake in Kraft Heinz by 0.6% during the fourth quarter. Vanguard Group Inc. now owns 102,933,219 shares of the company’s stock worth $2,496,131,000 after acquiring an additional 616,283 shares during the period. Invesco Ltd. boosted its stake in Kraft Heinz by 10.5% in the fourth quarter. Invesco Ltd. now owns 19,725,662 shares of the company’s stock valued at $478,347,000 after acquiring an additional 1,870,310 shares during the period. Auto Owners Insurance Co grew its holdings in shares of Kraft Heinz by 3,034.1% during the fourth quarter. Auto Owners Insurance Co now owns 16,477,002 shares of the company’s stock valued at $39,957,000 after purchasing an additional 15,951,271 shares during the last quarter. Nordea Investment Management AB grew its holdings in shares of Kraft Heinz by 0.8% during the fourth quarter. Nordea Investment Management AB now owns 13,801,453 shares of the company’s stock valued at $336,134,000 after purchasing an additional 106,970 shares during the last quarter. Finally, Norges Bank acquired a new stake in shares of Kraft Heinz during the 4th quarter worth approximately $332,382,000. 78.17% of the stock is owned by institutional investors and hedge funds.

Kraft Heinz Price Performance

Shares of NASDAQ:KHC opened at $22.58 on Wednesday. The company has a current ratio of 1.20, a quick ratio of 0.82 and a debt-to-equity ratio of 0.46. The company has a fifty day simple moving average of $22.91 and a 200 day simple moving average of $23.62. The firm has a market cap of $26.77 billion, a PE ratio of -4.65 and a beta of 0.08. Kraft Heinz has a 12-month low of $21.03 and a 12-month high of $29.19.

Kraft Heinz (NASDAQ:KHC) last posted its quarterly earnings data on Wednesday, May 6th. The company reported $0.58 EPS for the quarter, beating analysts’ consensus estimates of $0.50 by $0.08. The firm had revenue of $6.05 billion for the quarter, compared to the consensus estimate of $5.89 billion. Kraft Heinz had a negative net margin of 23.05% and a positive return on equity of 7.26%. The firm’s revenue was up .8% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.62 EPS. Kraft Heinz has set its FY 2026 guidance at 1.980-2.100 EPS. On average, equities research analysts anticipate that Kraft Heinz will post 2.07 EPS for the current fiscal year.

Kraft Heinz Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Friday, June 5th will be issued a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 7.1%. The ex-dividend date of this dividend is Friday, June 5th. Kraft Heinz’s dividend payout ratio is -32.92%.

Trending Headlines about Kraft Heinz

Here are the key news stories impacting Kraft Heinz this week:

• Positive Sentiment: Jim Cramer said he has “faith” in Kraft Heinz CEO Steve, which may help improve sentiment by signaling confidence in management and the company’s turnaround prospects. Jim Cramer on Kraft Heinz CEO: “I Have Faith in Steve”
• Positive Sentiment: Unusual call-option activity suggests some traders are positioning for a rebound, which can sometimes signal renewed speculative interest in the shares. Unusual trading in Kraft Heinz call options after CEO interview – Is KHC stock a buy?
• Neutral Sentiment: The company’s recent earnings were generally solid, with Kraft Heinz beating EPS and revenue estimates last month, but the stock has still struggled to hold momentum afterward. Kraft Heinz stock/earnings overview
• Negative Sentiment: Bernstein downgraded Kraft Heinz to Underperform/Sell and lowered its price target, reinforcing worries that the shares could have more downside ahead. Kraft Heinz was downgraded to a Sell Rating at Bernstein
• Negative Sentiment: Articles focused on the stock being down since its last earnings report highlight weakening momentum and investor concern that the post-earnings rally has faded. Why Is Kraft Heinz (KHC) Down 5% Since Last Earnings Report?
• Negative Sentiment: Management commentary on “negative cash flows” among lower-income consumers points to softer demand for packaged foods if stressed households keep pulling back on spending. Running out of money: Kraft, McDonald’s, Whirlpool CEOs all issue same dire warning about US consumers

About Kraft Heinz

The Kraft Heinz Company (NASDAQ: KHC) is a global food and beverage company formed in 2015 through the merger of Kraft Foods Group and H.J. Heinz Company. The combination created one of the largest packaged-food companies in the world, built around well-known consumer brands. The merger was supported by major investors and established a multi-national platform for branded food products.

Kraft Heinz develops, manufactures, markets and distributes a broad portfolio of branded packaged foods and condiments.