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Kraft Heinz (KHC) Readies for Q2 Earnings: What to Expect?
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The Kraft Heinz Company (KHC - Free Report) is likely to register a top and bottom-line decline when it reports second-quarter 2022 earnings on Jul 27. The Zacks Consensus Estimate for quarterly revenues is pegged at $6,379 million, suggesting a drop of 3.6% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for quarterly earnings has decreased by a penny in the past 30 days to 67 cents per share, suggesting a decline of 14.1% from the figure reported in the prior-year quarter. This food and beverage products company has a trailing four-quarter earnings surprise of 15.4%, on average. KHC delivered an earnings surprise of 15.4% in the last reported quarter.
The Kraft Heinz Company Price, Consensus and EPS Surprise
The company has been grappling with escalated commodity and supply-chain costs. On its last earnings call, management highlighted that it expects cost of goods inflation to be up by mid-teens during 2022. This raises concerns for the quarter under review.
On the positive side, Kraft Heinz’s pricing efforts to counter inflation and transformation strategy bode well. As part of its next transformation phase, management unveiled AGILE@SCALE in February 2022. The strategy aims at helping KHC enhance its agile expertise and capabilities via partnerships with technology giants and cutting-edge innovators.
What the Zacks Model Unveils
Our proven model predicts an earnings beat for Kraft Heinz this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.
Kraft Heinz carries a Zacks Rank #3 and has an Earnings ESP of +0.53%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks With the Favorable Combination
Here are some other companies you may want to consider as our model shows that these also have the right combination of elements to post an earnings beat.
Corteva (CTVA - Free Report) currently has an Earnings ESP of +0.20% and a Zacks Rank of 1. The company is likely to register an increase in the bottom line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for quarterly earnings has risen by a penny over the past seven days to $1.47 per share in the past 30 days. The consensus mark for CTVA’s earnings suggests 5% growth from the year-ago quarter’s reported number. You can see the complete list of today’s Zacks #1 Rank stocks here.
Corteva’s top line is expected to rise year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.2 billion, which suggests a rise of 9.8% from the figure reported in the prior-year quarter. CTVA delivered an earnings beat of 22.3%, on average, in the trailing four quarters.
Archer Daniels (ADM - Free Report) currently has an Earnings ESP of +1.56% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for ADM’s quarterly earnings has moved up 3.5% in the past 30 days to $1.75 per share. The consensus mark indicates 31.6% growth from the year-ago quarter’s reported number.
Archer Daniels’ top line is expected to rise year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $25.3 billion, which suggests a rise of 10.2% from the figure reported in the prior-year quarter. ADM delivered an earnings beat of 22.3%, on average, in the trailing four quarters.
Tyson Foods (TSN - Free Report) currently has an Earnings ESP of +5.71% and a Zacks Rank of 3. The company is likely to register a rise in the top line when it reports third-quarter fiscal 2022 results. The Zacks Consensus Estimate for TSN’s quarterly revenues is pegged at $13.4 billion, which suggests a jump of 7% from the figure reported in the prior-year quarter.
The consensus mark for Tyson Foods’ quarterly earnings has moved down from $1.92 to $1.88 per share in the past 30 days. The consensus estimate for TSN’s third-quarter earnings suggests a decline of 30.4% from the year-ago quarter’s reported figure. Tyson Foods delivered an earnings beat of 33.3%, on average, in the trailing four quarters.
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Kraft Heinz (KHC) Readies for Q2 Earnings: What to Expect?
The Kraft Heinz Company (KHC - Free Report) is likely to register a top and bottom-line decline when it reports second-quarter 2022 earnings on Jul 27. The Zacks Consensus Estimate for quarterly revenues is pegged at $6,379 million, suggesting a drop of 3.6% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for quarterly earnings has decreased by a penny in the past 30 days to 67 cents per share, suggesting a decline of 14.1% from the figure reported in the prior-year quarter. This food and beverage products company has a trailing four-quarter earnings surprise of 15.4%, on average. KHC delivered an earnings surprise of 15.4% in the last reported quarter.
The Kraft Heinz Company Price, Consensus and EPS Surprise
The Kraft Heinz Company price-consensus-eps-surprise-chart | The Kraft Heinz Company Quote
Factors to Note
The company has been grappling with escalated commodity and supply-chain costs. On its last earnings call, management highlighted that it expects cost of goods inflation to be up by mid-teens during 2022. This raises concerns for the quarter under review.
On the positive side, Kraft Heinz’s pricing efforts to counter inflation and transformation strategy bode well. As part of its next transformation phase, management unveiled AGILE@SCALE in February 2022. The strategy aims at helping KHC enhance its agile expertise and capabilities via partnerships with technology giants and cutting-edge innovators.
What the Zacks Model Unveils
Our proven model predicts an earnings beat for Kraft Heinz this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.
Kraft Heinz carries a Zacks Rank #3 and has an Earnings ESP of +0.53%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks With the Favorable Combination
Here are some other companies you may want to consider as our model shows that these also have the right combination of elements to post an earnings beat.
Corteva (CTVA - Free Report) currently has an Earnings ESP of +0.20% and a Zacks Rank of 1. The company is likely to register an increase in the bottom line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for quarterly earnings has risen by a penny over the past seven days to $1.47 per share in the past 30 days. The consensus mark for CTVA’s earnings suggests 5% growth from the year-ago quarter’s reported number. You can see the complete list of today’s Zacks #1 Rank stocks here.
Corteva’s top line is expected to rise year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.2 billion, which suggests a rise of 9.8% from the figure reported in the prior-year quarter. CTVA delivered an earnings beat of 22.3%, on average, in the trailing four quarters.
Archer Daniels (ADM - Free Report) currently has an Earnings ESP of +1.56% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports second-quarter 2022 results. The Zacks Consensus Estimate for ADM’s quarterly earnings has moved up 3.5% in the past 30 days to $1.75 per share. The consensus mark indicates 31.6% growth from the year-ago quarter’s reported number.
Archer Daniels’ top line is expected to rise year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $25.3 billion, which suggests a rise of 10.2% from the figure reported in the prior-year quarter. ADM delivered an earnings beat of 22.3%, on average, in the trailing four quarters.
Tyson Foods (TSN - Free Report) currently has an Earnings ESP of +5.71% and a Zacks Rank of 3. The company is likely to register a rise in the top line when it reports third-quarter fiscal 2022 results. The Zacks Consensus Estimate for TSN’s quarterly revenues is pegged at $13.4 billion, which suggests a jump of 7% from the figure reported in the prior-year quarter.
The consensus mark for Tyson Foods’ quarterly earnings has moved down from $1.92 to $1.88 per share in the past 30 days. The consensus estimate for TSN’s third-quarter earnings suggests a decline of 30.4% from the year-ago quarter’s reported figure. Tyson Foods delivered an earnings beat of 33.3%, on average, in the trailing four quarters.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.