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Kraft Heinz (KHC) Gains But Lags Market: What You Should Know
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Kraft Heinz (KHC - Free Report) closed at $39.69 in the latest trading session, marking a +0.08% move from the prior day. This move lagged the S&P 500's daily gain of 0.25%. At the same time, the Dow added 0.08%, and the tech-heavy Nasdaq gained 7.26%.
Prior to today's trading, shares of the maker of Oscar Mayer meats, Jell-O pudding and Velveeta cheese had lost 2.51% over the past month. This has lagged the Consumer Staples sector's loss of 2.05% and the S&P 500's gain of 5.73% in that time.
Kraft Heinz will be looking to display strength as it nears its next earnings release, which is expected to be February 15, 2023. The company is expected to report EPS of $0.78, down 1.27% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.14 billion, up 6.39% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Kraft Heinz. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.04% lower. Kraft Heinz is currently a Zacks Rank #3 (Hold).
Investors should also note Kraft Heinz's current valuation metrics, including its Forward P/E ratio of 14.48. This valuation marks a discount compared to its industry's average Forward P/E of 18.6.
Investors should also note that KHC has a PEG ratio of 2.9 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Food - Miscellaneous was holding an average PEG ratio of 2.8 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 51, which puts it in the top 21% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Kraft Heinz (KHC) Gains But Lags Market: What You Should Know
Kraft Heinz (KHC - Free Report) closed at $39.69 in the latest trading session, marking a +0.08% move from the prior day. This move lagged the S&P 500's daily gain of 0.25%. At the same time, the Dow added 0.08%, and the tech-heavy Nasdaq gained 7.26%.
Prior to today's trading, shares of the maker of Oscar Mayer meats, Jell-O pudding and Velveeta cheese had lost 2.51% over the past month. This has lagged the Consumer Staples sector's loss of 2.05% and the S&P 500's gain of 5.73% in that time.
Kraft Heinz will be looking to display strength as it nears its next earnings release, which is expected to be February 15, 2023. The company is expected to report EPS of $0.78, down 1.27% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.14 billion, up 6.39% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Kraft Heinz. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.04% lower. Kraft Heinz is currently a Zacks Rank #3 (Hold).
Investors should also note Kraft Heinz's current valuation metrics, including its Forward P/E ratio of 14.48. This valuation marks a discount compared to its industry's average Forward P/E of 18.6.
Investors should also note that KHC has a PEG ratio of 2.9 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Food - Miscellaneous was holding an average PEG ratio of 2.8 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 51, which puts it in the top 21% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.