Back to top

Image: Bigstock

Kraft Heinz (KHC) Stock Moves -0.91%: What You Should Know

Read MoreHide Full Article

The most recent trading session ended with Kraft Heinz (KHC - Free Report) standing at $36.82, reflecting a -0.91% shift from the previouse trading day's closing. This change was narrower than the S&P 500's 0.95% loss on the day. Elsewhere, the Dow saw a downswing of 1.09%, while the tech-heavy Nasdaq depreciated by 0.84%.

The the processed food company with dual headquarters in Pittsburgh and Chicago's shares have seen an increase of 7.4% over the last month, surpassing the Consumer Staples sector's loss of 0.44% and the S&P 500's gain of 1.78%.

The investment community will be paying close attention to the earnings performance of Kraft Heinz in its upcoming release. The company is slated to reveal its earnings on May 1, 2024. The company is expected to report EPS of $0.68, unchanged from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.42 billion, down 1.12% from the prior-year quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.02 per share and revenue of $26.77 billion. These totals would mark changes of +1.34% and +0.49%, respectively, from last year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Kraft Heinz. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Currently, Kraft Heinz is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Kraft Heinz is currently trading at a Forward P/E ratio of 12.29. This expresses a discount compared to the average Forward P/E of 17.82 of its industry.

It is also worth noting that KHC currently has a PEG ratio of 2.94. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Food - Miscellaneous stocks are, on average, holding a PEG ratio of 1.98 based on yesterday's closing prices.

The Food - Miscellaneous industry is part of the Consumer Staples sector. At present, this industry carries a Zacks Industry Rank of 98, placing it within the top 39% of over 250 industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Kraft Heinz Company (KHC) - free report >>

Published in