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Kraft Heinz (KHC) Laps the Stock Market: Here's Why
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Kraft Heinz (KHC - Free Report) ended the recent trading session at $22.79, demonstrating a +2.33% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.11% for the day. Elsewhere, the Dow lost 0.13%, while the tech-heavy Nasdaq added 0.18%.
The processed food company with dual headquarters in Pittsburgh and Chicago's shares have seen a decrease of 7.36% over the last month, surpassing the Consumer Staples sector's loss of 11.58% and falling behind the S&P 500's loss of 4.28%.
The investment community will be closely monitoring the performance of Kraft Heinz in its forthcoming earnings report. The company is predicted to post an EPS of $0.5, indicating a 19.35% decline compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $5.89 billion, indicating a 1.82% decline compared to the corresponding quarter of the prior year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.04 per share and revenue of $24.46 billion. These totals would mark changes of -21.54% and -1.93%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Kraft Heinz. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.05% downward. Currently, Kraft Heinz is carrying a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Kraft Heinz has a Forward P/E ratio of 10.94 right now. This signifies a discount in comparison to the average Forward P/E of 13.41 for its industry.
The Food - Miscellaneous industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 207, this industry ranks in the bottom 16% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the 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.
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Kraft Heinz (KHC) Laps the Stock Market: Here's Why
Kraft Heinz (KHC - Free Report) ended the recent trading session at $22.79, demonstrating a +2.33% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.11% for the day. Elsewhere, the Dow lost 0.13%, while the tech-heavy Nasdaq added 0.18%.
The processed food company with dual headquarters in Pittsburgh and Chicago's shares have seen a decrease of 7.36% over the last month, surpassing the Consumer Staples sector's loss of 11.58% and falling behind the S&P 500's loss of 4.28%.
The investment community will be closely monitoring the performance of Kraft Heinz in its forthcoming earnings report. The company is predicted to post an EPS of $0.5, indicating a 19.35% decline compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $5.89 billion, indicating a 1.82% decline compared to the corresponding quarter of the prior year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.04 per share and revenue of $24.46 billion. These totals would mark changes of -21.54% and -1.93%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Kraft Heinz. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.05% downward. Currently, Kraft Heinz is carrying a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Kraft Heinz has a Forward P/E ratio of 10.94 right now. This signifies a discount in comparison to the average Forward P/E of 13.41 for its industry.
The Food - Miscellaneous industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 207, this industry ranks in the bottom 16% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the 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.