Latest news with #TheKraftHeinzCompany
Yahoo
17-06-2025
- Business
- Yahoo
The Kraft Heinz Company (NASDAQ:KHC) is a favorite amongst institutional investors who own 57%
Institutions' substantial holdings in Kraft Heinz implies that they have significant influence over the company's share price 52% of the business is held by the top 6 shareholders Using data from analyst forecasts alongside ownership research, one can better assess the future performance of a company This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Every investor in The Kraft Heinz Company (NASDAQ:KHC) should be aware of the most powerful shareholder groups. We can see that institutions own the lion's share in the company with 57% ownership. Put another way, the group faces the maximum upside potential (or downside risk). Given the vast amount of money and research capacities at their disposal, institutional ownership tends to carry a lot of weight, especially with individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait. Let's delve deeper into each type of owner of Kraft Heinz, beginning with the chart below. See our latest analysis for Kraft Heinz Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing. We can see that Kraft Heinz does have institutional investors; and they hold a good portion of the company's stock. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Kraft Heinz's historic earnings and revenue below, but keep in mind there's always more to the story. Since institutional investors own more than half the issued stock, the board will likely have to pay attention to their preferences. Kraft Heinz is not owned by hedge funds. Our data shows that Berkshire Hathaway Inc. is the largest shareholder with 28% of shares outstanding. With 8.6% and 7.9% of the shares outstanding respectively, The Vanguard Group, Inc. and BlackRock, Inc. are the second and third largest shareholders. We did some more digging and found that 6 of the top shareholders account for roughly 52% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Our information suggests that The Kraft Heinz Company insiders own under 1% of the company. It is a very large company, so it would be surprising to see insiders own a large proportion of the company. Though their holding amounts to less than 1%, we can see that board members collectively own US$91m worth of shares (at current prices). It is good to see board members owning shares, but it might be worth checking if those insiders have been buying. The general public-- including retail investors -- own 15% stake in the company, and hence can't easily be ignored. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders. We can see that public companies hold 28% of the Kraft Heinz shares on issue. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership. While it is well worth considering the different groups that own a company, there are other factors that are even more important. For instance, we've identified 2 warning signs for Kraft Heinz that you should be aware of. If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
21-05-2025
- Business
- Yahoo
The Kraft Heinz Company (KHC) Exploring M&A Opportunities Amid Changing Consumer Trends
The Kraft Heinz Company (NASDAQ:KHC) has been looking for potential strategic transactions over the last several months, the company has announced. CEO Carlos Abrams-Rivera was quoted as follows in a press release shared on Tuesday: 'At Kraft Heinz, our goal has always been to make high-quality, great-tasting food for all and to keep consumers at the forefront of all we do, enabling us to drive profitable long-term growth and value creation. Consistent with this goal, over the past several months, we have been evaluating potential strategic transactions to unlock shareholder value. As we look to the future, we will continue to inspire and delight consumers with our iconic brands, fulfilling our mission.' The recent development comes amid weakening demand for The Kraft Heinz Company (NASDAQ:KHC)'s snacks and ready-to-eat meals due to higher prices and an uncertain economic environment, which is forcing consumers to seek affordable options. There has also been a noticeable shift toward healthier foods and weight-loss drugs, resulting in waning demand for packaged meals. A closeup of an assembly line worker inspecting a newly produced jar of condiments and sauces. According to a report in October last year, several buyers, including Mexico's Sigma Alimentos and Brazilian meatpacker JBS, were eyeing The Kraft Heinz Company (NASDAQ:KHC)'s hot dogs and cold cuts business, Oscar Mayer. Sources told Reuters that the deal could fetch an estimated $3 billion if it goes through. On April 29, The Kraft Heinz Company (NASDAQ:KHC) slashed its full-year organic sales and profit guidance, citing a 'volatile' operating environment. However, analysts believe the cuts were not surprising given the economic and political uncertainty. While we acknowledge the potential of KHC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than KHC and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: ChatGPT Stock Advice: Top 12 Stock Recommendations and 10 Cheap Rising Stocks to Buy Right Now. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
07-05-2025
- Business
- Yahoo
Is The Kraft Heinz Company (KHC) the Best Food Stock to Buy Under $30?
We recently published a list of 12 Best Food Stocks to Buy Under $30. In this article, we are going to take a look at where The Kraft Heinz Company (NASDAQ:KHC) stands against other best food stocks to buy under $30. Consumer Defensive Sector: Trends and Outlook On April 25, Shana Sissel, Founder & CEO of Banrion Capital Mgmt, appeared on CNBC to talk about the struggles in the consumer staple sector and investor caution due to tariffs and 'Trump exhaustion.' She said the consumer defensive stocks are going on a downward trend, which makes sense to her, especially if you look at how the market's momentum flows. The concern about a recession and potential economic downturn might be too aggressive. She opined that she wouldn't take it as much of a point right now because even if we are going to see any economic slowdown from tariffs, one thing is certain: consumers do not tend to cut back on staples. The sector includes the types of companies and consumer goods that people cannot and will not live without. However, even in this sector, there are some unusual economic indicators that may reflect signs of an economic recession. This includes the snack indicator, where people tend to cut back on snacks in tough times instead of staple food items and other more essential nutrition types. While this is something to keep in mind about the sector, Sissel said that how the consumer staples are performing reflects the momentum swing we have seen in the market. The outlook is, of course, concerning, as it is necessary to look at how people are thinking about the market conditions and the effects of tariff impacts. JP Morgan also recently gave a market outlook amid tariffs, saying that the market is very bearish, especially in the macro community. It further said that: 'Most are disregarding the latest trade developments, partly due to 'Trump exhaustion.' We observe that many prefer to stay in cash and maintain lower leverage in their books.' Talking about this outlook, Sissel said that one of the triggers that one must look out for a potential change in sentiment is the fact that there is a contrarian sentiment, where we have seen a lot of investors buying the dip. A whole generation of investors has learned to buy the dip because, most of the time, the market recovers quickly. She also said that the Trump exhaustion appears to be very real, as continuous policy changes have created uncertainty in the market, especially regarding tariffs. While it looks like things are calming down, investors are going to be cautious about jumping in too quickly because of the continuous policy changes. She thus opined that we might see cash staying on the sideline a little bit longer, which meant that we have not seen enough change to indicate that any market gains we are seeing right now are sustainable.
Yahoo
01-05-2025
- Business
- Yahoo
The The Kraft Heinz Company (NASDAQ:KHC) First-Quarter Results Are Out And Analysts Have Published New Forecasts
Last week saw the newest quarterly earnings release from The Kraft Heinz Company (NASDAQ:KHC), an important milestone in the company's journey to build a stronger business. Results were roughly in line with estimates, with revenues of US$6.0b and statutory earnings per share of US$0.59. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. Following last week's earnings report, Kraft Heinz's 17 analysts are forecasting 2025 revenues to be US$25.1b, approximately in line with the last 12 months. Statutory earnings per share are predicted to ascend 17% to US$2.63. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$25.0b and earnings per share (EPS) of US$2.72 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts. View our latest analysis for Kraft Heinz It might be a surprise to learn that the consensus price target was broadly unchanged at US$31.72, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Kraft Heinz, with the most bullish analyst valuing it at US$56.91 and the most bearish at US$26.00 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business. One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 1.9% by the end of 2025. This indicates a significant reduction from annual growth of 0.4% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 2.1% per year. It's pretty clear that Kraft Heinz's revenues are expected to perform substantially worse than the wider industry. The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Kraft Heinz. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates. Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Kraft Heinz going out to 2027, and you can see them free on our platform here. And what about risks? Every company has them, and we've spotted 2 warning signs for Kraft Heinz you should know about. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
30-04-2025
- Business
- Yahoo
The Kraft Heinz Company (KHC): Among the Best Long-Term Dividend Stocks to Buy According to Billionaires
We recently published a list of the . In this article, we are going to take a look at where The Kraft Heinz Company (NASDAQ:KHC) stands against other best long-term dividend stocks. Dividend stocks are increasingly popular with both every day and billionaire investors. A CNBC report noted that for many, dividend stocks are always a solid choice, offering a steady income from corporate cash flow, which provides stability despite fluctuations in stock prices. With both the stock and bond markets experiencing significant volatility, these stocks are becoming even more attractive, serving as a balanced option between growth and yield for a broader range of investors. The long-term appeal of dividend-paying stocks remains robust, especially for investors aiming to reduce risk while still pursuing growth. Ramona Persaud, portfolio manager of the Fidelity Equity-Income Fund and Fidelity Global Equity Income Fund, typically prefers high-quality companies that offer reliable dividends and are attractively priced. She highlighted that declining interest rates can benefit dividend stocks, as their yields become more appealing compared to bonds. Additionally, Persaud mentioned that lower rates could help drive broader market gains, unlike the recent performance, which was mainly driven by a few large growth stocks. Her investment strategy focuses on companies with strong balance sheets, consistent cash flows, and significant return potential. She also stresses the importance of valuation—seeking stocks that are reasonably priced compared to their peers and historical averages—while targeting dividend yields that stand out in the current market. This blend of quality, value, and income, she believes, has contributed to the fund's strong performance in both rising and declining markets. Dividend stocks are gaining popularity once more in the current market, following two years of losses amid the dominance of high-performing tech stocks. The Dividend Aristocrat Index, which tracks the performance of companies with at least 25 consecutive years of dividend growth, is down by a little over 2% since the start of 2025, compared with a nearly 6% decline in the broader market. This trend indicates that dividends are gaining traction, with more companies introducing dividend policies and existing dividend payers gradually increasing their payouts to attract investors. An S&P Global report projects that 408 companies in the broader market will pay dividends in 2025. Of these, nearly 350 are expected to raise their dividends over the next year, contributing to an estimated 6% growth in total dividends compared to the previous year. In the overall US market, aggregate dividend growth is forecasted to be 4.6% in 2025. Since S&P companies account for about 85% of all US dividend payments, the S&P index serves as a reliable indicator of broader dividend trends. Dividend stocks are also a key component of many billionaire investors' portfolios. For instance, Warren Buffett has been earning billions annually from dividend stocks, setting a strong example for other investors, as his strategies are highly regarded. In fact, nearly 90% of the companies in his Q4 portfolio pay dividends, and many of them are also known for growing their dividends over time. A closeup of an assembly line worker inspecting a newly produced jar of condiments and sauces. To compile this list, we screened for dividend stocks that have strong financials and solid dividend policies. From that group, we picked 10 companies that were most popular among billionaire investors, as per Insider Monkey's billionaire database of Q4 2024. The stocks are ranked according to the number of billionaires having stakes in them. At Insider Monkey, we are obsessed with hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). Number of Billionaire Holders: 15 An American multinational food company, The Kraft Heinz Company (NASDAQ:KHC) offers a wide range of food and beverage products. The company reported mixed results for Q4 2024, with weak sales offset by improved profitability. Adjusted earnings per share were $0.84, exceeding expectations by $0.06, partly due to favorable tax effects and a reduction in shares outstanding. Revenue decreased by 5% year-over-year to $6.58 billion, falling short of the anticipated $6.66 billion, with continued softness in organic sales. In the crucial U.S. market, net sales dropped by 3.9%, as price hikes were not enough to compensate for lower sales volumes. Despite these challenges, The Kraft Heinz Company (NASDAQ:KHC) maintained a solid financial position throughout fiscal 2024. Free cash flow grew by 6% year-over-year, reaching $3.2 billion, and operating cash flow rose by 5.2%, totaling $4.2 billion. The company also returned $2.7 billion to shareholders through dividends and share buybacks. Its quarterly dividend comes in at $0.42 per share and has a dividend yield of 5.43%, as of April 27. Warren Buffett was the largest stakeholder in The Kraft Heinz Company (NASDAQ:KHC) at the end of Q4 2024. The hedge fund owned over 325 million shares in the company, worth over $10 billion. Overall, KHC ranks 9th on our list of the best long-term dividend stocks according to billionaires. While we acknowledge the potential of KHC as an investment, our conviction lies in the belief that some deeply undervalued dividend stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued dividend stock that is more promising than KHC but that trades at 10 times its earnings and grows its earnings at double digit rates annually, check out our report about the . READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at . Sign in to access your portfolio
