In the latest close session, Kraft Heinz (KHC) was up +1.7% at $27.58. The stock exceeded the S&P 500, which registered a gain of 0.32% for the day. On the other hand, the Dow registered a gain of 0.53%, and the technology-centric Nasdaq increased by 0.26%.
The stock of processed food company with dual headquarters in Pittsburgh and Chicago has risen by 5.32% in the past month, leading the Consumer Staples sector's loss of 2.09% and the S&P 500's gain of 4.51%.
Investors will be eagerly watching for the performance of Kraft Heinz in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on July 30, 2025. The company's upcoming EPS is projected at $0.64, signifying a 17.95% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $6.26 billion, indicating a 3.36% decrease compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.57 per share and a revenue of $24.97 billion, indicating changes of -16.01% and -3.38%, respectively, from the former year.
Any recent changes to analyst estimates for Kraft Heinz should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.12% lower. At present, Kraft Heinz boasts a Zacks Rank of #4 (Sell).
In terms of valuation, Kraft Heinz is presently being traded at a Forward P/E ratio of 10.56. This denotes a discount relative to the industry average Forward P/E of 15.81.
It's also important to note that KHC currently trades at a PEG ratio of 3.18. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Food - Miscellaneous was holding an average PEG ratio of 1.66 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 175, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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 Company (KHC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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