Last Updated: 19 Sep 2024
Executive Summary
Kraft Heinz Co. (KHC) is a leading food and beverage company with a market capitalization of $42.49 billion. The company has a strong financial position with an EBITDA of $6.49 billion and a profit margin of 7.3%. KHC's stock is currently trading at $35.14, near the middle of its 52-week range. Analysts are generally positive on the stock, with a consensus target price of $37.83.
Company Overview
Kraft Heinz is a global food and beverage company with a portfolio of iconic brands, including Kraft, Heinz, Oscar Mayer, and Jell-O. The company has operations in over 200 countries and employs approximately 36,000 people. Kraft Heinz is headquartered in Chicago, Illinois, and Pittsburgh, Pennsylvania.
Fundamental Analysis
Kraft Heinz's financial performance has been mixed in recent years. The company has faced challenges from rising input costs, increased competition, and changing consumer preferences. However, the company has taken steps to improve its operations, including cost-cutting initiatives and new product launches.
In the most recent quarter, Kraft Heinz reported revenue of $26.32 billion, a decrease of 0.036% year-over-year. The company's diluted EPS was $1.56, a decrease of 0.901% year-over-year.
Kraft Heinz has a strong balance sheet with $12.3 billion in cash and equivalents and $28.6 billion in total debt. The company's debt-to-equity ratio is 1.2x, which is in line with the industry average.
Technical Analysis
Kraft Heinz's stock price has been trading in a range between $29.30 and $38.07 over the past 52 weeks. The stock is currently trading near the middle of this range.
The stock's 50-day moving average is $34.62, and its 200-day moving average is $35.57. The stock is currently trading above both of these moving averages, which is a bullish sign.
The stock's relative strength index (RSI) is 52.4, which is in the neutral range. The RSI is a momentum indicator that measures the magnitude of recent price changes. A reading above 70 is considered overbought, while a reading below 30 is considered oversold.
Short Term Outlook
Kraft Heinz's stock price is likely to continue to trade in a range in the short term. The stock is facing resistance at $38.07 and support at $29.30. A breakout above $38.07 could lead to a rally to $40.00 or higher. A breakdown below $29.30 could lead to a decline to $25.00 or lower.
Long Term Outlook
Kraft Heinz is a well-established company with a strong portfolio of brands. The company is facing challenges in the short term, but it is taking steps to improve its operations. Over the long term, Kraft Heinz is expected to continue to be a leader in the food and beverage industry.
Analyst Recommendations
Analysts are generally positive on Kraft Heinz's stock. The consensus target price is $37.83, which represents a potential upside of 7.7% from the current price.
Of the 23 analysts covering the stock, 4 have a strong buy rating, 8 have a buy rating, 10 have a hold rating, 1 has a sell rating, and 0 have a strong sell rating.
