Kraft Heinz (KHC) Stock Moves -0.08%: What You Should Know
Kraft Heinz (KHC) closed the most recent trading day at $38.11, moving -0.08% from the previous trading session. This change was narrower than the S&P 500's 0.7% loss on the day. At the same time, the Dow lost 0.87%, and the tech-heavy Nasdaq gained 2.77%.
Coming into today, shares of the maker of Oscar Mayer meats, Jell-O pudding and Velveeta cheese had lost 4.36% in the past month. In that same time, the Consumer Staples sector lost 1.52%, while the S&P 500 lost 5.06%.
Wall Street will be looking for positivity from Kraft Heinz as it approaches its next earnings report date. In that report, analysts expect Kraft Heinz to post earnings of $0.60 per share. This would mark no growth from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.42 billion, up 6.18% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.72 per share and revenue of $27.13 billion. These totals would mark changes of -2.16% and +2.42%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Kraft Heinz. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 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. The Zacks Consensus EPS estimate has moved 1.33% lower within the past month. Kraft Heinz currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Kraft Heinz has a Forward P/E ratio of 14.05 right now. For comparison, its industry has an average Forward P/E of 18.09, which means Kraft Heinz is trading at a discount to the group.
We can also see that KHC currently has a PEG ratio of 3.45. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Food - Miscellaneous stocks are, on average, holding a PEG ratio of 2.62 based on yesterday's closing prices.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 106, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Kraft Heinz Company (KHC) : Free Stock Analysis Report
