KHCB34.SA - The Kraft Heinz Company

Sao Paolo - Sao Paolo Delayed Price. Currency in BRL
-7.22 (-5.98%)
At close: 4:37PM BRT
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Previous Close120.70
Bid112.60 x 0
Ask0.00 x 0
Day's Range0.00 - 0.00
52 Week Range
Avg. Volume681
Market Cap129.25B
Beta (5Y Monthly)1.04
PE Ratio (TTM)71.82
EPS (TTM)1.58
Earnings DateN/A
Forward Dividend & Yield6.52 (5.40%)
Ex-Dividend DateNov 13, 2019
1y Target EstN/A
  • Gundlach’s Credit Trade Suggests the Coronavirus Rout Is Real

    Gundlach’s Credit Trade Suggests the Coronavirus Rout Is Real

    (Bloomberg Opinion) -- For better or worse, the latest developments from the coronavirus outbreak have focused a lot of investor attention on the U.S. stock market. That makes sense, given that the S&P 500 Index set a record high just a week ago but then fell more than 2.5% in consecutive sessions for the first time since 2015; President Donald Trump and aide Larry Kudlow are suggesting that investors buy the dip.The $16.7 trillion U.S. Treasuries market doesn’t offer much guidance on whether the swift risk-off reaction is justified. As I wrote earlier this week, no record is safe in the world’s biggest bond market with so much uncertainty about how the coronavirus will dent the global economy. But just as important, Treasuries have been rallying for more than a year, even as equities soared, in no small part because of longer-term concerns about global growth, inflation and the limitations of developed-market monetary policy near the lower bound of interest rates. It shouldn’t be all that shocking that the benchmark 10-year yield touched 1.31% on Tuesday, a new low.What, then, can investors use to gauge risk tolerance in markets? I’d suggest corporate bonds, which offer some clues that there’s more pain ahead.Just like stocks, the credit markets reached unprecedented levels toward the end of 2019. On Dec. 18, the difference between double-B and triple-B corporate bond yields fell to just 38 basis points, the smallest on record. That meant investors were hardly differentiating between securities rated below investment-grade — otherwise known as junk — and those that still maintained investment-grade quality. I asked at the time: What does a junk bond even mean anymore?I wasn’t the only one shaking my head at that spread. Jeffrey Gundlach, DoubleLine Capital’s chief investment officer, highlighted the phenomenon during his annual “Just Markets” webcast last month, calling double-B corporate debt “one of the worst investments in the bond market.” “I think you’re much better off owning triple-B — I don’t even like triple-B — but I don’t like double-B corporate bonds,” he said on Jan. 7. Just to hammer home the point, he added: “Stay away from double-B corporates is my message.”Any trader who heeded that advice has won big in the past several weeks. The spread between double-B and triple-B bonds is now 127 basis points, the widest in more than six months. It jumped 19 basis points on Tuesday, 22 basis points on Monday and 21 basis points on Jan. 27, three days dominated by investor angst over the spread of the coronavirus. The only other comparable moves in the past year came in August, when U.S. recession fears peaked.Gundlach called the widening since December “a big crack in risk asset confidence” in a Twitter post on Monday.Charts with a left and right Y-axis are often imperfect, but comparing that yield spread to the S&P 500 since the end of 2017 shows a tight fit, especially during bouts of risk-aversion like the final months of 2018 and in August 2019. Corporate bonds retreated from their extremes at a much sharper pace than U.S. equities this time around, which isn’t entirely out of the ordinary but supports the idea that the steep drop in stocks wasn’t just a short-term blip.Now, as I’ve noted before, some technical factors are at play in corporate-bond indexes. For example, part of the reason the yield spread between double-B and triple-B bonds narrowed so much in 2019 was because triple-B duration rose while double-B duration dropped by the most on record. The duration of the double-B index spiked higher earlier this month, which, all else equal, would tend to widen the spread, though it didn’t appear to do so.Also of note: Debt from Kraft Heinz Co., EQM Midstream Partners LP and EQT Corp. remains in the triple-B index for now, even though the ratings of all three companies were cut to junk recently. Again, in theory, bonds from “fallen angels” would have higher yields than before the downgrades, which would narrow the spread between double-Bs and triple-Bs. All told, it’s probably safe to conclude that these factors are small enough and slow-moving enough that they don’t alter short-term spread movements very much.As of Feb. 24, the option-adjusted spread on double-B bonds has jumped to 2.62 percentage points from 1.82 percentage points to start the year, while the spread on triple-Bs is up to 1.35 percentage points from 1.2 percentage points. For some context, those spreads reached 3.65 percentage points and 1.68 percentage points, respectively, during the height of the December 2018 market squeeze. That suggests the high-yield market in particular could be in store for further pain if sentiment doesn’t turn around soon.As for the U.S. investment-grade market, companies aren’t taking any chances with new deals, even with Treasury yields setting record lows. Bloomberg News’s Michael Gambale reported that at least four issuers stood down on Tuesday, marking the first two-day break to start a week since July 1 and July 2.(1)That’s hardly a vote of confidence from the C-suite on the state of the financial markets.The follow-through from stocks to credit is worth watching in the coming days and weeks. As much as traders like to quip that the Federal Reserve is most concerned about the S&P 500, or as much as they use Treasury yields to estimate how many interest-rate cuts are “priced in” for the year, ultimately a lack of market access for companies that need it is a truly perilous situation.Recall that December 2018 marked the first month in 10 years with no speculative-grade bond sales. The Fed quickly pivoted in January 2019 — but what if looser monetary policy isn’t as effective this time around? Lower short-term interest rates mean relatively little in comparison to the Centers for Disease Control and Prevention telling Americans to prepare for significant disruptions of daily life if the coronavirus outbreak begins to spread locally in the U.S., deeming it “not a matter of if, but a question of when, this will exactly happen.”Without a drastic shift in what’s known about the coronavirus, corporate-bond buyers may need to take a similar approach. It no longer seems a matter of if, but of when, spreads widen further in the riskiest corners of the debt markets.(1) He excluded the December holidays and the typical two-week summer hiatus in late August in this analysis.To contact the author of this story: Brian Chappatta at bchappatta1@bloomberg.netTo contact the editor responsible for this story: Daniel Niemi at dniemi1@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Brian Chappatta is a Bloomberg Opinion columnist covering debt markets. He previously covered bonds for Bloomberg News. He is also a CFA charterholder.For more articles like this, please visit us at now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Warren Buffett Flashes ‘Urgent’

    Warren Buffett Flashes ‘Urgent’

    (Bloomberg Opinion) -- Warren Buffett says he’s in the “urgent zone.” It’s the folksy billionaire’s way of calling himself old. But even as Buffett approaches 90, the spotlight-loving chairman and CEO of Berkshire Hathaway Inc. isn’t ready just yet to talk about who will run his giant company when he’s gone. He still has more to say, and more to do — and that could make for an interesting year ahead.Buffett’s annual letter of intrigue arrived Saturday morning, a roundup of thoughts that the Oracle of Omaha has been publishing for six decades. It’s evolved over time into what reads like a love letter to shareholders, to insurance float — the lucrative gift that keeps on giving at Berkshire — and to America as a whole, while taking the occasional jab at Wall Street’s fee-giddy bankers and anyone who thinks Ebitda is an honest profit gauge. Lately, he’s also lamented the lack of cheap takeover targets. The company’s last splashy acquisition was in 2015, when it struck a $37 billion deal for airplane-parts supplier Precision Castparts. Berkshire had $128 billion of cash as of December, about the same level as the previous quarter and many billions more than Buffett would like to see sitting in a bank. The letter, one of two major yearly events for Berkshire investors and Buffett groupies (the other is the shareholder meeting each May) has become more condensed in recent years. But more important to readers is what’s written between the lines — hints of a major deal and signs that the world’s most celebrated businessman is about to step aside. I suspect the former will come before the latter, though not even Buffett can truly know.As mentioned, Buffett will turn 90 this summer, and his right-hand man Charlie Munger is 96. His letter contained an anecdote about a friend from his past who, at the relatively ripe age of 80-something, kept receiving requests from a local newspaper for biographical data so that it could prep the man’s obituary. The request was marked “URGENT.” “Charlie and I long ago entered the urgent zone,” Buffett wrote, assuring shareholders that their company is “100% prepared” for the sad day of their departure and even sharing some details about his will. In my decade covering Berkshire, it’s the most I can remember Buffett discussing what will happen when he’s gone.Over 12 to 15 years after his death, Buffett’s class A shares will be converted into B shares and distributed to various charities; the executors and trustees are otherwise instructed not to sell any Berkshire stock, no matter what. That’s putting a lot of faith in the next CEO, whoever it is. Buffett’s still keeping hush about his succession plans. But in a first this year, he said that shareholders can direct questions directly to his lieutenants, Greg Abel and Ajit Jain, at the May investor meeting. It’s something I suggested Berkshire should start doing at last year’s meeting, and indeed Buffett did hand Abel the mic in a rather symbolic, if impromptu, moment during the Q&A session. Not long ago, Abel’s title was expanded from head of Berkshire Hathaway Energy to vice chairman of all the company’s various operations — except for insurance, which is overseen by Jain. Notably, this year’s letter signaled a desire to invest more of the energy division’s retained earnings to take on large utility projects. He said Berkshire’s operations in the Omaha-based company’s neighboring state of Iowa will be wind self-sufficient by next year thanks to investments in wind turbines, which have helped to keep rates lower than the competition as profits soar. Berkshire Hathaway Energy and BNSF — the railroad Berkshire bought in 2009 — together earned $8.3 billion last year, making them two of the biggest contributors to profit. Abel’s rising profile, along with the emphasis on energy, leads me to wonder whether he’s not only being groomed to take over for Buffett, but also whether Abel could soon make his own M&A splash. Separately, Todd Combs, who manages some of Berkshire's stock-market portfolio, was recently tapped to be CEO of its Geico insurance business. Despite his dual-function sparking succession curiosity, he didn't get a shout-out in the letter.Buffett’s letter always includes a rant on the topics du jour, and this year’s was corporate governance. He penned a section on the “vexing problem” of subservient corporate boards made up of overpaid aging directors, especially those who don’t tap into their own savings to buy shares in the companies they serve. Of course, Berkshire is guilty of some of that. The average age of its board is 74 (including three nonagenarians). Buffett’s celebrity and track record has also allowed him to skirt many of the corporate governance customs expected of other CEOs, such as quarterly earnings calls, more detailed filings and returning cash to shareholders. His successor may not be given so much leeway, especially not with $128 billion sitting around. Reading that finger-wagging section, it was hard not to think of Boeing Co. and General Electric Co. — one company that was once seen as Buffett-investment quality, and another that in many ways tried to be like Berkshire. The downfall of each has been a devastating display of what can happen when leadership isn’t held to account, and I imagine that’s the sort of thing Buffett had in mind when he was writing. Then again, his investment in Kraft Heinz Co. is almost the pot calling the kettle black. Kraft Heinz juiced Ebitda by irresponsibly under-investing in its business — which goes completely against the Buffett way — and all the while it happened under Buffett’s nose. Berkshire is the largest shareholder, and while the Kraft Heinz holding is carried at $13.8 billion on its balance sheet, it had a market value of only $10.5 billion as of Dec. 31 (and is worth even less than that now).Buffett only reveals what he wants to, and it’s clear that succession is on his mind, as is his unending hunger for deals. Is it urgent enough for him to strike soon? To contact the author of this story: Tara Lachapelle at tlachapelle@bloomberg.netTo contact the editor responsible for this story: Beth Williams at bewilliams@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Tara Lachapelle is a Bloomberg Opinion columnist covering the business of entertainment and telecommunications, as well as broader deals. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Business Wire

    For the First Time Ever, PLANTERS Launches New Cheez Balls Flavors, Including Blazin’ Hot

    For the first time ever, PLANTERS is launching all new flavors of everyone’s favorite 90s treat, Cheez Balls!

  • PepsiCo CFO: Coronavirus has little impact on sales
    Yahoo Finance

    PepsiCo CFO: Coronavirus has little impact on sales

    PepsiCo CFO Hugh Johnston discusses with Yahoo Finance how the coronavirus has impacted results in China for the beverage and snacks giant.

  • Kraft Heinz beats earnings expectations amid big turnaround push
    Yahoo Finance

    Kraft Heinz beats earnings expectations amid big turnaround push

    Kraft Heinz reported earnings that beat Wall Street expectations, while revenue fell short during its fourth quarter.

  • Kraft Heinz’s Misery Isn’t Over Yet

    Kraft Heinz’s Misery Isn’t Over Yet

    (Bloomberg Opinion) -- It’s never good when a CEO has to kick off his company’s year-end earnings report, as Kraft Heinz Co.’s did Thursday morning, by saying: “While our 2019 results were disappointing ...” Disappointing is putting it mildly, though. Try miserable.To recap: It was one year ago this month that the packaged-food manufacturer suffered a $15.4 billion writedown because of damage — largely self-inflicted — to the value of two of its biggest brand names, Kraft and Oscar Mayer. A slash to shareholders’ dividends and the oh-by-the-way mention of a Securities and Exchange Commission inquiry into some accounting practices added to Kraft Heinz’s troubles. The stock, adored by Warren Buffett, its top shareholder, has been down 38% ever since. Right up until then, this was the company that most analysts promoted to their clients and every food giant wanted to emulate — a lean, profit-margin machine operated by a bunch of private equity guys that just so happens to sell food.Kraft Heinz’s sales continued to slide in the final three months of 2019 to $6.54 billion, a 2.2% drop when excluding the effect of business divestitures. On most metrics, Thursday’s results beat the average of analysts’ estimates, and CEO Miguel Patricio said he expects to make “significant progress” this year in the company’s ongoing turnaround. But there’s been little evidence of improvement yet, and he’s nearly eight months into the job, after taking over from Bernardo Hees, one of the aforementioned private equity partners from 3G Capital. (That’s the shop that merged Kraft Foods and H.J. Heinz condiments in 2015 with the financial backing of Buffett’s Berkshire Hathaway Inc.) In a recent interview with my Bloomberg News colleagues, Patricio talked about spending more on the company’s biggest moneymakers, such as Philadelphia cream cheese and Heinz ketchup, but not by increasing the budget — this is still a 3G company, after all. Instead, he’ll be shifting around resources to prioritize the most promising products and brands, as cheese, coffee and cold cuts continue to be the problem areas. In the latest quarter, Kraft wrote down the carrying value of its Maxwell House trademark by $213 million, part of an overall $666 million impairment charge that was primarily driven by its international businesses.Of course, Kraft Heinz isn’t the only consumer-products company that’s been thrown for a loop by shoppers’ changing appetites. The move toward less-processed, healthier-sounding foods and the villainization of sugar and carbohydrates has weighed on every household name in the industry. Some have been dealing with it by acquiring the fast-growing upstart brands that have been encroaching on their supermarket shelf space. PepsiCo Inc. has done a version of what Kraft Heinz is attempting by making a big push for chips like Doritos that are holding up even as more seemingly wholesome snacks gain popularity. The soda giant reported sales and earnings that beat expectations on Thursday, with operating profit rising 3% in its Frito-Lay North America chips division; beverage sales managed to climb, too.A new CEO walking into Kraft Heinz’s mess deserves time to get a handle on things. But now it’s time to lay out a concrete strategy that shows Kraft Heinz understands the root cause of its problems, that the entire 3G ethos had the company under-investing in its products at exactly the time it needed to be doing the exact opposite. Patricio says to stay tuned for May, when he’ll unveil such a plan. Investors can’t possibly feel optimistic until they see it. To contact the author of this story: Tara Lachapelle at tlachapelle@bloomberg.netTo contact the editor responsible for this story: Beth Williams at bewilliams@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Tara Lachapelle is a Bloomberg Opinion columnist covering the business of entertainment and telecommunications, as well as broader deals. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Business Wire

    The Kraft Heinz Company Declares Regular Quarterly Dividend of $0.40 Per Share

    The Board of Directors of The Kraft Heinz Company (Nasdaq: KHC) today unanimously declared a regular quarterly dividend of $0.40 per share of common stock payable on March 27, 2020, to stockholders of record as of March 13, 2020.

  • Business Wire

    Kraft Heinz Reports Fourth Quarter and Full Year 2019 Results

    The Kraft Heinz Company (Nasdaq: KHC) ("Kraft Heinz" or the "Company") today reported fourth quarter and full year 2019 financial results.

  • Inflation data, earnings: What to know in markets Thursday
    Yahoo Finance

    Inflation data, earnings: What to know in markets Thursday

    Inflation data and a slew of earnings announcements will be in focus Thursday.

  • Business Wire

    Kraft Launches Big Bowls of Mac & Cheese Ahead of Valentine’s Day, so Parents Can Get Kids Fed, Get Them to Bed and Get It On

    Valentine’s Day should be the most romantic holiday of the year, but some parents admit that kids put a wedge in candlelit dinners and alone time. In fact, 86% of parents want to get intimate with their partner this Valentine’s Day but claim children will prevent 1 out of 4 of them from actually getting it on*. That’s why Kraft Macaroni & Cheese is giving parents a chance to win new Big Bowls before they hit stores nationwide.

  • How Hyundai won the Super Bowl ad war: Media exec
    Yahoo Finance

    How Hyundai won the Super Bowl ad war: Media exec

    The Kansas City Chiefs won the Super Bowl — but Hyundai won the night, according to this media exec.

  • Tea Time Rings at Unilever

    Tea Time Rings at Unilever

    (Bloomberg Opinion) -- Alan Jope’s efforts to instill purpose into the British heritage tea brand, PG Tips, have been all about bringing people together over a nice cup of tea. Now Unilever NV’s chief executive officer wants to cleave the tired tea business apart from the rest of the consumer giant.He’s conducting a strategic review of the division, which also includes the Lipton and Pure Leaf lines, that could lead to a sale or partnership, and possibly even herald a broader exit from the group’s sluggish food business. Facing the slowest quarterly growth in a decade, even before any impact from the deadly coronavirus, Jope must improve performance at the company whose businesses range from Dove soap to Ben & Jerry’s ice cream.Tackling tea, where demand has shifted away from the traditional black beverage to flavorful herbal options, is a good start. The unit, including its operations in emerging markets, generates annual sales of about 3 billion euros ($3.3 billion). Martin Deboo, an analyst at Jefferies, estimates it could be worth about 6 billion euros, assuming a multiple of two times sales.Jope, a long-time Unilever veteran, should have scrutinized Unilever’s portfolio earlier in his tenure that began just over a year ago. But now that he’s finally grasped the nettle, he should go further. His predecessor Paul Polman sold the margarine and spreads arm in the wake of the $143 billion approach from Kraft Heinz Co. three years ago. But since then meaningful disposals in the division have stalledThe food and refreshments unit as a whole generates about 20 billion euros a year of sales, and could have an enterprise value of about 60 billion euros, according to Deboo. Selling it off would leave Unilever concentrated on the household and personal care businesses, which Jope previously oversaw, potentially lifting the company’s growth rate, and its valuation.But such a chunky disposal would require a buyer with a big appetite. Kraft Heinz, already highly leveraged, would struggle. Private equity firms may be interested, but it would still be a large transaction, likely requiring more than one player to join forces.So a more piecemeal approach looks sensible. Other disposal candidates beyond tea are dressings, with annual sales of of about 3 billion euros; savory sauces, stocks and food, including Pot Noodle, with revenue of 6 billion euros; and ice cream, which generates about 7 billion euros of sales. While still sizable deals, they are not impossible for a buy-out group to digest. As my colleague Chris Hughes and I have argued, food businesses may be expanding more slowly, but their stable cash flows can support borrowings, and there is scope to lift margins.Unilever shares, which rose as much as 2% in London on Thursday, are still above their level at the time of Kraft Heinz’s bid in February 2017. But they are at a significant discount to rival Nestle SA. Its CEO, Mark Schneider, is already doing many of the things that Jope should, selling off underperformers for good prices and recycling the proceeds into focused acquisitions.As I have long argued, Kraft Heinz isn’t in a position to come back. But an activist investor might be tempted to weigh in. At current valuations, the prospect of a breakup may be more appealing to a hedge fund than even a double cherry Magnum. So it would be good for Jope to share a brew with some willing private equity buyers. Otherwise he might find it’s an aggressive investor he’s bringing closer. That would make for a far less cosy cuppa.To contact the author of this story: Andrea Felsted at afelsted@bloomberg.netTo contact the editor responsible for this story: Melissa Pozsgay at mpozsgay@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Business Wire

    HEINZ Reminds Us It Will Always Be There To Add Some Goodness By Airing Four Spots At Once In The Big Game

    Today HEINZ revealed its full commercial for the big game, directed by Roman Coppola, which will bring to life four ads at once in a four-quadrant split-screen format. With so much happening in just 30 seconds, HEINZ guarantees fans will want to watch the ad again and again and again. The ad will run during the second quarter, fourth commercial break of the big game on FOX.

  • Business Wire

    The Kraft Heinz Company to Report Fourth Quarter and Full Year 2019 Results on February 13, 2020

    The Kraft Heinz Company (Nasdaq:KHC) ("Kraft Heinz") will release its fourth quarter and full year 2019 financial results on Thursday, Feb. 13, 2020, before the market opens. Kraft Heinz will host a conference call at 8:30 a.m. Eastern Standard Time that day to review and discuss the results, followed by a question-and-answer session with analysts.

  • Business Wire

    HEINZ to Air Four Ads at Once During the Big Game

    Today HEINZ confirmed they will bring to life four ads at once for the big game. With so much happening in just thirty seconds, HEINZ guarantees fans will want to watch the ad multiple times to spot all the ‘goodness’ packed into one spot.

  • Business Wire

    MR. PEANUT Passes Away at 104 Years Old, Sacrificing Himself to Save Friends Matt Walsh and Wesley Snipes in New Super Bowl Pre-Game Ad

    Today, PLANTERS, one of America’s biggest snacking brands, revealed its Super Bowl pre-game ad showing just how far MR. PEANUT will go to save his friends Matt Walsh and Wesley Snipes from impending doom.

  • Business Wire

    HEINZ Offers Football Fans 57-Cent Change Fees for Miami-Bound Flights

    With less than five days until the final four teams in the playoffs seal their fate, dedicated football fans are throwing caution and superstition to the wind by booking their flights to Miami with hopes of cheering their team to victory on football’s biggest stage. By Sunday night, fans whose team doesn’t make it all the way will be left with both a team out of the running and an added cost to change their flight, which only adds insult to injury. To reassure fans that even in the bleakest moments not all hope is lost, HEINZ is offering football fans a chance to win 57-cent change fees for Miami-bound flights.

  • Business Wire

    MR. PEANUT Returns to the Super Bowl in a New Nutty Adventure With Matt Walsh

    PLANTERS, America’s 1 nut brand, is returning to the Super Bowl with a story that will show fans just how far MR. PEANUT will go to have his friends’ backs.

  • Business Wire

    Kraft Heinz Names Carlos Abrams-Rivera As New U.S. Zone President

    As The Kraft Heinz Company (Nasdaq: KHC) continues to rebuild its business momentum with a focus on driving business growth through consumer-first marketing, innovation and people development, CEO Miguel Patricio today announced that Carlos Abrams-Rivera will join his Senior Leadership Team as the new U.S. Zone President. Effective Feb. 3, 2020, Abrams-Rivera will lead all U.S. business operations, the company’s largest business.

  • Business Wire

    Here’s Your Chance to Become the Next Oscar Mayer Wienermobile Driver

    It’s a new decade, which means time for change! If you are a recent college grad on the hunt for a new job, here’s a career you can truly relish. Oscar Mayer announced that submissions are now open for the 2020 class of Hotdoggers. Have you dreamt of seeing the country through the windshield of a 27-foot hot dog on wheels? Here’s your chance!

  • Business Wire

    Kraft Hockeyville™ USA Is Looking for the Most-Spirited Hockey Communities in America

    Kraft Hockeyville™ USA is back again this year to find America’s most-spirited hockey community. Together with the National Hockey League (NHL) and the National Hockey League Players’ Association (NHLPA), Kraft Heinz is looking to crown one hockey community in America with the Kraft Hockeyville™ USA 2020 title, award $150,000 in rink upgrades along with $10,000 worth of hockey equipment through the NHLPA Goals & Dreams program, and provide the chance to host an NHL® Pre-Season Game in their community rink.

  • The Kraft Heinz Company (KHC) vs. Top 20 Hedge Fund Stocks in 2019
    Insider Monkey

    The Kraft Heinz Company (KHC) vs. Top 20 Hedge Fund Stocks in 2019

    Out of thousands of stocks that are currently traded on the market, it is difficult to identify those that will really generate strong returns. Hedge funds and institutional investors spend millions of dollars on analysts with MBAs and PhDs, who are industry experts and well connected to other industry and media insiders on top of that. Individual investors can piggyback […]

  • Unilever Might Be Better Off Out of the Food Business

    Unilever Might Be Better Off Out of the Food Business

    (Bloomberg Opinion) -- Unilever NV has made a great deal of “instilling purpose” into its products, trying to flag up the social and environmental credentials of things from Dove shower gel to Magnum ice cream to appeal to millennial consumers. It doesn’t seem to be doing much for its sales.The Anglo-Dutch company surprised the stock market on Tuesday, warning that revenue growth this year would be below its 3% to 5% range. And it won’t bounce back quickly. Unilever forecasts sales increases will be in the lower half of its target range in 2020, with most progress coming in the second half.The company said it was suffering from an economic slowdown in south Asia, particularly India, Pakistan and Bangladesh, and difficult trading conditions in west Africa. Meanwhile, its big-selling north American products such as ice cream and hair care are still recovering from a sluggish period, while competition is fierce in parts of Europe.Yet Unilever must take some of the blame for its own predicament. Its rival Nestle SA has managed steady sales growth, while pulling off some canny acquisitions and disposals.After a failed takeover approach from Kraft Heinz Co. back in 2017, Unilever set the goal of lifting its operating margin from 16% to 20% by 2020. Alan Jope, the chief executive officer, could have ditched this target when he took the reins at the start of this year to give himself more firepower to invest. But it seems he’s sticking with it: The company said on Tuesday that the goal wouldn’t be affected by the sales slowdown. While Unilever insists it’s spending enough on research and development and marketing, Jope may have to back his biggest brands with more funds to make sure they’re competitive. That would have to come at the expense of margins. He also needs to decide in which categories Unilever wants to compete, and reshape its sprawling portfolio accordingly. It’s admirable that the company generates close to 60% of its sales in emerging markets, and operates in popular areas such as beauty and personal care. Unfortunately, it is also over-exposed to more sluggish food ranges such as tea and dressings.Jope could do worse than learn from Nestle’s CEO Mark Schneider. The latter has been quick to prune unwanted categories, recently selling its U.S. ice cream business to a joint venture between itself and private equity. Nestle has also been buying in its preferred product areas, such as coffee.Unilever, meanwhile, has been less bold, undertaking a plethora of small acquisitions — from fake meat to fancy laundry products. The group generated only about 0.5 percentage points of growth from its acquisitions and disposals in the first half of the financial year; Jope says he’ll slow the pace of bolt-on deals and step up disposals.If he doesn’t hurry, someone else might attempt to do some portfolio tidying for him. Kraft Heinz isn’t in a position to make another approach. But an activist investor may be tempted. Selling Unilever’s foods and refreshments business for cash is a possibility, although a demerger might be complicated by Unilever’s dual British and Dutch structure.The food unit could have an enterprise value of 55 billion euros ($61 billion), according to UBS analysts. So offloading it would generate proceeds to invest in higher growth products, while allowing the return of cash to investors. On a price-to-earnings basis, Nestle’s premium over Unilever is widening. An aggressive investor may spot a corporate purpose of their own.To contact the author of this story: Andrea Felsted at afelsted@bloomberg.netTo contact the editor responsible for this story: James Boxell at jboxell@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at©2019 Bloomberg L.P.

  • Deutsche Bank resumes coverage of 13 food companies
    Yahoo Finance

    Deutsche Bank resumes coverage of 13 food companies

    Deutsche Bank sees opportunity for food companies in 2020. The firm announced Dec. 11 that it would be resuming coverage across 13 large-cap food companies.