Kraft Heinz Co (KHC) Downgraded by Zacks Investment Research
Kraft Heinz Co (NASDAQ:KHC) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued on Tuesday.
According to Zacks, “Kraft Heinz is seeing top-line weakness over the past several quarters. Soft spending by U.S. shoppers and shift in consumer preference toward natural and organic ingredients over packaged and processed food are hurting the company’s categories. Unfavorable currency translation continued to be a dampener for the segment through 2016 and is likely to hurt results in 2017 as well. 2017 outlook comprises a 150 bps to 200 bps headwind to sales during first quarter given the Easter shift and some U.S. inventory drawdown.”
A number of other brokerages have also weighed in on KHC. Deutsche Bank AG started coverage on shares of Kraft Heinz in a research note on Wednesday, February 15th. They issued a “buy” rating and a $103.00 price target on the stock. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $100.00 price target on shares of Kraft Heinz in a research note on Thursday, February 16th. Vetr raised shares of Kraft Heinz from a “hold” rating to a “buy” rating and set a $95.36 price target on the stock in a research note on Wednesday, March 1st. BMO Capital Markets reaffirmed a “hold” rating and issued a $96.00 price target on shares of Kraft Heinz in a research note on Thursday, February 16th. Finally, Sanford C. Bernstein reaffirmed an “outperform” rating on shares of Kraft Heinz in a research note on Friday, March 3rd. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating, eight have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. Kraft Heinz presently has a consensus rating of “Buy” and an average price target of $98.20.
Kraft Heinz (NASDAQ:KHC) traded up 0.76% on Tuesday, reaching $92.28. 948,623 shares of the company were exchanged. The stock has a 50 day moving average of $91.41 and a 200 day moving average of $88.08. Kraft Heinz has a 12-month low of $76.64 and a 12-month high of $97.77. The firm has a market capitalization of $112.32 billion, a PE ratio of 32.84 and a beta of 0.42.
Kraft Heinz (NASDAQ:KHC) last announced its quarterly earnings results on Wednesday, February 15th. The company reported $0.91 earnings per share for the quarter, beating the Zacks’ consensus estimate of $0.87 by $0.04. Kraft Heinz had a net margin of 10.44% and a return on equity of 6.40%. The firm had revenue of $6.86 billion for the quarter, compared to analyst estimates of $6.73 billion. During the same quarter in the previous year, the firm posted $0.80 earnings per share. Equities analysts anticipate that Kraft Heinz will post $3.24 EPS for the current year.
Hedge funds have recently made changes to their positions in the company. State Street Corp raised its stake in shares of Kraft Heinz by 1.9% in the fourth quarter. State Street Corp now owns 23,899,054 shares of the company’s stock worth $2,086,864,000 after buying an additional 444,373 shares in the last quarter. BlackRock Institutional Trust Company N.A. raised its stake in shares of Kraft Heinz by 1.7% in the third quarter. BlackRock Institutional Trust Company N.A. now owns 15,339,909 shares of the company’s stock worth $1,373,075,000 after buying an additional 250,352 shares in the last quarter. Macquarie Group Ltd. raised its stake in shares of Kraft Heinz by 4.6% in the fourth quarter. Macquarie Group Ltd. now owns 8,735,219 shares of the company’s stock worth $762,759,000 after buying an additional 386,065 shares in the last quarter. Norges Bank acquired a new stake in shares of Kraft Heinz during the fourth quarter worth approximately $715,658,000. Finally, FMR LLC raised its stake in shares of Kraft Heinz by 8.6% in the fourth quarter. FMR LLC now owns 8,066,709 shares of the company’s stock worth $704,386,000 after buying an additional 635,550 shares in the last quarter. 61.47% of the stock is currently owned by institutional investors and hedge funds.
About Kraft Heinz
The Kraft Heinz Company is a food and beverage company. The Company is engaged in the manufacturing and marketing of food and beverage products, including condiments and sauces, cheese and dairy, meals, meats, refreshment beverages, coffee and other grocery products. The Company’s segments include the United States, Canada and Europe.
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