Don't Buy Kraft Heinz (KHC) Before Checking Its Fundamentals!

Kraft Heinz moved -0.6% this afternoon session, trading between a high of $33.7826 and a low of $33.225 per share. Yesterday the stock finished at $33.51 per share, compared to an average analyst target price of $36.45.

The Kraft Heinz Company, together with its subsidiaries, manufactures and markets food and beverage products in the United States, Canada, the United Kingdom, and internationally. The large-cap packaged foods company is based in the United States, and over the last twelve months it has returned a dividend yield of 4.8%. Kraft Heinz has trailing twelve months earnings per share (EPS) of 2.42, which at today's prices amounts to a price to earnings (P/E) ratio of 13.8.

Based on its expected future earnings growth, the company has a price to earnings growth (PEG) ratio of 2.35. Usually a PEG ratio between 0 and 1 indicates a potentially undervalued company.

Overview of the Company's Gross Margins:

Date Reported Revenue ($ k) Cost of Revenue ($ k) Gross Margins (%)
2023 27,096,000 18,515,000 32
2022 26,485,000 18,363,000 31
2021 26,042,000 17,360,000 33
2020 26,185,000 17,008,000 35
2019 24,977,000 16,830,000 33
2018 26,268,000 17,347,000 34


The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.