Kraft Heinz Co (KHC)
NASDAQ:KHC
Top Page
Kraft Heinz
(NASDAQ:KHC)
Select Model
Select Model
Rating:54Neutral
Price Target:
$22.00
▼(-4.14% Downside)
Action:ReiteratedDate:02/12/26
The score is held back primarily by severe 2025 financial deterioration (losses and revenue breakdown), partially offset by strong cash generation and a still-reasonable balance-sheet backdrop. Technicals are modestly constructive short-term, valuation benefits from a high dividend yield but is impaired by a negative P/E, and the earnings call adds cautious support due to a defined reinvestment plan tempered by execution and SNAP headwinds.
Positive Factors
Free Cash Flow Strength
Consistently strong operating and free cash flow provides durable internal funding for the $600M reinvestment, debt reduction and dividend support. Reliable cash generation cushions the business against earnings volatility and underpins medium-term strategic options without immediate capital raises.
Negative Factors
Profitability Collapse (2025)
A sharp, sustained swing to large losses and negative EBITDA materially weakens earnings power and can erode balance-sheet cushions if persistent. This structural hit raises the risk that margins, credit metrics and reinvestment capacity will be constrained until profitable growth resumes.
Read all positive and negative factors
Positive Factors
Negative Factors
Free Cash Flow Strength
Consistently strong operating and free cash flow provides durable internal funding for the $600M reinvestment, debt reduction and dividend support. Reliable cash generation cushions the business against earnings volatility and underpins medium-term strategic options without immediate capital raises.
Read all positive factors
Kraft Heinz (KHC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$27.44B
Dividend Yield6.75%
Average Volume (3M)16.00M
Price to Earnings (P/E)―
Beta (1Y)0.07
Revenue Growth-3.70%
EPS Growth-431.05%
CountryUS
Employees36,000
SectorConsumer Defensive
Sector Strength42
IndustryPackaged Foods
Share Statistics
EPS (TTM)0.67
Shares Outstanding1,183,744,800
10 Day Avg. Volume13,125,565
30 Day Avg. Volume15,996,427
Financial Highlights & Ratios
PEG Ratio0.02
Price to Book (P/B)0.69
Price to Sales (P/S)1.15
P/FCF Ratio7.82
Enterprise Value/Market Cap1.67
Enterprise Value/Revenue1.84
Enterprise Value/Gross Profit5.51
Enterprise Value/Ebitda-12.97
Forecast
1Y Price Target
$23.00Price Target Upside0.22% Upside
Rating ConsensusHold
Number of Analyst Covering16
EPS Forecast (FY)2.03
Revenue Forecast (FY)$24.45B
Kraft Heinz Business Overview & Revenue Model
Company Description
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. Its products include condiments and sauces, cheese and dairy produc...
How the Company Makes Money
Kraft Heinz makes money primarily by selling packaged foods and beverages under a portfolio of consumer brands to (1) retailers (e.g., grocery, mass, club, convenience, and e-commerce) and (2) foodservice and other commercial customers (e.g., rest...
Kraft Heinz Key Performance Indicators (KPIs)
Any
Revenue by Type
Shows the breakdown of revenue by different types, such as organic versus acquired, highlighting the company's growth strategy and reliance on various revenue streams.
Shows the breakdown of revenue by different types, such as organic versus acquired, highlighting the company's growth strategy and reliance on various revenue streams.
Data provided by:
The Fly
The FlyKraft Heinz Earnings Call Summary
Earnings Call Date:Feb 11, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 06, 2026
Earnings Call Sentiment Positive
Management unveiled a decisive action plan—a $600M reinvestment and a shift of focus to organic growth—with clear near-term timing (ramp in Q2, results in back half) and highlighted tangible market-share improvements in key portfolios and strong emerging-market performance. However, the pause of the separation creates strategic uncertainty, SNAP reductions impose a ~100bp headwind, prior price steps had mixed success, and a minority of the portfolio remains challenged. The call balances tangible operational steps and positive initial traction against meaningful execution and macro headwinds.Positive Updates
Incremental $600M Investment to Restore Brand Competitiveness
Company announced a $600 million incremental investment (~5.5% of top line) to rebuild brand, commercial and product capabilities; roughly half of the investment targeted at price, product and packaging to improve shelf presence and opening price points.
Negative Updates
Pause of Planned Separation (Spin) and Uncertain Timeline
Management paused the previously planned separation to prioritize turning the business around; pause is open-ended with no definitive re-evaluation date, creating longer-term strategic uncertainty for investors.
Read all updates
Q4-2025 Updates
Positive
Negative
Incremental $600M Investment to Restore Brand Competitiveness
Company announced a $600 million incremental investment (~5.5% of top line) to rebuild brand, commercial and product capabilities; roughly half of the investment targeted at price, product and packaging to improve shelf presence and opening price points.
Read all positive updates
Company Guidance
Management guided to a $600 million incremental reinvestment (about 5.5% of sales) that will begin ramping in Q2 with meaningful results targeted in H2; roughly half (~$300 million) is earmarked for price, product and packaging (targeting ~40% of categories for opening-price strategies), with commercial hires and capability spend concentrated in Q3–Q4. They assumed a ~100 basis-point SNAP headwind in the outlook (Kraft Heinz’s SNAP exposure ≈13% of U.S. retail vs. 11% industry), noted that 70% of revenue in their “taste elevation” portfolio is now gaining share and that the last 13-week and recent 4-week reads show market‑share improvement for brands like Heinz and Philadelphia, said emerging markets (ex‑Indonesia) grew close to double digits in 2025, and reaffirmed capital priorities to deploy excess cash to the business and pay down debt toward a ~3x net leverage target while aiming to exit 2026 with improved trends and return to organic growth by 2027.Kraft Heinz Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
56
Neutral
Cash Flow
63
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 24.94B | 25.85B | 26.64B | 26.48B | 26.04B |
| Gross Profit | 8.31B | 8.97B | 8.93B | 8.12B | 8.68B |
| EBITDA | -3.53B | 2.72B | 5.51B | 4.82B | 4.67B |
| Net Income | -5.85B | 2.74B | 2.85B | 2.36B | 1.01B |
Balance Sheet | |||||
| Total Assets | 81.79B | 88.29B | 90.34B | 90.51B | 93.39B |
| Cash, Cash Equivalents and Short-Term Investments | 3.67B | 1.33B | 1.40B | 1.04B | 3.44B |
| Total Debt | 21.22B | 19.87B | 20.03B | 20.07B | 21.82B |
| Total Liabilities | 40.00B | 38.96B | 40.62B | 41.64B | 43.94B |
| Stockholders Equity | 41.66B | 49.19B | 49.53B | 48.68B | 49.30B |
Cash Flow | |||||
| Free Cash Flow | 3.66B | 3.16B | 2.96B | 1.55B | 4.46B |
| Operating Cash Flow | 4.46B | 4.18B | 3.98B | 2.47B | 5.36B |
| Investing Cash Flow | -1.83B | -1.02B | -916.00M | -1.09B | 4.04B |
| Financing Cash Flow | -1.25B | -3.01B | -2.68B | -3.71B | -9.34B |
Kraft Heinz Technical Analysis
Neutral
22.95
Price Trends
23.25
Negative
23.54
Negative
24.49
Negative
Market Momentum
-0.10
Negative
52.23
Neutral
82.71
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KHC, the sentiment is Neutral. The current price of 22.95 is above the 20-day moving average (MA) of 22.31, below the 50-day MA of 23.25, and below the 200-day MA of 24.49, indicating a neutral trend. The MACD of -0.10 indicates Negative momentum. The RSI at 52.23 is Neutral, neither overbought nor oversold. The STOCH value of 82.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KHC.
Kraft Heinz Risk Analysis
Kraft Heinz disclosed 38 risk factors in its most recent earnings report. Kraft Heinz reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Kraft Heinz Peers Comparison
UnderperformOutperform
Sector (62)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $11.91B | 18.81 | 6.13% | 4.82% | 1.55% | -40.81% | |
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% | |
61 Neutral | $10.00B | -3.86 | -21.55% | 4.45% | -0.66% | -326.55% | |
60 Neutral | $19.53B | 20.26 | 23.70% | 5.19% | -5.65% | 0.41% | |
54 Neutral | $27.44B | ― | -13.44% | 6.75% | -3.70% | -431.05% | |
54 Neutral | $6.23B | 14.14 | 13.98% | 5.64% | 2.71% | 4.90% | |
54 Neutral | $7.45B | 11.30 | -0.51% | 7.87% | -5.82% | -119.70% |
* Consumer Defensive Sector Average
KHC
Kraft Heinz
22.95
-4.40
-16.10%
CPB
Campbell Soup
20.69
-15.44
-42.73%
CAG
Conagra Brands
15.58
-8.31
-34.79%
GIS
General Mills
36.60
-18.69
-33.81%
HRL
Hormel Foods
21.64
-6.78
-23.87%
SJM
JM Smucker
93.79
-16.83
-15.21%
Kraft Heinz Corporate Events
Business Operations and StrategyExecutive/Board Changes
Kraft Heinz Announces Leadership Change in North America
Neutral
Feb 18, 2026
On February 18, 2026, Kraft Heinz announced that Pedro Navio, Executive Vice President and President for North America, will step down from his role effective February 22, 2026 to pursue other opportunities. He will remain with the company as an a...
Regulatory Filings and Compliance
Kraft Heinz Registers Potential Berkshire Hathaway Share Resale
Neutral
Jan 20, 2026
On January 20, 2026, Kraft Heinz filed a resale prospectus supplement with the U.S. Securities and Exchange Commission to register the potential resale by major shareholder Berkshire Hathaway Inc. of up to 325,442,152 existing shares of Kraft Hein...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.