Kraft Heinz (KHC) ended the recent trading session at $29.48, demonstrating a +0.72% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.88% for the day. Meanwhile, the Dow gained 1.24%, and the Nasdaq, a tech-heavy index, added 0.65%.
Heading into today, shares of the processed food company with dual headquarters in Pittsburgh and Chicago had lost 3.91% over the past month, lagging the Consumer Staples sector's loss of 2.9% and the S&P 500's gain of 1.17% in that time.
The upcoming earnings release of Kraft Heinz will be of great interest to investors. The company's upcoming EPS is projected at $0.78, signifying steadiness compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $6.69 billion, reflecting a 2.53% fall from the equivalent quarter last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Kraft Heinz. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.22% decrease. Kraft Heinz is holding a Zacks Rank of #4 (Sell) right now.
Digging into valuation, Kraft Heinz currently has a Forward P/E ratio of 9.59. This represents a discount compared to its industry's average Forward P/E of 16.29.
It is also worth noting that KHC currently has a PEG ratio of 3.47. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Food - Miscellaneous was holding an average PEG ratio of 2.69 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 192, finds itself in the bottom 24% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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