In the latest trading session, Kraft Heinz (KHC) closed at $25.37, marking a +1.44% move from the previous day. Elsewhere, the Dow gained 1.14%, while the tech-heavy Nasdaq lost 0.8%.
The stock of processed food company with dual headquarters in Pittsburgh and Chicago has risen by 9.89% in the past month, leading the Consumer Staples sector's gain of 3.53% and the S&P 500's loss of 1.43%.
The investment community will be paying close attention to the earnings performance of Kraft Heinz in its upcoming release. The company is expected to report EPS of $0.53, down 23.19% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $6.14 billion, reflecting a 3.37% fall from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.07 per share and a revenue of $24.43 billion, representing changes of -20.38% and -2.04%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Kraft Heinz. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.08% higher within the past month. Kraft Heinz is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Kraft Heinz is presently being traded at a Forward P/E ratio of 12.1. This indicates a discount in contrast to its industry's Forward P/E of 12.99.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 197, which puts it in the bottom 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Kraft Heinz Company (KHC): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).