Ellsworth Advisors LLC Buys New Position in Kraft Heinz Company $KHC

Key Points

• Ellsworth Advisors LLC purchased 75,340 Kraft Heinz shares worth approximately $1.7 million in the third quarter. Institutional investors collectively own 78.17% of the company.
• Analyst sentiment remains cautious, with one Buy, eleven Hold, and five Sell ratings; the consensus rating is Reduce with an average price target of $23.81.
• Kraft Heinz offers a roughly 6.9% dividend yield, but faces weak North American demand and declining revenue. The company is investing $700 million in a turnaround while expanding products such as its ready-to-eat HEINZ Soup Collection.

Ellsworth Advisors LLC bought a new stake in Kraft Heinz Company (NASDAQ:KHC - Free Report) in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm bought 75,340 shares of the company's stock, valued at approximately $1,712,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Alyeska Investment Group L.P. bought a new position in shares of Kraft Heinz in the 2nd quarter worth about $1,968,000. OMERS ADMINISTRATION Corp bought a new stake in Kraft Heinz during the second quarter worth about $1,076,000. Gradient Investments LLC grew its holdings in Kraft Heinz by 11.8% in the third quarter. Gradient Investments LLC now owns 667,877 shares of the company's stock worth $15,174,000 after purchasing an additional 70,534 shares during the period. The Manufacturers Life Insurance Company grew its holdings in Kraft Heinz by 11.3% in the second quarter. The Manufacturers Life Insurance Company now owns 561,627 shares of the company's stock worth $13,266,000 after purchasing an additional 57,092 shares during the period. Finally, Franklin Street Advisors Inc. NC increased its stake in shares of Kraft Heinz by 70.2% during the second quarter. Franklin Street Advisors Inc. NC now owns 994,375 shares of the company's stock valued at $23,487,000 after purchasing an additional 410,029 shares in the last quarter. Hedge funds and other institutional investors own 78.17% of the company's stock.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the stock. Royal Bank Of Canada reiterated an "outperform" rating and set a $32.00 target price on shares of Kraft Heinz in a report on Thursday, September 24th. JPMorgan Chase & Co. boosted their price target on Kraft Heinz from $21.00 to $22.00 and gave the stock an "underweight" rating in a research report on Wednesday, July 15th. Piper Sandler upped their price target on Kraft Heinz from $24.00 to $25.00 and gave the stock a "neutral" rating in a research note on Thursday, August 6th. BNP Paribas Exane raised their price objective on Kraft Heinz from $17.00 to $19.00 and gave the company an "underperform" rating in a research report on Tuesday, June 30th. Finally, Wall Street Zen cut Kraft Heinz from a "buy" rating to a "hold" rating in a research note on Saturday, August 8th. One investment analyst has rated the stock with a Buy rating, eleven have given a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of "Reduce" and an average target price of $23.81.

Kraft Heinz News Summary

Here are the key news stories impacting Kraft Heinz this week:

• Positive Sentiment: Kraft Heinz is launching the HEINZ Soup Collection in Canada, its first ready-to-eat soup line in the country. The bagged format expands the brand beyond traditional canned soup and targets convenience-focused consumers, offering a potential avenue for category growth. HEINZ Takes Soup Beyond the Can with New Ready-To-Eat Soup Collection
• Positive Sentiment: A bullish investment view argues that KHC is trading near its 52-week low and below historical valuation multiples. The thesis expects prior brand investments to support improving market share and sales through 2026, while productivity savings could offset anticipated 2027 cost inflation. Kraft Heinz: The Boring 2027 Long That Doesn't Need A Rich Multiple
• Neutral Sentiment: KHC’s roughly 7% dividend yield remains attractive to income investors, and its staple brands provide relatively defensive demand. However, the yield reflects investor concerns about slow growth and changing consumer preferences rather than being a standalone catalyst. This High-Yield Stock Pays Investors 7%+, but There’s a Catch
• Negative Sentiment: Jefferies maintained a Hold rating and cut its price target to $21, citing worsening North American retail demand. The broker expects third-quarter sales to decline sequentially as weaker consumption and the reversal of a prior inventory benefit weigh on results, even as Kraft Heinz ramps up a $700 million turnaround investment. Kraft Heinz faces worsening US sales as $700 million turnaround spending ramps up
• Negative Sentiment: A separate analysis cautions that the dividend cannot compensate for a weak underlying growth story, highlighting pressure from shifting consumer preferences and the need for the turnaround spending to produce sustainable sales improvement. Kraft Heinz: A High Yield Won't Fix A Broken Growth Story

Kraft Heinz Stock Performance

Shares of Kraft Heinz stock opened at $23.24 on Friday. Kraft Heinz Company has a 1 year low of $21.03 and a 1 year high of $28.09. The firm's 50-day moving average is $24.26 and its 200 day moving average is $23.99. The stock has a market cap of $27.56 billion, a price-to-earnings ratio of -8.13, a PEG ratio of 2.99 and a beta of 0.12. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.06 and a quick ratio of 0.68.

Kraft Heinz (NASDAQ:KHC - Get Free Report) last released its quarterly earnings data on Wednesday, August 5th. The company reported $0.56 earnings per share for the quarter, beating analysts' consensus estimates of $0.53 by $0.03. The business had revenue of $6.26 billion during the quarter, compared to analyst estimates of $6.18 billion. Kraft Heinz had a negative net margin of 13.64% and a positive return on equity of 7.10%. Kraft Heinz's revenue was down 1.4% compared to the same quarter last year. During the same period last year, the business earned $0.69 EPS. Kraft Heinz has set its FY 2026 guidance at 2.030-2.090 EPS. Sell-side analysts anticipate that Kraft Heinz Company will post 2.06 EPS for the current fiscal year.

Kraft Heinz Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, September 25th. Stockholders of record on Friday, September 4th were issued a dividend of $0.40 per share. The ex-dividend date was Friday, September 4th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 6.9%. Kraft Heinz's dividend payout ratio is presently -55.94%.

About Kraft Heinz

The Kraft Heinz Company NASDAQ: KHC is a global food and beverage company that develops, manufactures and markets packaged foods and beverages for consumers, retailers and foodservice customers. Its portfolio includes condiments and sauces, cheese and dairy products, meals, meats, snacks, beverages and other grocery items.

The company's brands include Heinz, Kraft, Oscar Mayer, Philadelphia, Velveeta, Lunchables, Maxwell House, Capri Sun, Jell-O, Ore-Ida, Classico, Grey Poupon and Planters.

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