Kraft Heinz Target of Unusually Large Options Trading (NASDAQ:KHC)

Kraft Heinz Company (NASDAQ:KHC) saw some unusual options trading on Thursday. Stock investors purchased 72,473 call options on the stock. This represents an increase of 158% compared to the typical daily volume of 28,131 call options.

Kraft Heinz Price Performance

NASDAQ KHC opened at $22.72 on Friday. The company has a debt-to-equity ratio of 0.46, a current ratio of 1.13 and a quick ratio of 0.73. The firm has a market capitalization of $26.89 billion, a price-to-earnings ratio of -6.09 and a beta of 0.09. The company has a 50 day simple moving average of $24.32 and a 200-day simple moving average of $25.73. Kraft Heinz has a 52-week low of $21.99 and a 52-week high of $33.35.

Kraft Heinz (NASDAQ:KHC) last released its quarterly earnings data on Wednesday, October 29th. The company reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.57 by $0.04. The firm had revenue of $6.24 billion for the quarter, compared to analyst estimates of $6.27 billion. Kraft Heinz had a negative net margin of 17.35% and a positive return on equity of 7.26%. The company’s revenue for the quarter was down 2.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.75 EPS. Kraft Heinz has set its FY 2025 guidance at 2.500-2.57 EPS. Equities research analysts predict that Kraft Heinz will post 2.68 earnings per share for the current fiscal year.

Kraft Heinz Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, December 26th. Shareholders of record on Friday, November 28th were given a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 7.0%. The ex-dividend date of this dividend was Friday, November 28th. Kraft Heinz’s dividend payout ratio is presently -42.90%.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on KHC shares. JPMorgan Chase & Co. decreased their target price on Kraft Heinz from $25.00 to $24.00 and set a “neutral” rating on the stock in a report on Wednesday. Piper Sandler lifted their price target on Kraft Heinz from $25.00 to $27.00 and gave the stock a “neutral” rating in a research note on Monday, December 15th. BNP Paribas Exane downgraded Kraft Heinz from a “neutral” rating to an “underperform” rating and set a $22.00 price objective on the stock. in a report on Wednesday. Wells Fargo & Company decreased their target price on shares of Kraft Heinz from $27.00 to $25.00 and set an “equal weight” rating for the company in a report on Thursday, October 30th. Finally, Morgan Stanley dropped their target price on shares of Kraft Heinz from $28.00 to $27.00 and set an “equal weight” rating on the stock in a research report on Thursday, October 30th. One analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Hold rating and five have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Reduce” and an average price target of $26.16.

Insider Activity at Kraft Heinz

In other news, insider Miguel Patricio sold 125,000 shares of the company’s stock in a transaction on Wednesday, December 17th. The stock was sold at an average price of $24.82, for a total value of $3,102,500.00. Following the completion of the sale, the insider owned 686,817 shares in the company, valued at $17,046,797.94. This represents a 15.40% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Corporate insiders own 0.35% of the company’s stock.

Institutional Investors Weigh In On Kraft Heinz

Several large investors have recently made changes to their positions in the company. Shell Asset Management Co. grew its holdings in Kraft Heinz by 89.7% during the 2nd quarter. Shell Asset Management Co. now owns 90,450 shares of the company’s stock worth $2,335,000 after acquiring an additional 42,758 shares during the period. Generali Asset Management SPA SGR boosted its position in shares of Kraft Heinz by 192.4% in the 3rd quarter. Generali Asset Management SPA SGR now owns 81,260 shares of the company’s stock worth $2,116,000 after purchasing an additional 53,467 shares during the last quarter. Fairfax Financial Holdings Ltd. Can grew its stake in shares of Kraft Heinz by 45.4% during the second quarter. Fairfax Financial Holdings Ltd. Can now owns 4,884,000 shares of the company’s stock worth $126,056,000 after purchasing an additional 1,525,000 shares during the period. Lakeshore Capital Group Inc. increased its holdings in Kraft Heinz by 39.8% in the second quarter. Lakeshore Capital Group Inc. now owns 37,050 shares of the company’s stock valued at $957,000 after purchasing an additional 10,551 shares during the last quarter. Finally, First Horizon Corp acquired a new position in Kraft Heinz in the third quarter valued at about $4,678,000. Institutional investors own 78.17% of the company’s stock.

Key Headlines Impacting Kraft Heinz

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

• Positive Sentiment: Large speculative interest: traders bought an unusually high volume of call options (roughly 72,473 contracts), signaling short‑term bullish bets or hedging that can support a near‑term bounce if sentiment shifts or rumors abate.
• Positive Sentiment: Some outlets highlighted relative value and a short-term rebound, noting the stock outperformed the market in the latest session. Read More.
• Neutral Sentiment: Analysis pieces weighing long-term options for shareholders — including whether Berkshire exits changes the company’s strategic path — create mixed signals: potential for change but also uncertainty about who would buy such a large block. Read More.
• Neutral Sentiment: Coverage suggests institutional investors may be approaching a tipping point around KHC’s turnaround story; that could accelerate repositioning but is not a clear buy/sell signal on its own. Read More.
• Negative Sentiment: Berkshire stake resale risk: filings and reporting show Berkshire Hathaway (now under new CEO Greg Abel) may offer up to ~325 million shares for resale — the prospect of a massive supply overhang has driven heavy selling pressure and pushed KHC to multi‑year lows. Read More.
• Negative Sentiment: Analyst downgrades and price‑target cuts amplified downside: Exane BNP Paribas moved to a negative/strong‑sell view, and JPMorgan trimmed its target and held a neutral stance — adding pressure to sentiment and limiting near‑term upside. Read More. | Read More.
• Negative Sentiment: Market reaction and coverage framed Berkshire’s move as a significant reputational hit (and a confirmation of prior concerns about Kraft Heinz’s competitive position), prompting some sell‑side and media narratives that reinforce outflows unless a large buyer or deal is announced. Read More.

Kraft Heinz Company Profile

The Kraft Heinz Company (NASDAQ: KHC) is a global food and beverage company formed in 2015 through the merger of Kraft Foods Group and H.J. Heinz Company. The combination created one of the largest packaged-food companies in the world, built around well-known consumer brands. The merger was supported by major investors and established a multi-national platform for branded food products.

Kraft Heinz develops, manufactures, markets and distributes a broad portfolio of branded packaged foods and condiments.