Kraft Heinz (KHC) stock fell Wednesday after the condiment and food company released its earnings report for Q4 2024. The bad news for KHC investors comes in the form of $6.58 billion in Q4 revenue. That’s well below the $6.66 billion that Wall Street was expecting from the company while also dropping 4.1% year-over-year.
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This is despite Kraft Heinz reporting adjusted earnings per share of 84 cents during the quarter, beating analysts’ estimate of 78 cents. It also represents adjusted EPS growth of 7.69% year-over-year compared to 78 cents.
Switching to Kraft Heinz’s 2024 performance, revenue dropped 3% to $25.85 billion, coming in below Wall Street’s $25.97 billion estimate. Its adjusted EPS for the year increased 2.7% to $3.06, beating analysts’ estimate of $3.01.
KHC 2025 Guidance Update
Kraft Heinz expects organic net sales growth for 2025 to range from flat to 2.5%, compared to Wall Street’s estimate of $25.9 billion. That outlook also includes adjusted EPS guidance between $2.63 and $2.74, which doesn’t look good next to analysts’ estimate of $3.04.
It’s fair to say KHC stock investors aren’t happy about the company’s Q4 results or guidance as the stock is down 6.49% in pre-market trading today. That extends its 3.68% drop year-to-date and 14.19% fall over the past year.
Is KHC Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Kraft Heinz stock is Hold based on two Buy and 12 Hold ratings over the past three months. With that comes an average price target of $33.07, a high of $40, and a low of $30. This represents a potential 11.8% upside for KHC stock. These ratings and price targets will likely change as analysts update their coverage after today’s earnings report.
