Kraft Foods Group Rating Reiterated by Zacks (KRFT)
Kraft Foods Group (NASDAQ:KRFT)‘s stock had its “neutral” rating restated by Zacks in a research report issued on Thursday, AnalystRatingsNetwork.com reports. They currently have a $57.00 target price on the stock. Zacks‘ target price would suggest a potential upside of 5.73% from the stock’s previous close.
Zacks‘ analyst wrote, “Kraft’s third-quarter adjusted earnings of $0.65 per share missed the Zacks Consensus Estimate by 4.4% and declined 23.5% year over year. Weak top line, higher interest expense and taxes hurt earnings. Sales declined 4.2% due to difficult volume comparisons and a tough consumer environment and missed the Zacks Consensus Estimate. Several product categories were once again soft due to consumption weakness and increased competitive activity. Kraft has been struggling with its top line ever since the split from Mondelez. Moreover, increasing competitive pressures, challenging industry conditions and a lack of exposure outside the U.S. concerns us. However, the company has strong fundamentals. Kraft’s aggressive cost reduction and efficiency-improvement initiatives remain on track providing cash to invest in innovation, brand-building and marketing initiatives. Moreover, Kraft is focusing on building shareholders’ value through share buybacks and regular dividend payments. “
A number of other analysts have also recently weighed in on KRFT. Analysts at Morgan Stanley upgraded shares of Kraft Foods Group from an “equal weight” rating to an “overweight” rating in a research note to investors on Monday, December 9th. They now have a $60.00 price target on the stock, up previously from $55.00. They noted that the move was a valuation call. Separately, analysts at RBC Capital initiated coverage on shares of Kraft Foods Group in a research note to investors on Monday, November 25th. They set an “outperform” rating and a $60.00 price target on the stock. Finally, analysts at Canaccord Genuity downgraded shares of Kraft Foods Group from a “buy” rating to a “hold” rating in a research note to investors on Thursday, October 31st. They now have a $59.00 price target on the stock. Six analysts have rated the stock with a hold rating and three have issued a buy rating to the company. Kraft Foods Group currently has an average rating of “Hold” and a consensus price target of $58.00.
Shares of Kraft Foods Group (NASDAQ:KRFT) traded down 0.68% during mid-day trading on Thursday, hitting $53.542. The stock had a trading volume of 796,981 shares. Kraft Foods Group has a one year low of $45.15 and a one year high of $58.76. The stock has a 50-day moving average of $53.16 and a 200-day moving average of $54.14. The company has a market cap of $31.904 billion and a price-to-earnings ratio of 17.41. Kraft Foods Group also was the recipient of some unusual options trading on Tuesday. Stock investors bought 3,081 put options on the company. This represents an increase of approximately 211% compared to the typical daily volume of 991 put options.
Kraft Foods Group (NASDAQ:KRFT) last announced its earnings results on Wednesday, October 30th. The company reported $0.70 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.69 by $0.01. The company had revenue of $4.39 billion for the quarter, compared to the consensus estimate of $4.59 billion. During the same quarter last year, the company posted $0.79 earnings per share. Kraft Foods Group’s revenue was down 4.2% compared to the same quarter last year.
The company also recently announced a quarterly dividend, which is scheduled for Friday, January 17th. Investors of record on Friday, December 27th will be paid a dividend of 0.525 per share. This represents a $2.10 annualized dividend and a dividend yield of 3.90%. The ex-dividend date is Tuesday, December 24th.
Kraft Foods Group, Inc (NASDAQ:KRFT) operates food and beverage businesses in North America.
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