Traders Buy High Volume of Kraft Heinz Call Options (NASDAQ:KHC)

The Kraft Heinz Company (NASDAQ:KHC) was the recipient of unusually large options trading on Monday. Stock investors bought 26,780 call options on the stock. This is an increase of approximately 45% compared to the typical volume of 18,452 call options.

Kraft Heinz Stock Performance

Shares of KHC stock opened at $31.97 on Wednesday. The business’s 50 day simple moving average is $33.95 and its 200 day simple moving average is $34.19. Kraft Heinz has a one year low of $30.40 and a one year high of $38.96. The stock has a market capitalization of $38.66 billion, a PE ratio of 28.80, a PEG ratio of 3.63 and a beta of 0.49. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.06 and a quick ratio of 0.56.

Kraft Heinz (NASDAQ:KHC) last announced its earnings results on Wednesday, October 30th. The company reported $0.75 EPS for the quarter, beating the consensus estimate of $0.74 by $0.01. The business had revenue of $6.38 billion for the quarter, compared to analysts’ expectations of $6.42 billion. Kraft Heinz had a return on equity of 7.46% and a net margin of 5.24%. The firm’s revenue was down 2.8% on a year-over-year basis. During the same period in the prior year, the business posted $0.72 earnings per share. As a group, research analysts forecast that Kraft Heinz will post 3.01 earnings per share for the current year.

Kraft Heinz Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, December 27th. Shareholders of record on Friday, November 29th will be issued a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 5.00%. The ex-dividend date is Friday, November 29th. Kraft Heinz’s payout ratio is 144.14%.

Insiders Place Their Bets

In other Kraft Heinz news, EVP Pedro F. P. Navio sold 45,000 shares of the business’s stock in a transaction dated Tuesday, November 5th. The stock was sold at an average price of $33.45, for a total transaction of $1,505,250.00. Following the completion of the transaction, the executive vice president now owns 168,195 shares of the company’s stock, valued at approximately $5,626,122.75. The trade was a 21.11 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.37% of the company’s stock.

Hedge Funds Weigh In On Kraft Heinz

Institutional investors and hedge funds have recently modified their holdings of the business. New Covenant Trust Company N.A. bought a new position in shares of Kraft Heinz during the 1st quarter worth approximately $27,000. Fortitude Family Office LLC increased its stake in Kraft Heinz by 249.5% during the 3rd quarter. Fortitude Family Office LLC now owns 741 shares of the company’s stock valued at $26,000 after purchasing an additional 529 shares in the last quarter. Ashton Thomas Securities LLC acquired a new position in Kraft Heinz during the third quarter worth $27,000. DiNuzzo Private Wealth Inc. lifted its stake in shares of Kraft Heinz by 1,077.0% in the third quarter. DiNuzzo Private Wealth Inc. now owns 871 shares of the company’s stock valued at $31,000 after buying an additional 797 shares in the last quarter. Finally, Bangor Savings Bank acquired a new position in shares of Kraft Heinz during the third quarter valued at about $32,000. 78.17% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on KHC shares. JPMorgan Chase & Co. reduced their price target on Kraft Heinz from $38.00 to $37.00 and set a “neutral” rating on the stock in a report on Wednesday, July 31st. The Goldman Sachs Group reduced their price target on Kraft Heinz from $34.00 to $32.00 and set a “sell” rating on the stock in a report on Thursday, October 31st. Citigroup reduced their price target on Kraft Heinz from $39.00 to $38.00 and set a “buy” rating on the stock in a report on Thursday, October 31st. Evercore ISI reduced their price target on Kraft Heinz from $42.00 to $38.00 and set an “overweight” rating on the stock in a report on Wednesday, July 31st. Finally, Barclays reduced their price target on Kraft Heinz from $36.00 to $35.00 and set an “equal weight” rating on the stock in a report on Friday, November 1st. One investment analyst has rated the stock with a sell rating, six have given a hold rating and four have issued a buy rating to the stock. According to MarketBeat.com, Kraft Heinz currently has a consensus rating of “Hold” and a consensus target price of $36.55.

About Kraft Heinz

The Kraft Heinz Company, together with its subsidiaries, manufactures and markets food and beverage products in North America and internationally. Its products include condiments and sauces, cheese and dairy products, meals, meats, refreshment beverages, coffee, and other grocery products under the Kraft, Oscar Mayer, Heinz, Philadelphia, Lunchables, Velveeta, Ore-Ida, Maxwell House, Kool-Aid, Jell-O, Heinz, ABC, Master, Quero, Kraft, Golden Circle, Wattie's, Pudliszki, and Plasmon brands.