We were asked by a reader about our current thoughts on Kraft Heinz (KHC) with it sitting just above a 52-week low. We felt this was an opportune time to check back in on the performance of the name, especially since the company recently reported earnings. In this column, we will discuss Kraft Heinz’s performance and where we see the name heading. Further, we offer our projections for 2018 and our view on the stock at present levels.
Recent price action
Take a look at the 52-week price history of Kraft Heinz, and note specifically the drop-off since February:
Source: Yahoo Finance
What is going on here? Well, shares have suffered with general market malaise this month, which has seen very volatile swings in the major indices. Then there was some pain following earnings, as well as another drop off at the time of this writing following Walmart’s painful decline. This decline in shares has pushed the stock to an attractive level for dividend investors. The stock currently yields 3.65%, and the performance of the name suggests this level may be an attractive entry point.