-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We cut our 12-month target by $1 to $26, about 11.6x our 2027 EPS estimate of $2.24 (cut $0.11). We also cut our 2026 EPS by $0.07 to $2.07. We see 2026 as a heavy reinvestment year following the surprise announcement that KHC will pause its planned separation into two separate companies. The goal is to return KHC to profitable growth in 2027, with signs of a recovery expected in 2H 2026. We see risk in the outlook given intensifying competitive pressures and the possibility that these investments won't pay off as intended, though we think the company's full-year EPS outlook has appropriately de-risked near-term expectations (consensus estimates for 2026 have dropped by 18% over the last 90 days). Two metrics we're keeping an eye on are the dividend payout ratio, which will likely be ~80% in 2026 vs. the 50%-60% historical average, and leverage ratio (net debt/adjusted EBITDA), which is currently about 3.0x and matches KHC's long-term goal. We maintain our Hold rating.