Checking In With KHC: Momentum Looking A Bit Better Than Expected

研报英文原文证据摘录

Checking In With KHC: Momentum Looking A Bit Better Than Expected

anic sales estimate to -3.0% (prior: -6.0%), to better align with its current momentum. FY27E EPS US$2.12 US$2.14

52-Week High / Low US$29.19 / US$21.04

• Good visibility on 2026 costs, but question marks still on 2027. KHC expects slightly Shares Out (mil) 1,188.0

Market Cap. (mil) US$26,694.4 less than 4% to just above 4% cost inflation in 2026, implying ~$80-85M of incremental

Total Assets ($mil) 103,461

costs, skewed to 4Q26 as its hedges roll off. It is less hedged on resins (used in Avg Daily Vol (000) 14,412

packaging), so expects some higher costs in late 3Q26, but has hedged most costs up Div (ann) US$1.60

to 4Q26. KHC typically hedges roughly nine months out, so we would expect some cost Div Yield 7.12%

pressure in 1Q27, too. KHC continues to assess market conditions to lock in more for Fiscal Year End Dec

favorable costs. KHC expects higher productivity (above 4% in 1Q26 and expected to

maintain that level in 2026) to help offset some of the costs. Price Performance - 1 Year

USD

• Reorganized global operating structure increases focus. KHC recently announced 30

changes to its global operating structure, reorganizing its reportable segments into three 28

regions, beginning in 3Q26: North America (NA), Europe and Pacific Developed Markets

(EPDM), and Emerging Markets (EM). Essentially, Eastern European countries (mainly 26

Poland) will no longer be reported in EM, and EM will be led by Marcel Regis (vs. two 24

leaders, previously). The changes are intended to drive better execution and scaling.

RISKS TO ACHIEVEMENT OF PT & RECOMMENDATION

Input costs, shifting consumer preferences and currency headwinds could impact the stock. 20

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