Kraft-Heinz stock (KHC) has lost almost 18% in the year to date. The stock has been a perennial underperformer, also losing 9% in 2023. What’s concerning is the fact that broader markets have rallied spectacularly over the period, with the S&P 500 Index ($SPX) on track to deliver over 20% returns for two consecutive years.
KHC happens to be one of the biggest investing mistakes of Warren Buffett, whose Berkshire Hathaway (BRK.B) is the company’s biggest shareholder. Meanwhile, while KHC has eroded investor wealth and is in the red over the last five years, it has rewarded investors with generous payouts and its current dividend yield is above 5%. In this article, we’ll look at Kraft-Heinz’s forecast and examine whether the stock is a buy after the underperformance.
