Earnings Preview: H. J. Heinz

| About: The Kraft (KHC)
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H. J. Heinz Company (HNZ) manufactures and markets food products for consumers, food service and institutional customers in North America, Europe, Asia Pacific, and internationally. It operates in the Food - Major Diversified industry.

It is scheduled to report its Q4 FY2012 results on May 24, 2012, before the market opens.

Recent EPS Actuals vs. Estimates

The company has met or exceeded analyst estimates in the last three quarters. In the last quarter it reported $0.95 EPS beating analyst estimates of $0.86 EPS.

Analyst Estimates

The consensus for EPS is $0.79 based on 15 analyst estimates, up from $0.71 a year ago. Revenue estimates are $3.07B, up from $2.89B a year ago. The median target price by analysts for the stock is $56.50.

Average recommendation: Overweight

HNZ Recommendations

Source: Marketwatch

Analyst Upgrades and Downgrades

During the last 30 days one analyst revised this quarter and the next year EPS upwards. However, one analyst revised next year EPS downwards.

Key Metrics

  • Market cap: $17.31B
  • 52 week trading range: 48.17 - 55.47
  • Trailing P/E: 18.03
  • Forward P/E: 15.07
  • P/S: 1.51
  • P/B: 6.07
  • PEG Ratio: 1.97
  • Annual dividend yield: 3.6%
  • Total debt: $5.03B
  • Return on Equity: 34.54%
  • Return on Assets: 8.94%

Latest Developments

  • On March 21, 2012, Ex-Date for dividend payment of $0.48.
  • On March 13, 2012, H J Heinz Co announced that its Board of Directors declared quarterly dividends on both common and preferred stock. The Company declared a dividend of USD0.48 per share on the Company's USD0.25 par value Common Stock payable on April 10, 2012 to shareholders of record at the close of business on March 23, 2012.
  • On February 17, 2012, H J Heinz Co narrowed FY 2012 EPS outlook to a range in line with analysts' estimates; reaffirms FY 2012 revenue outlook.


In the last 3 months there were 520,724 shares sold and 73,398 purchased by insiders.


  • On May 21, 2012, Campbell Soup Company (NYSE:CPB) Reaffirms FY 2012 Guidance. Campbell Soup profit slips.
  • On March 22, ConAgra Foods, Inc. (NYSE:CAG) announced that it continues to expect fiscal 2012 EPS to reflect a low- to mid-single-digit rate of growth (year-over-year), adjusted for items impacting comparability. The Company reported EPS of $1.75 in fiscal 2011.

Technical Insight

The stock is trading in an upward channel, up from its 21, 50 and 200 moving averages and has recently hit a 52 week high at $55.47.

Sources: Yahoo Finance, Google Finance, CNBC, Marketwatch, Reuters, Forbes.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.