Kraft Heinz Growth Potential Underestimated, RBC Says

11:10 AM EDT, 09/24/2026 (MT Newswires) -- Kraft Heinz's (KHC) growth potential is being underestimated by the market, with improvements seen likely to benefit the company in 2027 and beyond, RBC Capital Markets said in a Thursday note addressing key points of contention around its positive outlook on the company. On concerns that there is little or no improvement in the company's data, RBC analysts said that they are looking at retailer commentary about 2027. The analysts said that Kraft Heinz's recovery is still in the early stages, and its 2027 innovation slate was described as robust and strategically focused, which they believe will translate into measurable commercial results next year. Cost inflation is a legitimate downside risk for 2027, but the analysts said they have a more positive view on the company's incremental productivity based on due diligence, compared with consensus. Kraft Heinz has delivered COGS savings in excess of 4% for the last three years, and further opportunities for efficiencies exist across manufacturing, logistics and procurement, according to the note. The investment firm said in the research note that the company's $700 million investment plan should improve how investors view its terminal value as progress is made, while its 6.7% dividend yield also looks attractive relative to packaged food and staples peers. RBC's rating on the company's stock is outperform, with a price target of $32. Price: 23.81, Change: +0.02, Percent Change: +0.08