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    How Kraft Heinz’s Split Pause, Big Loss and Brand Reinvestments Could Impact Kraft Heinz (KHC) Investors

    Simply Wall St·02/18/2026 14:22:49
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    • The Kraft Heinz Company recently reported fourth-quarter and full-year 2025 results showing lower sales and a very large swing to a US$5.85 billion net loss, while also declaring a regular US$0.40 per-share quarterly dividend payable on March 27, 2026.
    • Alongside these results, Kraft Heinz paused its planned split, committed around US$600 million to brand reinvestment, and reshaped leadership and capital allocation, including completing a US$1.51 billion buyback and appointing Nicolas Amaya as President, North America.
    • We’ll now examine how Kraft Heinz’s decision to pause the corporate split and reinvest heavily in brands could influence its investment narrative.

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    Kraft Heinz Investment Narrative Recap

    To own Kraft Heinz today, you need to believe its mix of brand reinvestment and operational reset can eventually offset recent revenue pressure and a sizeable 2025 net loss. The most important near term catalyst is whether the paused split and US$600 million brand program can stabilize North America volumes, while the biggest current risk remains ongoing weakness in core retail demand and profitability. The latest announcements do not remove that risk, but they refocus how management is trying to address it.

    Among the recent developments, the decision to halt the corporate split and commit US$600 million to brand marketing, product upgrades, and commercial capabilities is most relevant. It directly links to the key catalyst of revitalizing innovation and brand relevance, particularly in North America, where performance has been a constraint. At the same time, this reinvestment push comes as the company works through a period of lower sales and a full year net loss, which keeps execution risk squarely in view.

    Yet behind the brand reinvestment story, investors should also be aware that...

    Read the full narrative on Kraft Heinz (it's free!)

    Kraft Heinz’s narrative projects $26.1 billion revenue and $3.3 billion earnings by 2028. This requires 1.0% yearly revenue growth and a $8.6 billion earnings increase from $-5.3 billion today.

    Uncover how Kraft Heinz's forecasts yield a $27.13 fair value, a 14% upside to its current price.

    Exploring Other Perspectives

    KHC 1-Year Stock Price Chart
    KHC 1-Year Stock Price Chart

    The most cautious analysts were already assuming essentially flat revenues of about US$25.1 billion and only modest earnings growth to roughly US$3.3 billion by 2028, so this brand heavy reset could either ease those concerns or reinforce them depending on how quickly it improves volumes and margins.

    Explore 21 other fair value estimates on Kraft Heinz - why the stock might be worth 7% less than the current price!

    Decide For Yourself

    Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.