The Kraft Heinz Co is known by the trading ticker symbol, KHC. It is included in the Consumer Defensive sector as a Packaged Foods company. This is my second report for my Volio Portfolio on KHC. I last discussed KHC on January 11th.

In July 2015, Kraft merged with Heinz to create the third-largest food and beverage manufacturer in North America behind PepsiCo and Nestle and the fifth-largest player in the world. 

Beyond its namesake brands, the combined firm's portfolio includes Oscar Mayer, Ore-Ida, and Philadelphia. 

Outside North America, the firm's global reach includes a distribution network in Europe and emerging markets that drive around one-fifth of its consolidated sales base, as its products are sold in more than 190 countries and territories.

Source: Unsplash

It sells its products through its own sales organizations, as well as through independent brokers, agents, and distributors and online through e-commerce platforms and retailers. 

The company was formerly known as H.J. Heinz Holding Corporation and changed its name to The Kraft Heinz Company in July 2015. The Kraft Heinz Company was founded in 1869 and is headquartered in Pittsburgh, Pennsylvania.

Three key data points gauge dividend equities or funds like The Kraft Heinz Co:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money. 

KHC Price

The Kraft Heinz Co price per share was $39.20 as of yesterday's market close. One year ago its price was $34.68. 

If The Kraft Heinz Co's stock trades in the range of $30 to $45 this next year, its recent $39.20 price might rise by $3.80 to reach $43.00 by July 28, 2022. My estimate is $0.07 over the median of estimates by the twenty analysts tracking KHC for brokerages. 

KHC Dividends

The Kraft Heinz Co's most recent regular quarterly dividend payout of  $0.40 was paid June 25, 2021, and projects an annual payout of $1.60 per share to yield 4.08% based on yesterday's $39.20 closing price. KHC has paid quarterly dividends increasing annually for 6 years.

KHC Returns

Adding the $1.60 annual KHC forward-looking dividend to my $3.80 price upside estimate shows a $5.40 potential gross gain, per share, to be reduced by any costs to trade Kraft Heinz shares.  

At yesterday's $39.20 price per share, a little over $1000 would buy 26 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at a sale and might cost us about $0.38 per share.

Subtract that maybe $0.38 brokerage cost from my estimated $5.40 gross gain per share results in a net gain of $5.02 X 26 shares = $130.52 for a 13.00% net gain on a $1,019.20 investment.

So it is that The Kraft Heinz Co shows a possible 13% net gain including a 4.08% forward estimated dividend yield. 

Over the next year at this time, a $1000 investment in The Kraft Heinz Co could generate $40.80 in cash dividends alone. And a single share bought at yesterday's closing price was $39.320! Thus, KHC's share price is now slightly less than the dividend income from $1K invested. So, according to the dividend dogcatcher ideal, this is a good time to pickup Kraft Heinz shares because the dividend from $1k invested barely exceeds the single share price. Get 'em before the share price crosses the line! Consider yourself alerted.   

All of the estimates above are speculation based on the past history of The Kraft Heinz Co. Only time and money invested in this stock will determine its true worth.