Introduction
I am still looking for companies in the consumer staples sector. My portfolio used to have too much exposure to this sector, and now I lack exposure to it. The whole sector suffered lately, and after a significant pullback, I am looking for potential candidates. The interest rates raising didn't help, but there are also fundamentals issues that should concern some of the companies.
Several months ago, I initiated a tiny position in Kraft Heinz (KHC). I bought it planning to add to this position when the stock dips. Since I invested there, the stock hasn't stopped declining, and it now hovers around its 52-week low. However, investors should still remember that the company is still one of the largest food companies in the country.
In this article, I will analyze Kraft Heinz using the same system I analyze most companies. The graph below gives a brief explanation of the way I analyze it. I will analyze the fundamentals, valuation, growth opportunities, and risks. I am sure that there are substantial risks, and I hope that the valuation will be attractive enough to justify an investment despite the risks.
