Summary
The Kraft Heinz Company has one of the highest dividend yields among large-cap consumer staples stocks.
Accordingly, investors are often concerned with the sustainability of the company's dividend payments.
In this article, we perform a deep dive on the company's dividend safety by looking at earnings, free cash flow, recession performance, and debt (including an interest rate stress test).
Kraft Heinz's dividend is covered by earnings for the time being, but the same cannot be said for the company's free cash flow.
The Kraft Heinz Company (KHC) has one of the highest dividend yields among the large-cap consumer staples investment universe. The company's stock is used by many investors to increase the yield of their investment portfolios.
With that said, investing in high-yield dividend stocks like Kraft Heinz is sometimes risky because of the elevated probability of a dividend cut.
In this article, we perform a deep dive into Kraft Heinz's dividend safety. If you prefer learning through videos, you can watch a video analysis on the topic below:
