Warren Buffett’s 10 Longest-Held Stocks

8. The Kraft Heinz Company (NASDAQ:KHC)

Warren Buffett’s First Major Purchase: 2015

Berkshire Hathaway’s stake in Q3 2024: $11.43 billion

The Kraft Heinz Company (NASDAQ:KHC) is a global leader in food and beverage production that was formed in 2015 through the merger of Kraft Foods and Heinz. The company produces a wide range of products, including dairy, meat, condiments, beverages, and other groceries.

In its Q3 2024 earnings report, The Kraft Heinz Company (NASDAQ:KHC) reported a lower-than-expected quarterly revenue decline, with net sales falling 2.8% to $6.38 billion. Moreover, Kraft Heinz’s 2024 earnings per share estimate was lowered to the lower end of its earlier range of $3.01 to $3.07. The company’s gross profit margin, however, rose by 20 basis points to 34.2%.

On January 21, Thomas Palmer, a Citi analyst, maintained his buy rating on The Kraft Heinz Company (NASDAQ:KHC) shares but reduced his price target from $38 to $34. According to the analyst, the food and beverage giant may face a number of challenges in 2025, including muted measured takeaway trends, escalating foreign exchange fluctuations, and the expectation of more aggressive promotional tactics from key competitors. Despite these concerns, Palmer proposed that the current stock price may already account for the possible detrimental effect on the company’s financial performance in 2025. This implies that, given the anticipated challenges, the market may have preemptively adjusted its expectations.