Thesis
Kraft-Heinz' (KHC) valuation has come down a lot over the last year, and the company's shares offer a quite high income yield right here. The company is highly leveraged, though, and organic growth is not strong.
Kraft-Heinz, therefore, looks like an income stock primarily, investors looking for share price gains can find more attractive companies in the food & beverages industry.
Low organic growth rates limit earnings growth potential
The foods and beverages industry is not very cyclical, which can be a positive as well as a negative. During an economic downturn,