- Years of underinvesting in the business and extreme cost-cutting measures took its toll on many of Kraft Heinz's strong brands.
- Management seems to be making a step in the right direction with its intention to increase advertising spend and capital expenditures.
- However, the high risks for the business remain and these could take years to address, assuming management takes all the right steps going forward.
- Contrary to the popular belief that Kraft Heinz is undervalued, the company's valuation is low for a number of good reasons.
For further details see:
Kraft Heinz Turnaround - I Am Still Not Convinced