Kraft Heinz Slid 6% on Berkshire Exit. Is the Stock Undervalued in 2026?

Wiltone Asuncion3 minute read
Reviewed by: Thomas Richmond
Last updated Jan 22, 2026

Key Stats for Kraft Heinz Stock

  • Price Change: -5.7%
  • Current Price: $22
  • Advanced Model Price Target: $35

Buffett is selling on, but the model says Buy. Who is right? Run the numbers on TIKR →

What Happened?

Shares of Kraft Heinz (KHC) tumbled 5.7% on Wednesday, closing at a new 5-year low of $22.

The selloff was triggered by a regulatory filing revealing that Berkshire Hathaway (BRK.B) is preparing to sell its stake in the food giant.

Warren Buffett’s firm registered 325 million shares for potential sale, signaling the end of a troubled decade-long investment.

Following the news, the Street Consensus price target on TIKR dropped to $26.71, reflecting the bearish sentiment.

Investors view this as a massive vote of no confidence from the company’s largest and most famous shareholder.

Kraft Heinz Stock Price Target (TIKR)

See analysts’ growth forecasts and price targets for Kraft Heinz stock (It’s free!) >>>

Is Kraft Heinz Undervalued Today?

While the headlines are dire, the company is approaching a massive strategic pivot that could unlock hidden value.

CEO Carlos Abrams-Rivera is finalizing a plan to split the company into two independent public entities in late 2026.

The split will create “Global Taste Elevation Co.,” a high-growth business focused on sauces, and “North American Grocery Co.,” holding steady brands like Oscar Mayer.

In the Q3 Earnings Call, Abrams-Rivera noted that the company “gained share in 70.0% of the U.S. Taste Elevation business.”

Management believes this performance will allow the new “Taste Elevation” entity to trade at a higher multiple like McCormick & Company (MKC).

Despite Buffett’s exit, TIKR’s Advanced Valuation Model suggests the selloff has created a deep value opportunity.

  • Advanced Model Price Target: $35
  • Current Price: $22
  • Potential Upside: +55.1%

The model assumes the company can stabilize with a 0.5% revenue CAGR through 2030, supported by a massive 7.2% dividend yield while you wait.

Conclusion: Buffett may be moving on, but the market is pricing Kraft Heinz for disaster. If the 2026 split successfully unlocks the value of the “Heinz” brand, the model sees a path back to $35.

See the full KHC forecast on TIKR >>>

How Much Upside Does Kraft Heinz Stock Have From Here?

With TIKR’s new Valuation Model tool, you can estimate a stock’s potential share price in under a minute.

All it takes is three simple inputs:

  1. Revenue Growth
  2. Operating Margins
  3. Exit P/E Multiple

If you’re not sure what to enter, TIKR automatically fills in each input using analysts’ consensus estimates, giving you a quick, reliable starting point.

From there, TIKR calculates the potential share price and total returns under Bull, Base, and Bear scenarios so you can quickly see whether a stock looks undervalued or overvalued.

See a stock’s true value in under 60 seconds (Free with TIKR) >>>

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Disclaimer:

Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!

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