Kraft Heinz initiated with a Buy at Citi

Citi initiated coverage of Kraft Heinz with a Buy rating and $43 price target. The company’s sales growth prospects are underappreciated because key drivers come from areas that are not easily tracked, such as foodservice and international markets, the analyst tells investors in a research note. The firm also views Kraft Heinz’s recently announced share repurchase authorization as a key earnings growth driver and sees enough free cash generation for a 10% share count reduction by the end of 2026, while sustaining a 4% dividend yield.