It is hard to compare the investing prowess of moguls such as Berkshire Hathaway Inc.'s (NYSE:BRK.A) Warren Buffett with many others, and with one of the longest (and most successful) track records of any investor ever, questioning the judgement of such a man is frowned upon by many, myself included, for good reason.
That being said, one of Warren Buffett's largest recent investments, his stake in packaged-foods giant Kraft Heinz Co. (NASDAQ:KHC) has plummeted in recent months, as the company has been forced to write down many of its valuable brands amid accounting subpoenas from regulators.
The company's fourth quarter loss of more than $12 billion, due primarily to said write downs, has led a parade out the door for many investors who do not wish to see this thing through.
Amid mounting concerns around nutrition habits changing, as well as the rise of high quality brands which have eaten away at the once-dominant market share of brands held under the Kraft Heinz family, there are plenty of reasons for many investors to stay away.
That being said, the fact that a company like Kraft Heinz carries a dividend yield near 6%, with a consensus forward price to earnings ratio of less than 10, makes this company one fundamental long term investors will want more of.
This is a company which has recently come onto my radar, and I would encourage long term investors with the stomach for short term volatility to consider such an investment at current levels.
Invest wisely, my friends.
Related Stories
