Warren Buffett's Successor Weighs Sale of Kraft Heinz Stake, Dealing a Blow to Ketchup Maker's Stock
Investopedia·2026-01-21 19:20

Core Insights - Warren Buffett expressed disappointment regarding Kraft Heinz's plan to split into two companies, indicating potential leadership changes at Berkshire Hathaway that may lead to a complete exit from the stock [1][2][6] Company Performance - Kraft Heinz shares fell by 6% following the announcement of Berkshire Hathaway's potential sale of up to 325,442,152 shares, reflecting investor concerns about the company's future [1][6] - The stock has declined nearly 70% from its 2017 highs, struggling with changing consumer preferences and increased competition since the merger of Kraft and Heinz [3][4] Strategic Decisions - Kraft Heinz's decision to break up its business is seen as an acknowledgment of past missteps in the merger, with the breakup expected to be completed in the second half of 2026 [4][5] - The company aims to streamline operations through this breakup, although investor excitement has been minimal since the announcement [5] Analyst Sentiment - Among six Wall Street analysts, five maintain neutral ratings while one recommends selling the shares, indicating a cautious outlook on Kraft Heinz's future [6]