Kraft Heinz Board Authorizes Share Repurchase Program Of Up To $3B Of The Co's Outstanding Shares Of Common Stock Through December 26, 2026
Portfolio Pulse from Benzinga Newsdesk
The Kraft Heinz Company (NASDAQ:KHC) has announced a share repurchase program authorized by its Board of Directors. The program allows for the repurchase of up to $3 billion of the company's outstanding common stock through December 26, 2026. The repurchases will be funded with excess cash and are part of a capital allocation strategy that includes capital spending, dividend payments, maintaining a targeted Net Leverage of approximately 3.0x, and evaluating strategic opportunities. CEO Miguel Patricio emphasized the company's strong balance sheet and the attractiveness of its shares as an investment opportunity. The repurchase program is flexible and may be adjusted, suspended, or discontinued depending on various factors, including market conditions and stock price.
November 27, 2023 | 1:48 pm
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Kraft Heinz has initiated a $3 billion share repurchase program, signaling confidence in the company's financial health and a commitment to returning value to shareholders.
Share repurchase programs often lead to a positive short-term impact on a company's stock price as they can indicate management's confidence in the company's value and future. It also reduces the number of shares outstanding, potentially increasing earnings per share. However, the actual impact will depend on market conditions, the execution of the buyback, and investor sentiment.
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