The increase in short interest for Kraft Heinz suggests that investors are becoming more bearish on the stock. However, since the short interest is below the peer group average, it indicates that while there is a negative sentiment, it is not as pronounced as it could be. This nuanced view is critical for short-term trading strategies, as it suggests potential volatility or downward pressure on the stock price, but also indicates that the sentiment is not overwhelmingly negative compared to its peers.