Kraft Heinz's Trading Volume Drops 27.14% to 80th Position Amid Restructuring Rumors

On July 14, 2025, The's trading volume reached 10.29 billion, marking a 27.14% decrease from the previous day. This placed The in the 80th position in terms of trading volume for the day.

Kraft Heinz is reportedly considering a significant corporate restructuring, which could involve splitting into two distinct entities. This potential move comes as the company faces a series of poor financial results and a strategic review of its business operations. The proposed split would separate the company's grocery business from its sauces and condiments division, which includes iconic brands like Heinz ketchup and Grey Poupon Dijon mustard.

Analysts have suggested that this restructuring could be a response to the failed 2015 merger between Kraft Foods and HJ Heinz. The merger, which was initially hailed as a strategic move, has since been criticized for its lack of success. The company's shares have significantly declined since the merger, trading at $27.14 in New York compared to around $88 at the time of the deal's completion.

Berkshire Hathaway, led by Warren Buffett, is reportedly considering the disposal of its estimated 27% stake in Kraft Heinz. Meanwhile, private-equity firm 3G Capital, which was involved in the 2015 merger, has already sold its shares in 2023. The company's CEO, Carlos Abrams-Rivera, has pledged to "unlock shareholder value" as part of the strategic review, which could include the potential spin-off of a significant portion of its grocery business.

Kraft Heinz's financial performance has been underwhelming, with reported sales dropping 3% to $25.85 billion in 2024. The company's net income also fell to $2.74 billion, and its operating profit slumped by 63.2% to $1.7 billion. These challenges have been echoed in the first quarter of 2025, with net sales dropping 6.4% and operating income decreasing by 8.1%. The company has also cut its 2025 outlook to factor in potential upward pressure on input-cost inflation due to changes in tariffs.

Industry analysts have weighed in on the potential spin-off, with some suggesting that the move could unlock value within the higher-growth and higher-margin remaining businesses. Stifel analysts believe that the slower-growing assets, such as Oscar Mayer meats and Jell-O desserts, could be spun off, while the faster-growing assets, including sauces and condiments, would remain with Kraft Heinz. TD Cowen analyst Robert Moskow estimated the likely valuation of the grocery business spin-off at $14.5 billion, suggesting that a strategic acquirer could step in to buy the sauces and condiments business.