Bill Gates' foundation trust and Warren Buffett's Berkshire Hathaway both held Kraft Heinz as of the end of the second quarter, according to latest 13F filings. Berkshire's position made up 2.6% of its book, while the Gates Foundation stake was worth about $58.4 million. New CEO Steve Cahillane is showing progress, with full-year organic sales guidance improved to a decline of 0.5% to 2% from a prior forecast of a decline of 1.5% to 3.5%, and free cash flow rose 10% year over year in the recent quarter. Cahillane purchased 213,106 shares at $23.46 in May, worth roughly $5 million, bringing his total holdings to 635,160 shares. Bears note adjusted operating income fell 18.4% last quarter and average five-year returns across major packaged food stocks sit at negative 16% versus gains of 86% for the S&P 500.
The Kraft Heinz CompanyImproved organic sales guidance and higher free cash flow signal better performance.
Berkshire Hathaway Inc