Kraft Foods, Inc.’s (KFT) Fourth-Quarter Review
February 16, 2010 5:23 PM
Analysts David Palmer and Jeffrey Birnbaum at UBS (NYSE: UBS) have released a report reviewing the fourth-quarter at Kraft Foods, Inc. (NYSE: KFT). The company has reported results for the fourth-quarter today.
The company managed to surpass EPS expectations. However, analysts believe that investors were equally focused on the volume/mix line, which increased by 1.6%. The expectations were for an increase of 3%. The company reported gross margins of 37.5%, which came in ahead of analysts’ estimate of 34.1%.
Analysts believe that the growth prospects for Kraft have increased as the company has increased its exposure to international markets, especially the emerging markets, and to C-stores. The company also has a better product mix, according to analysts.
Analysts at UBS continue to rate Kraft Foods, Inc. as a Buy, with a 12-month price target of $33.
