Stock Research Report for HNZ as of 2/29/12 - Chaikin Power Tools

Page 1

Heinz (Hj) Co (HNZ)

Price: $52.79

Industry: Food Chaikin Power Gauge Report | Generated: Wed Feb 29 11:51 EST 2012 Power Gauge Rating

HNZ - Very Bearish TM

The Chaikin Power Gauge Rating for HNZ is very bearish due to very poor financial metrics and very negative expert opinions. The rating also reflects strong earnings performance. HNZ's financial metrics are very poor due to a high long term debt to equity ratio relative to its industry group and high price to book value ratio.

News Sentiment Rating

Neutral HNZ Heinz (Hj) Co

February 17, 2012

TM

Chaikin Sentiment Gauge for HNZ is neutral. Stories concerning HNZ have a balanced or neutral sentiment.

News Sentiment :Neutral

Power Trend - 5 Year Chart

The Power Gauge distills a 20 factor model into a concise picture of a stock's potential.

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High Potential

Neutral

Low Potential

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Financials & Earnings

Financial Metrics Rating

Financial Metrics

Very Bearish

LT Debt/Equity Ratio

HNZ's financial metrics are very poor. The company is carrying too much long term debt relative to its industry group and may be overvalued.

Price to Book Value

The rank is based on a high long term debt to equity ratio relative to its industry group, high price to book value ratio, high return on equity, high price to sales ratio and relatively low cash flow.

Return on Equity

Price to Sales Ratio

Business Value

Assets and Liabilities

Valuation

Returns

Ratio

TTM

Ratio

TTM

Ratio

Current Ratio

1.19

Price/Book

5.82

Return on Invest

15.0%

LT Debt/Equity

0.97

Price/Sales

1.58

Return on Equity

34.6%

Earnings Performance

TTM

Earnings Performance Rating

Bullish

Earnings Growth

HNZ's earnings performance has been strong. The company has a stable 5 year earnings trend and has a history of strong earnings growth.

Earnings Surprise

The rank is based on high earnings growth over the past 3-5 years, better than expected earnings in recent quarters, a relatively poor trend in earnings this year and consistent earnings over the past 5 years.

Earnings Trend

Projected P/E Ratio

Earnings Consistency

5 Year Revenue and Earnings Growth

Revenue(M) Rev % Growth EPS EPS % Growth

EPS Estimates

04/07

04/08

04/09

04/10

04/11

9,001.63

10,070.78

10,148.08

10,494.98

10,706.59

4.14%

11.88%

0.77%

3.42%

2.02%

$2.39

$2.67

$2.94

$2.74

$3.09

25.79%

11.72%

10.11%

-6.80%

12.77%

EPS Surprise

Factor

Actual EPS Prev

EST EPS Current

Change

$0.70

$0.79

+0.09

Quarterly EPS Yearly EPS Factor

$3.09

$3.34

+0.25

Actual EPS Growth

Est EPS Growth

Change

4.44%

8.00%

+3.56

3-5 year EPS

EPS Quarterly Results Estimate

Actual

Difference

% Difference

FY

Qtr 1

Qtr 2

Qtr 3

Qtr 4

Total

Latest Qtr

$0.85

$0.95

$0.10

1 Qtr Ago

$0.80

$0.81

$0.01

11.76

04/10

$0.67

$0.73

$0.72

$0.61

$2.73

1.25

04/11

$0.76

$0.78

$0.85

$0.70

$3.09

2 Qtr Ago

$0.76

$0.78

3 Qtr Ago

$0.72

$0.71

$0.02

2.63

04/12

$0.70

$0.74

$0.89

-

-

$-0.01

-1.39

Fiscal Year End Month is April.

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Price Trend & Expert Opinions Price/Volume Activity

Price/Volume Activity Rating

Neutral

Relative Strength vs Market

Price and volume activity for HNZ is neutral. HNZ is trading on higher volume than its 90 day average volume and is experiencing sustained selling.

Chaikin Money Flow

Price Trend

The rank for HNZ is based on its relative weakness versus the market, negative Chaikin money flow, a negative Chaikin price trend, a positive Chaikin price trend ROC and an increasing volume trend.

Price Trend ROC

Volume Trend

Relative Strength vs S&P500 Index

Chaikin Money Flow

Chart shows whether HNZ is performing better or worse than the market.

Chaikin Money Flow analyzes supply and demand for a company's stock.

Price Activity

Price Activity

Volume Activity

Factor

Value

Factor

Value

Factor

52 Week High

54.92

% Change Price - 4 Weeks

1.79%

Average Volume 20 Days

2,141,607

52 Week Low

48.33

% Change Price - 24 Weeks

5.27%

Average Volume 90 Days

1,990,278

% Change YTD Rel S&P 500

-8.96%

Expert Opinions

% Change Price - 4 Wks Rel to S&P

-2.64%

% Change Price - 24 Wks Rel to S&P

-10.02%

Value

Chaikin Money Flow Persistency

35%

Expert Opinions

Very Bearish

Earnings Estimate Revisions

Expert opinions about HNZ are very negative. Insiders are not net buyers of HNZ's stock and analysts's opinions on HNZ have been more negative recently.

Short Interest

Insider Activity

The rank for HNZ is based on insiders not purchasing significant amounts of stock, pessimistic analyst opinions and relative weakness of the stock versus the Food industry group.

Analyst Opinions

Relative Strength vs Industry

Earnings Estimate Revisions Current Current Qtr Next Qtr

0.79 0.83 Current

Current FY

3.34

Analyst Recommendations

7 Days Ago % Change 0.79 0.83

0.00% 0.00%

30 Days Ago % Change 3.33

0.01

Factor Mean this Week Mean Last Week

EPS Estimates Revision Summary Value

Buy 0.00

Mean 5 Weeks Ago

Buy

Last 4 Weeks

Down

Up

Down

Curr Qtr

0

0

0

10

Curr Yr

0

0

6

3

Next Qtr

0

0

4

1

Next Yr

0

0

3

6

Buy

Change

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Last Week Up

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The Company & Its Competitors

News Headlines for HNZ

HNZ's Competitors in Food Company

Power Gauge

Historic EPS growth

Projected EPS growth

Profit Margin

PEG

PE

Revenue(M)

HNZ

4.44%

8.00%

8.46%

1.98

16.24

10,707

KFT

9.95%

8.00%

6.49%

1.89

16.59

54,365

UL

4.45%

5.25%

-

2.83

15.75

61,220

UN

4.38%

5.75%

-

2.61

15.96

61,220

Identity of Bellisio buyer revealed - Dec 18, 2011 Private equity firm says it is the buyer of Bellisio Foods - Dec 17, 2011 State Street rises on activist shareholder letter Oct 17, 2011 Heinz® Dip & Squeeze® Ketchup Heads Home with Nationwide Retail Launch - Sep 19, 2011 Heinz® Ketchup Celebrates the Availability of PlantBottle™ Packaging with Eco-Themed Sweepstakes - Sep 15, 2011

Company Details

Company Profile

Heinz (Hj) Co 1 PPG PLACE SUITE 3100 PITTSBURGH, PA 15230 USA Phone: 4124565700 Fax: 412-456-6015 Website: http://http://www.heinz.com Full Time Employees: 34,800 Sector: Consumer Staples

H. J. Heinz Company and its subsidiaries manufacture and market an extensive line of processed food products throughout the world. The company's principal products include ketchup, condiments and sauces, frozen food, pet food, soups, beans and pasta meals, tuna and other seafood products, infant food and other processed food products.

Power Gauge Ratings are created using a relative ranking system that assigns a rank of 0 to 100 (100 being the highest) to each stock in the universe. Rank is calculated by evaluating each of the stocks factors and combining them into a single number using a weighting formula. A stock's rank ranges from 100-0, where 100 is the strongest, and a rank of 95 indicates the stock is better than 95% of the stocks in the universe. Chaikin Stock Research(CSR) is not registered as a securities broker dealer or investment advisor with either the U.S. Securities and Exchange Commission or with any state securities regulatory authority. CSR is not responsible for trades executed by users of this research report, our web site or mobile app based on the information included herein. The information presented in this report does not represent a recommendation to buy or sell stocks or any financial instrument nor is it intended as an endorsement of any security or investment. The information in this report is generic by nature and is not personalized to the specific financial situation of any individual. The user bears complete responsibility for their own investment research and should seek the advice of a qualified investment professional before making any investment decisions. Copyright (c) 1978-(Present) by ZACKS Investment Research, Inc ("ZACKS"). The information, data, analyses and opinions contained herein (1) includes the confidential and proprietary information of ZACKS, (2) may not be copied or redistributed, for any purpose, (3) does not constitute investment advice offered by ZACKS, (4) are provided solely for informational purposes, and (5) are not warranted or represented to be correct, complete, accurate or timely. ZACKS shall not be responsible for investment decisions, damages or other losses resulting from, or related to, use of this information, data, analyses or opinions. Past performance is no guarantee of future performance. ZACKS is not affiliated with Chaikin Power Tools. This report from Chaikin Power Tools is for informational purposes only and is not a recommendation to buy or sell securities.

LM 2.3 DS 3.0 LS 2.1

Data Provided by ZACKS Investment Research, Inc., www.zacks.com

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