Kraft Heinz stock trades at lower valuation than PepsiCo and market index

Financial analysts have looked at Kraft Heinz's stock to decide if it is a good buy or a value trap. A value trap is when a stock looks cheap but is cheap for a good reason. Kraft Heinz shares trade at a price-to-sales ratio of 1.2, lower than PepsiCo's 1.8, but higher than the average US food company at 0.8. Both food companies trade well below the broader S&P 500 index, which sits at 3.8. Kraft Heinz also looks cheap on forward earnings, at 12.4 times. The company has sold off weaker brands and focused on higher-profit products. Analysts have set an average target price of around $25.47 per share, above the current trading price of roughly $24.