Is There More Bad News Ahead for This Already Struggling Industry?

On the May 4, 2026, episode of The Morning Filter podcast, David Sekera and Susan Dziubinski discussed Kraft Heinz KHC and the packaged foods industry. During the conversation, Sekera explained why the industry may be facing more unexpected headwinds in 2026. Here’s an excerpt from the show.

Susan Dziubinski: Kraft Heinz has been a pick of yours in the past. Stock’s in the red this year and deeply undervalued relative to Morningstar’s $42 fair value. What should we be listening for on the earnings call?

David Sekera: Well, and it’s not just Kraft. I mean, it’s all of these food names. We’re trying to find out: Are we finally getting to the point where the impact from the GLP-1 drugs … are we at the point where those are going to start having a less negative impact on results? The problem with the food names now is that it’s not necessarily the only issue. We have rising oil prices and rising commodity prices, so you’re going to see higher packaging costs that these companies are going to have to push through. They’re going to suffer from higher transportation costs. We’ve talked on the show a couple of times over the past month or so. Wheat, corn, and soybean prices—all of those are going up, so a lot of their input costs are going to be going up as well. So, unfortunately for the food names, these are now just new headwinds that they have to contend with that we weren’t anticipating, even just a few months ago in our forecasts.

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