A Potential Berkshire Exit Casts a Shadow Over Kraft Heinz

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The investment landscape at Berkshire Hathaway is undergoing a significant shift under its new leadership, and Kraft Heinz appears to be caught in the crosshairs. Recent regulatory filings indicate a major divestment could be on the horizon, sending the food giant's shares to multi-year lows.

A January 21, 2026, filing with the U.S. Securities and Exchange Commission (SEC) revealed that Berkshire Hathaway is considering the sale of its entire stake in Kraft Heinz. This position amounts to 27.5% of the company, equating to approximately 325.4 million shares. At current valuations, this holding is worth around $8.5 billion.

The market's reaction was swift and severe. Following the news, Kraft Heinz stock plummeted to a six-year low of $21.99. While shares managed a slight recovery to close at $23.20 by Friday, market observers largely attribute this uptick to technical factors, such as short sellers covering their positions. The overwhelming overhang of nearly 325 million shares potentially flooding the market continues to suppress the price.

Leadership Change Triggers Portfolio Review

This potential move coincides with the transition at the top of Berkshire Hathaway. Greg Abel officially assumed the role of CEO on January 1, 2026, and has since initiated a review of the conglomerate's vast portfolio. The planned exit from Kraft Heinz represents one of the most substantial shifts in strategy under the new management.

The timing presents a considerable challenge for Kraft Heinz. The company had previously announced, in September 2025, its own intention to split into two separate publicly traded entities in the latter half of 2026. This corporate restructuring, designed to spur growth, has already faced skepticism. Notably, Warren Buffett—who preceded Abel—publicly expressed his disappointment with the planned separation.

Analyst Sentiment Turns Negative

The uncertainty has prompted several major financial institutions to revise their outlooks. BNP Paribas recently downgraded Kraft Heinz to an "Underperform" rating, setting a price target of $22. Analysts at JPMorgan Chase also reduced their target, lowering it to $24 per share.

Prominent financial commentator Jim Cramer has echoed the cautious stance, describing the proposed corporate split as a "difficult undertaking." He further cited persistent industry headwinds, including declining demand linked to the growing use of weight-loss medications, as structural problems facing the sector.

All eyes are now on the upcoming quarterly earnings report scheduled for February 11, 2026. Investors will scrutinize the results for signs of stabilization in sales volumes. However, as long as the threat of a massive block sale by Berkshire Hathaway looms over the stock, any significant recovery is likely to be limited.