When most people think of H.J. Heinz (HNZ), they think of ketchup. But there's a lot more to Heinz's business than that.
Even though the popular "57 varieties" tag line created by Henry Heinz in 1896 was basically made up at the time, the firm boasts a massive product portfolio today. Besides its namesake brand, Heinz also produces everything from soup and baby food to Ore-Ida frozen French fries.>>10 Century-Old Blue-Chips Still Earning Their Keep I'm not trying to downplay the importance of condiments to the Pittsburgh-based firm: Heinz brand accounts for approximately 40% of the firm's total sales, with restaurants contributing around 15% to HZN's top line. While rising input costs have been a challenge for Heinz in the last couple of years, the firm has done a commendable job of keeping its net margins around that double-digit mark. Going forward a pullback in soft commodity prices should help improve profitability. Close to two-thirds of Heinz's sales come from abroad right now. While that's been a detractor because of the strength of the dollar as a flight-to-quality asset, Heinz's international positioning is a positive that should ultimately have some tailwinds as other currencies start to pick up strength. In the meantime, the firm's dollar-denominated 3.7% dividend yield should keep investors interested in shares.