Kraft Heinz forecast annual profit below estimates and missed quarterly sales estimates on Wednesday, as the packaged food maker struggles with sluggish demand for its products such as Lunchables and packaged meat following price hikes.

Kraft Heinz forecast annual profit below estimates and missed quarterly sales estimates on Wednesday, as the packaged food maker struggles with sluggish

The average consumer staples company is offering investors a roughly 2.8% dividend yield. Conagra 's ( CAG 0.89%) 5.1% yield is much higher than that, with Kraft Heinz 's ( KHC 2.20%) 5.4% yield higher still.

The company said it’s “committed to making the necessary investments to drive top-line improvement, while remaining disciplined.”

Consumer staples companies that make food products, which is basically what both Kraft Heinz and Coca-Cola offer, are dealing with a shifting landscape. This is a material issue among investors, who seem to fear that the future will be more bleak than the past.

Key Takeaways U.S. equities dropped at midday when the January report on consumer prices showed inflation rose more than had been expected.Shares of companies in the homebuilding industry fell as the inflation data raised worries about higher mortgage rates ahead.