Kraft Heinz to rally 20%, says Deutsche Bank

Adam Jeffery | CNBC

Investors should buy Kraft Heinz on the prospect of better-than-expected cost cutting, according to Deutsche Bank, which raised its rating on the food company to buy from hold.

The firm's second-quarter earnings results on Thursday beat Wall Street estimates.

"We believe Kraft Heinz is an attractive long-term story with industry-leading margins, solid market share positions across its portfolio," analyst Mario Contreras wrote in a note to clients Friday.

"In the near term, we believe Kraft Heinz can exceed its cost savings target and will continue to benefit from a favorable input cost environment."