KRAFT HEINZ CO/THE (KHNZ.DE) Stock Fundamental Analysis
FRA:KHNZ - Deutsche Boerse Ag - US5007541064 - Common Stock - Currency: EUR
Overall KHNZ gets a fundamental rating of 5 out of 10. We evaluated KHNZ against 56 industry peers in the Food Products industry. While KHNZ has a great profitability rating, there are quite some concerns on its financial health. KHNZ is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year KHNZ was profitable.
In the past year KHNZ had a positive cash flow from operations.
KHNZ had positive earnings in each of the past 5 years.
KHNZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KHNZ has a Return On Assets (2.94%) which is comparable to the rest of the industry.
KHNZ has a Return On Equity (5.37%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 4.98%, KHNZ perfoms like the industry average, outperforming 55.36% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for KHNZ is in line with the industry average of 6.33%.
The 3 year average ROIC (4.97%) for KHNZ is below the current ROIC(4.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | 5.37% | ||
| ROIC | 4.98% |
ROA(3y)2.96%
ROA(5y)2.06%
ROE(3y)5.4%
ROE(5y)3.79%
ROIC(3y)4.97%
ROIC(5y)4.89%
1.3 Margins
KHNZ has a Profit Margin of 10.44%. This is amongst the best in the industry. KHNZ outperforms 82.14% of its industry peers.
KHNZ's Profit Margin has improved in the last couple of years.
KHNZ's Operating Margin of 20.76% is amongst the best of the industry. KHNZ outperforms 96.43% of its industry peers.
In the last couple of years the Operating Margin of KHNZ has remained more or less at the same level.
KHNZ's Gross Margin of 34.58% is in line compared to the rest of the industry. KHNZ outperforms 41.07% of its industry peers.
In the last couple of years the Gross Margin of KHNZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.76% | ||
| PM (TTM) | 10.44% | ||
| GM | 34.58% |
OM growth 3Y1.51%
OM growth 5Y0.42%
PM growth 3Y39.8%
PM growth 5Y6.51%
GM growth 3Y1.31%
GM growth 5Y1.14%
2. Health
2.1 Basic Checks
KHNZ has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for KHNZ has been reduced compared to 1 year ago.
The number of shares outstanding for KHNZ has been reduced compared to 5 years ago.
Compared to 1 year ago, KHNZ has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.00, we must say that KHNZ is in the distress zone and has some risk of bankruptcy.
KHNZ has a worse Altman-Z score (1.00) than 78.57% of its industry peers.
The Debt to FCF ratio of KHNZ is 7.14, which is on the high side as it means it would take KHNZ, 7.14 years of fcf income to pay off all of its debts.
KHNZ has a Debt to FCF ratio (7.14) which is in line with its industry peers.
A Debt/Equity ratio of 0.42 indicates that KHNZ is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.42, KHNZ is doing good in the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 7.14 | ||
| Altman-Z | 1 |
ROIC/WACC0.72
WACC6.92%
2.3 Liquidity
A Current Ratio of 1.31 indicates that KHNZ should not have too much problems paying its short term obligations.
With a Current ratio value of 1.31, KHNZ perfoms like the industry average, outperforming 46.43% of the companies in the same industry.
A Quick Ratio of 0.81 indicates that KHNZ may have some problems paying its short term obligations.
KHNZ has a Quick ratio of 0.81. This is comparable to the rest of the industry: KHNZ outperforms 42.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.34% over the past year.
The Earnings Per Share has been growing slightly by 1.43% on average over the past years.
KHNZ shows a decrease in Revenue. In the last year, the revenue decreased by -4.25%.
The Revenue has been growing slightly by 0.69% on average over the past years.
EPS 1Y (TTM)0.34%
EPS 3Y1.34%
EPS 5Y1.43%
EPS Q2Q%-10.14%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y-0.25%
Revenue growth 5Y0.69%
Sales Q2Q%-6.43%
3.2 Future
KHNZ is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.20% yearly.
Based on estimates for the next years, KHNZ will show a small growth in Revenue. The Revenue will grow by 0.63% on average per year.
EPS Next Y-14.56%
EPS Next 2Y-6.25%
EPS Next 3Y-2.59%
EPS Next 5Y2.2%
Revenue Next Year-3.75%
Revenue Next 2Y-1.56%
Revenue Next 3Y-0.59%
Revenue Next 5Y0.63%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.87, which indicates a very decent valuation of KHNZ.
KHNZ's Price/Earnings ratio is rather cheap when compared to the industry. KHNZ is cheaper than 83.93% of the companies in the same industry.
KHNZ is valuated cheaply when we compare the Price/Earnings ratio to 26.25, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.88 indicates a reasonable valuation of KHNZ.
Based on the Price/Forward Earnings ratio, KHNZ is valued a bit cheaper than the industry average as 73.21% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.15. KHNZ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.87 | ||
| Fwd PE | 9.88 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KHNZ is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, KHNZ is valued a bit cheaper than 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.39 | ||
| EV/EBITDA | 7.97 |
4.3 Compensation for Growth
The decent profitability rating of KHNZ may justify a higher PE ratio.
KHNZ's earnings are expected to decrease with -2.59% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)6.19
EPS Next 2Y-6.25%
EPS Next 3Y-2.59%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.92%, KHNZ is a good candidate for dividend investing.
In the last 3 months the price of KHNZ has falen by -20.67%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.16, KHNZ pays a better dividend. On top of this KHNZ pays more dividend than 94.64% of the companies listed in the same industry.
KHNZ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.92% |
5.2 History
Dividend Growth(5Y)0%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
KHNZ pays out 72.39% of its income as dividend. This is not a sustainable payout ratio.
DP72.39%
EPS Next 2Y-6.25%
EPS Next 3Y-2.59%
FRA:KHNZ (6/2/2025, 9:05:22 AM)
23.42
-0.03 (-0.13%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners59.39%
Inst Owner ChangeN/A
Ins Owners0.26%
Ins Owner ChangeN/A
Market Cap27.72B
Analysts55.48
Price Target27.56 (17.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.92% |
Yearly Dividend1.41
Dividend Growth(5Y)0%
DP72.39%
Div Incr Years0
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.36%
Min EPS beat(2)1.8%
Max EPS beat(2)6.92%
EPS beat(4)4
Avg EPS beat(4)3.55%
Min EPS beat(4)0.43%
Max EPS beat(4)6.92%
EPS beat(8)7
Avg EPS beat(8)3.21%
EPS beat(12)11
Avg EPS beat(12)4.96%
EPS beat(16)15
Avg EPS beat(16)7.11%
Revenue beat(2)0
Avg Revenue beat(2)-1.79%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)-1.28%
Revenue beat(4)0
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)-1.28%
Revenue beat(8)0
Avg Revenue beat(8)-2.09%
Revenue beat(12)4
Avg Revenue beat(12)-0.96%
Revenue beat(16)7
Avg Revenue beat(16)-0.3%
PT rev (1m)-1.76%
PT rev (3m)-21.05%
EPS NQ rev (1m)-1.05%
EPS NQ rev (3m)-7.94%
EPS NY rev (1m)-3.26%
EPS NY rev (3m)-3.52%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.87 | ||
| Fwd PE | 9.88 | ||
| P/S | 1.24 | ||
| P/FCF | 10.39 | ||
| P/OCF | 7.6 | ||
| P/B | 0.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.97 |
EPS(TTM)2.64
EY11.27%
EPS(NY)2.37
Fwd EY10.13%
FCF(TTM)2.25
FCFY9.62%
OCF(TTM)3.08
OCFY13.15%
SpS18.95
BVpS36.86
TBVpS-14.49
PEG (NY)N/A
PEG (5Y)6.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | 5.37% | ||
| ROCE | 6.36% | ||
| ROIC | 4.98% | ||
| ROICexc | 5.15% | ||
| ROICexgc | 36.43% | ||
| OM | 20.76% | ||
| PM (TTM) | 10.44% | ||
| GM | 34.58% | ||
| FCFM | 11.89% |
ROA(3y)2.96%
ROA(5y)2.06%
ROE(3y)5.4%
ROE(5y)3.79%
ROIC(3y)4.97%
ROIC(5y)4.89%
ROICexc(3y)5.05%
ROICexc(5y)5.02%
ROICexgc(3y)48.4%
ROICexgc(5y)52.54%
ROCE(3y)6.35%
ROCE(5y)6.25%
ROICexcg growth 3Y-16.8%
ROICexcg growth 5Y-7.23%
ROICexc growth 3Y1.76%
ROICexc growth 5Y3.9%
OM growth 3Y1.51%
OM growth 5Y0.42%
PM growth 3Y39.8%
PM growth 5Y6.51%
GM growth 3Y1.31%
GM growth 5Y1.14%
F-Score6
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 7.14 | ||
| Debt/EBITDA | 3.36 | ||
| Cap/Depr | 116.75% | ||
| Cap/Sales | 4.36% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.36% | ||
| Profit Quality | 113.94% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 1 |
F-Score6
WACC6.92%
ROIC/WACC0.72
Cap/Depr(3y)108.79%
Cap/Depr(5y)97.47%
Cap/Sales(3y)3.92%
Cap/Sales(5y)3.5%
Profit Quality(3y)93.19%
Profit Quality(5y)387.46%
High Growth Momentum
Growth
EPS 1Y (TTM)0.34%
EPS 3Y1.34%
EPS 5Y1.43%
EPS Q2Q%-10.14%
EPS Next Y-14.56%
EPS Next 2Y-6.25%
EPS Next 3Y-2.59%
EPS Next 5Y2.2%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y-0.25%
Revenue growth 5Y0.69%
Sales Q2Q%-6.43%
Revenue Next Year-3.75%
Revenue Next 2Y-1.56%
Revenue Next 3Y-0.59%
Revenue Next 5Y0.63%
EBIT growth 1Y-0.79%
EBIT growth 3Y1.26%
EBIT growth 5Y1.11%
EBIT Next Year10.65%
EBIT Next 3Y4.34%
EBIT Next 5Y5.49%
FCF growth 1Y101.53%
FCF growth 3Y-12.18%
FCF growth 5Y1.64%
OCF growth 1Y67.4%
OCF growth 3Y-7.95%
OCF growth 5Y3.33%