KRAFT HEINZ CO/THE (KHNZ.DE) Stock Fundamental Analysis
FRA:KHNZ - Deutsche Boerse Ag - US5007541064 - Common Stock - Currency: EUR
KHNZ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 59 industry peers in the Food Products industry. While KHNZ is still in line with the averages on profitability rating, there are concerns on its financial health. KHNZ is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
KHNZ had positive earnings in the past year.
KHNZ had a positive operating cash flow in the past year.
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's Return On Assets of 2.94% is in line compared to the rest of the industry. KHNZ outperforms 49.15% of its industry peers.
Looking at the Return On Equity, with a value of 5.37%, KHNZ is in line with its industry, outperforming 44.07% of the companies in the same industry.
KHNZ has a Return On Invested Capital (4.98%) which is comparable to the rest of the industry.
KHNZ had an Average Return On Invested Capital over the past 3 years of 4.97%. This is in line with the industry average of 6.91%.
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 in the better half of the industry: KHNZ outperforms 79.66% of its industry peers.
In the last couple of years the Profit Margin of KHNZ has grown nicely.
KHNZ has a Operating Margin of 20.76%. This is amongst the best in the industry. KHNZ outperforms 96.61% 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 has a Gross Margin (34.58%) which is comparable to the rest of the industry.
KHNZ's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KHNZ is destroying value.
Compared to 1 year ago, KHNZ has less shares outstanding
KHNZ has less shares outstanding than it did 5 years ago.
KHNZ has a worse debt/assets ratio than last year.
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 77.97% 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 of 7.14. This is comparable to the rest of the industry: KHNZ outperforms 45.76% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that KHNZ is not too dependend on debt financing.
The Debt to Equity ratio of KHNZ (0.42) is better than 71.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 7.14 | ||
| Altman-Z | 1 |
ROIC/WACC0.74
WACC6.7%
2.3 Liquidity
A Current Ratio of 1.31 indicates that KHNZ should not have too much problems paying its short term obligations.
The Current ratio of KHNZ (1.31) is comparable to the rest of the industry.
A Quick Ratio of 0.81 indicates that KHNZ may have some problems paying its short term obligations.
KHNZ has a Quick ratio (0.81) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
KHNZ shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.34%.
KHNZ shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.43% yearly.
Looking at the last year, KHNZ shows a decrease in Revenue. The Revenue has decreased by -4.25% in the last year.
KHNZ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.69% yearly.
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 1.39% yearly.
KHNZ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.23% yearly.
EPS Next Y-14.59%
EPS Next 2Y-6.3%
EPS Next 3Y-2.61%
EPS Next 5Y1.39%
Revenue Next Year-3.69%
Revenue Next 2Y-1.51%
Revenue Next 3Y-0.52%
Revenue Next 5Y0.23%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.67 indicates a reasonable valuation of KHNZ.
Based on the Price/Earnings ratio, KHNZ is valued cheaper than 81.36% of the companies in the same industry.
When comparing the Price/Earnings ratio of KHNZ to the average of the S&P500 Index (27.30), we can say KHNZ is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 9.65, the valuation of KHNZ can be described as reasonable.
Based on the Price/Forward Earnings ratio, KHNZ is valued a bit cheaper than the industry average as 71.19% of the companies are valued more expensively.
KHNZ is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.67 | ||
| Fwd PE | 9.65 |
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.
76.27% of the companies in the same industry are more expensive than KHNZ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.15 | ||
| EV/EBITDA | 7.87 |
4.3 Compensation for Growth
KHNZ has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as KHNZ's earnings are expected to decrease with -2.61% in the coming years.
PEG (NY)N/A
PEG (5Y)6.06
EPS Next 2Y-6.3%
EPS Next 3Y-2.61%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.04%, KHNZ is a good candidate for dividend investing.
KHNZ's Dividend Yield is rather good when compared to the industry average which is at 3.34. KHNZ pays more dividend than 94.92% of the companies in the same industry.
KHNZ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.04% |
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-6.3%
EPS Next 3Y-2.61%
FRA:KHNZ (7/10/2025, 3:30:26 PM)
22.2
-0.12 (-0.56%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners59.48%
Inst Owner ChangeN/A
Ins Owners0.28%
Ins Owner ChangeN/A
Market Cap26.27B
Analysts54.84
Price Target27.07 (21.94%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.04% |
Yearly Dividend1.37
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)-1.1%
PT rev (3m)-10.09%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-7.62%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)-3.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.03%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.67 | ||
| Fwd PE | 9.65 | ||
| P/S | 1.21 | ||
| P/FCF | 10.15 | ||
| P/OCF | 7.43 | ||
| P/B | 0.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.87 |
EPS(TTM)2.56
EY11.53%
EPS(NY)2.3
Fwd EY10.36%
FCF(TTM)2.19
FCFY9.85%
OCF(TTM)2.99
OCFY13.46%
SpS18.39
BVpS35.77
TBVpS-14.06
PEG (NY)N/A
PEG (5Y)6.06
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
WACC6.7%
ROIC/WACC0.74
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-14.59%
EPS Next 2Y-6.3%
EPS Next 3Y-2.61%
EPS Next 5Y1.39%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y-0.25%
Revenue growth 5Y0.69%
Sales Q2Q%-6.43%
Revenue Next Year-3.69%
Revenue Next 2Y-1.51%
Revenue Next 3Y-0.52%
Revenue Next 5Y0.23%
EBIT growth 1Y-0.79%
EBIT growth 3Y1.26%
EBIT growth 5Y1.11%
EBIT Next Year10.65%
EBIT Next 3Y4.34%
EBIT Next 5Y5.07%
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%