KRAFT HEINZ CO/THE (1KHC.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1KHC - US5007541064 - Common Stock
23.685 EUR
-0.1 (-0.42%)
Taking everything into account, 1KHC scores 4 out of 10 in our fundamental rating. 1KHC was compared to 55 industry peers in the Food Products industry. While 1KHC is still in line with the averages on profitability rating, there are concerns on its financial health. 1KHC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1KHC had positive earnings in the past year.
In the past year 1KHC had a positive cash flow from operations.
Each year in the past 5 years 1KHC has been profitable.
Each year in the past 5 years 1KHC had a positive operating cash flow.
1.2 Ratios
1KHC's Return On Assets of -6.46% is on the low side compared to the rest of the industry. 1KHC is outperformed by 83.33% of its industry peers.
1KHC's Return On Equity of -12.74% is on the low side compared to the rest of the industry. 1KHC is outperformed by 80.00% of its industry peers.
1KHC's Return On Invested Capital of 5.58% is in line compared to the rest of the industry. 1KHC outperforms 53.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1KHC is in line with the industry average of 6.93%.
The last Return On Invested Capital (5.58%) for 1KHC is above the 3 year average (4.97%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.46% | ||
| ROE | -12.74% | ||
| ROIC | 5.58% |
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
In the last couple of years the Profit Margin of 1KHC has grown nicely.
1KHC has a better Operating Margin (20.52%) than 95.00% of its industry peers.
In the last couple of years the Operating Margin of 1KHC has remained more or less at the same level.
1KHC has a Gross Margin of 34.31%. This is comparable to the rest of the industry: 1KHC outperforms 43.33% of its industry peers.
1KHC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.52% | ||
| PM (TTM) | N/A | ||
| GM | 34.31% |
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 1KHC is destroying value.
Compared to 1 year ago, 1KHC has less shares outstanding
The number of shares outstanding for 1KHC has been reduced compared to 5 years ago.
Compared to 1 year ago, 1KHC has a worse debt to assets ratio.
2.2 Solvency
1KHC has an Altman-Z score of 0.92. This is a bad value and indicates that 1KHC is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.92, 1KHC is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
The Debt to FCF ratio of 1KHC is 6.07, which is on the high side as it means it would take 1KHC, 6.07 years of fcf income to pay off all of its debts.
1KHC has a Debt to FCF ratio (6.07) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.47 indicates that 1KHC is not too dependend on debt financing.
1KHC has a Debt to Equity ratio of 0.47. This is comparable to the rest of the industry: 1KHC outperforms 58.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 6.07 | ||
| Altman-Z | 0.92 |
ROIC/WACC0.84
WACC6.66%
2.3 Liquidity
A Current Ratio of 1.07 indicates that 1KHC should not have too much problems paying its short term obligations.
1KHC's Current ratio of 1.07 is on the low side compared to the rest of the industry. 1KHC is outperformed by 66.67% of its industry peers.
A Quick Ratio of 0.66 indicates that 1KHC may have some problems paying its short term obligations.
With a Quick ratio value of 0.66, 1KHC is not doing good in the industry: 65.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
1KHC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.36%.
Measured over the past 5 years, 1KHC shows a small growth in Earnings Per Share. The EPS has been growing by 1.43% on average per year.
1KHC shows a decrease in Revenue. In the last year, the revenue decreased by -3.83%.
1KHC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.69% yearly.
EPS 1Y (TTM)-2.36%
EPS 3Y1.34%
EPS 5Y1.43%
EPS Q2Q%-11.54%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y-0.25%
Revenue growth 5Y0.69%
Sales Q2Q%-1.91%
3.2 Future
Based on estimates for the next years, 1KHC will show a small growth in Earnings Per Share. The EPS will grow by 1.71% on average per year.
The Revenue is expected to grow by 0.45% on average over the next years.
EPS Next Y-14.25%
EPS Next 2Y-6.31%
EPS Next 3Y-2.81%
EPS Next 5Y1.71%
Revenue Next Year-2.88%
Revenue Next 2Y-1.03%
Revenue Next 3Y-0.29%
Revenue Next 5Y0.45%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.51, the valuation of 1KHC can be described as very reasonable.
Based on the Price/Earnings ratio, 1KHC is valued a bit cheaper than 75.00% of the companies in the same industry.
1KHC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.45.
With a Price/Forward Earnings ratio of 10.28, the valuation of 1KHC can be described as very reasonable.
Based on the Price/Forward Earnings ratio, 1KHC is valued a bit cheaper than 80.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of 1KHC to the average of the S&P500 Index (34.46), we can say 1KHC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.51 | ||
| Fwd PE | 10.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1KHC is valued a bit cheaper than the industry average as 61.67% of the companies are valued more expensively.
73.33% of the companies in the same industry are more expensive than 1KHC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.35 | ||
| EV/EBITDA | 8.19 |
4.3 Compensation for Growth
1KHC's earnings are expected to decrease with -2.81% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)6.64
EPS Next 2Y-6.31%
EPS Next 3Y-2.81%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.79%, 1KHC is a good candidate for dividend investing.
In the last 3 months the price of 1KHC has falen by -23.83%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
1KHC's Dividend Yield is rather good when compared to the industry average which is at 3.31. 1KHC pays more dividend than 93.33% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, 1KHC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.79% |
5.2 History
Dividend Growth(5Y)0%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1KHC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-36.29%
EPS Next 2Y-6.31%
EPS Next 3Y-2.81%
BIT:1KHC (8/19/2025, 7:00:00 PM)
23.685
-0.1 (-0.42%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners59.62%
Inst Owner ChangeN/A
Ins Owners0.28%
Ins Owner ChangeN/A
Market Cap28.03B
Revenue(TTM)25.31B
Net Income(TTM)-5.27B
Analysts56.67
Price Target26.81 (13.19%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.79% |
Yearly Dividend1.37
Dividend Growth(5Y)0%
DP-36.29%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.65%
Min EPS beat(2)1.8%
Max EPS beat(2)7.5%
EPS beat(4)4
Avg EPS beat(4)4.16%
Min EPS beat(4)0.43%
Max EPS beat(4)7.5%
EPS beat(8)7
Avg EPS beat(8)3.78%
EPS beat(12)11
Avg EPS beat(12)5.46%
EPS beat(16)15
Avg EPS beat(16)7.14%
Revenue beat(2)1
Avg Revenue beat(2)-0.4%
Min Revenue beat(2)-1.28%
Max Revenue beat(2)0.47%
Revenue beat(4)1
Avg Revenue beat(4)-1.16%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)0.47%
Revenue beat(8)1
Avg Revenue beat(8)-1.74%
Revenue beat(12)4
Avg Revenue beat(12)-1.05%
Revenue beat(16)8
Avg Revenue beat(16)-0.27%
PT rev (1m)-1.57%
PT rev (3m)-2.63%
EPS NQ rev (1m)-7.11%
EPS NQ rev (3m)-11.23%
EPS NY rev (1m)0.34%
EPS NY rev (3m)0.36%
Revenue NQ rev (1m)1.21%
Revenue NQ rev (3m)1.15%
Revenue NY rev (1m)0.88%
Revenue NY rev (3m)0.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.51 | ||
| Fwd PE | 10.28 | ||
| P/S | 1.29 | ||
| P/FCF | 9.35 | ||
| P/OCF | 7.43 | ||
| P/B | 0.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.19 |
EPS(TTM)2.49
EY10.51%
EPS(NY)2.3
Fwd EY9.73%
FCF(TTM)2.53
FCFY10.69%
OCF(TTM)3.19
OCFY13.46%
SpS18.34
BVpS29.97
TBVpS-13.52
PEG (NY)N/A
PEG (5Y)6.64
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.46% | ||
| ROE | -12.74% | ||
| ROCE | 7.12% | ||
| ROIC | 5.58% | ||
| ROICexc | 5.78% | ||
| ROICexgc | 39.17% | ||
| OM | 20.52% | ||
| PM (TTM) | N/A | ||
| GM | 34.31% | ||
| FCFM | 13.8% |
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%
ROICexgc growth 3Y-16.8%
ROICexgc 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-Score5
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 6.07 | ||
| Debt/EBITDA | 3.14 | ||
| Cap/Depr | 95.27% | ||
| Cap/Sales | 3.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.92 |
F-Score5
WACC6.66%
ROIC/WACC0.84
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)-2.36%
EPS 3Y1.34%
EPS 5Y1.43%
EPS Q2Q%-11.54%
EPS Next Y-14.25%
EPS Next 2Y-6.31%
EPS Next 3Y-2.81%
EPS Next 5Y1.71%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y-0.25%
Revenue growth 5Y0.69%
Sales Q2Q%-1.91%
Revenue Next Year-2.88%
Revenue Next 2Y-1.03%
Revenue Next 3Y-0.29%
Revenue Next 5Y0.45%
EBIT growth 1Y-2.9%
EBIT growth 3Y1.26%
EBIT growth 5Y1.11%
EBIT Next Year10.04%
EBIT Next 3Y4.36%
EBIT Next 5Y5.07%
FCF growth 1Y53.51%
FCF growth 3Y-12.18%
FCF growth 5Y1.64%
OCF growth 1Y34.76%
OCF growth 3Y-7.95%
OCF growth 5Y3.33%
KRAFT HEINZ CO/THE / 1KHC.MI FAQ
Can you provide the ChartMill fundamental rating for KRAFT HEINZ CO/THE?
ChartMill assigns a fundamental rating of 4 / 10 to 1KHC.MI.
Can you provide the valuation status for KRAFT HEINZ CO/THE?
ChartMill assigns a valuation rating of 6 / 10 to KRAFT HEINZ CO/THE (1KHC.MI). This can be considered as Fairly Valued.
What is the profitability of 1KHC stock?
KRAFT HEINZ CO/THE (1KHC.MI) has a profitability rating of 5 / 10.
What are the PE and PB ratios of KRAFT HEINZ CO/THE (1KHC.MI) stock?
The Price/Earnings (PE) ratio for KRAFT HEINZ CO/THE (1KHC.MI) is 9.51 and the Price/Book (PB) ratio is 0.79.
How financially healthy is KRAFT HEINZ CO/THE?
The financial health rating of KRAFT HEINZ CO/THE (1KHC.MI) is 3 / 10.