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. KHNZ has a medium profitability rating, but doesn't score so well on its financial health evaluation. KHNZ is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year KHNZ was profitable.
KHNZ had a positive operating cash flow in the past year.
In the past 5 years KHNZ has always been profitable.
Each year in the past 5 years KHNZ had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.94%, KHNZ perfoms like the industry average, outperforming 49.15% of the companies in the same industry.
KHNZ's Return On Equity of 5.37% is in line compared to the rest of the industry. KHNZ outperforms 44.07% of its industry peers.
KHNZ's Return On Invested Capital of 4.98% is in line compared to the rest of the industry. KHNZ outperforms 52.54% of its industry peers.
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 last Return On Invested Capital (4.98%) for KHNZ is above the 3 year average (4.97%), which is a sign of increasing profitability.
| 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
With a decent Profit Margin value of 10.44%, KHNZ is doing good in the industry, outperforming 79.66% of the companies in the same industry.
In the last couple of years the Profit Margin of KHNZ has grown nicely.
Looking at the Operating Margin, with a value of 20.76%, KHNZ belongs to the top of the industry, outperforming 96.61% of the companies in the same industry.
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 in line with 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.
Compared to 5 years ago, KHNZ has less shares outstanding
KHNZ has a worse debt/assets ratio than last year.
2.2 Solvency
KHNZ has an Altman-Z score of 1.00. This is a bad value and indicates that KHNZ is not financially healthy and even has some risk of bankruptcy.
KHNZ's Altman-Z score of 1.00 is on the low side compared to the rest of the industry. KHNZ is outperformed by 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.
Looking at the Debt to FCF ratio, with a value of 7.14, KHNZ is in line with its industry, outperforming 45.76% of the companies in the same industry.
KHNZ has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.42, KHNZ is doing good in the industry, outperforming 71.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 7.14 | ||
| Altman-Z | 1 |
ROIC/WACC0.75
WACC6.65%
2.3 Liquidity
KHNZ has a Current Ratio of 1.31. This is a normal value and indicates that KHNZ is financially healthy and should not expect problems in meeting its short term obligations.
KHNZ has a Current ratio (1.31) which is in line with its industry peers.
A Quick Ratio of 0.81 indicates that KHNZ may have some problems paying its short term obligations.
KHNZ's Quick ratio of 0.81 is in line compared to the rest of the industry. KHNZ outperforms 44.07% of its industry peers.
| 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.
The Revenue has decreased by -4.25% in the past year.
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
The Earnings Per Share is expected to grow by 1.39% on average over the next years.
The Revenue is expected to grow by 0.23% on average over the next years.
EPS Next Y-14.54%
EPS Next 2Y-6.24%
EPS Next 3Y-2.56%
EPS Next 5Y1.39%
Revenue Next Year-3.73%
Revenue Next 2Y-1.52%
Revenue Next 3Y-0.53%
Revenue Next 5Y0.23%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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 8.89 indicates a reasonable valuation of KHNZ.
Compared to the rest of the industry, the Price/Earnings ratio of KHNZ indicates a somewhat cheap valuation: KHNZ is cheaper than 79.66% of the companies listed in the same industry.
KHNZ's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.29.
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 67.80% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.74. KHNZ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.89 | ||
| Fwd PE | 9.88 |
4.2 Price Multiples
KHNZ's Enterprise Value to EBITDA is on the same level as the industry average.
KHNZ's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. KHNZ is cheaper than 76.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.4 | ||
| EV/EBITDA | 7.89 |
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 -2.56% in the coming years.
PEG (NY)N/A
PEG (5Y)6.21
EPS Next 2Y-6.24%
EPS Next 3Y-2.56%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.00%, KHNZ is a good candidate for dividend investing.
KHNZ's Dividend Yield is rather good when compared to the industry average which is at 3.27. 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 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6% |
5.2 History
Dividend Growth(5Y)0%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
72.39% of the earnings are spent on dividend by KHNZ. This is not a sustainable payout ratio.
DP72.39%
EPS Next 2Y-6.24%
EPS Next 3Y-2.56%
FRA:KHNZ (7/2/2025, 12:15:15 PM)
22.67
-0.24 (-1.07%)
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 Cap26.83B
Analysts54.84
Price Target27.07 (19.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6% |
Yearly Dividend1.36
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)-1.79%
PT rev (3m)-10.09%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-7.86%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-3.45%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-0.11%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.89 | ||
| Fwd PE | 9.88 | ||
| P/S | 1.24 | ||
| P/FCF | 10.4 | ||
| P/OCF | 7.61 | ||
| P/B | 0.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.89 |
EPS(TTM)2.55
EY11.25%
EPS(NY)2.29
Fwd EY10.12%
FCF(TTM)2.18
FCFY9.61%
OCF(TTM)2.98
OCFY13.13%
SpS18.32
BVpS35.63
TBVpS-14.01
PEG (NY)N/A
PEG (5Y)6.21
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
WACC6.65%
ROIC/WACC0.75
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-14.54%
EPS Next 2Y-6.24%
EPS Next 3Y-2.56%
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-3.73%
Revenue Next 2Y-1.52%
Revenue Next 3Y-0.53%
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%