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 4 out of 10. The analysis compared the fundamentals against 60 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
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.
In the past 5 years KHNZ always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.55%, KHNZ is doing worse than 64.91% of the companies in the same industry.
Looking at the Return On Equity, with a value of 2.83%, KHNZ is doing worse than 68.42% of the companies in the same industry.
With a Return On Invested Capital value of 5.22%, KHNZ perfoms like the industry average, outperforming 47.37% 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 6.86%.
The last Return On Invested Capital (5.22%) for KHNZ is above the 3 year average (4.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 2.83% | ||
| ROIC | 5.22% |
ROA(3y)2.28%
ROA(5y)1.82%
ROE(3y)4.22%
ROE(5y)3.43%
ROIC(3y)4.89%
ROIC(5y)4.75%
1.3 Margins
With a decent Profit Margin value of 5.24%, KHNZ is doing good in the industry, outperforming 61.40% of the companies in the same industry.
In the last couple of years the Profit Margin of KHNZ has grown nicely.
KHNZ has a Operating Margin of 20.41%. This is amongst the best in the industry. KHNZ outperforms 94.74% of its industry peers.
In the last couple of years the Operating Margin of KHNZ has declined.
KHNZ has a Gross Margin of 34.66%. This is comparable to the rest of the industry: KHNZ outperforms 45.61% of its industry peers.
KHNZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.41% | ||
| PM (TTM) | 5.24% | ||
| GM | 34.66% |
OM growth 3Y-2.11%
OM growth 5Y-2.9%
PM growth 3Y99.02%
PM growth 5YN/A
GM growth 3Y-1.21%
GM growth 5Y-0.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KHNZ is destroying value.
Compared to 1 year ago, KHNZ has less shares outstanding
KHNZ has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, KHNZ has about the same debt to assets ratio.
2.2 Solvency
KHNZ has an Altman-Z score of 1.02. 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 1.02 is on the low side compared to the rest of the industry. KHNZ is outperformed by 82.46% of its industry peers.
The Debt to FCF ratio of KHNZ is 6.69, which is on the high side as it means it would take KHNZ, 6.69 years of fcf income to pay off all of its debts.
KHNZ has a Debt to FCF ratio of 6.69. This is comparable to the rest of the industry: KHNZ outperforms 50.88% of its industry peers.
KHNZ has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
KHNZ has a better Debt to Equity ratio (0.40) than 73.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 6.69 | ||
| Altman-Z | 1.02 |
ROIC/WACC0.73
WACC7.11%
2.3 Liquidity
KHNZ has a Current Ratio of 1.06. This is a normal value and indicates that KHNZ is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of KHNZ (1.06) is worse than 70.18% of its industry peers.
A Quick Ratio of 0.56 indicates that KHNZ may have some problems paying its short term obligations.
KHNZ has a Quick ratio of 0.56. This is in the lower half of the industry: KHNZ underperforms 71.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
KHNZ shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.32%.
The Earnings Per Share has been decreasing by -3.29% on average over the past years.
Looking at the last year, KHNZ shows a decrease in Revenue. The Revenue has decreased by -3.80% in the last year.
KHNZ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.28% yearly.
EPS 1Y (TTM)-1.32%
EPS 3Y1.03%
EPS 5Y-3.29%
EPS Q2Q%4.17%
Revenue 1Y (TTM)-3.8%
Revenue growth 3Y0.58%
Revenue growth 5Y0.28%
Sales Q2Q%-2.85%
3.2 Future
KHNZ is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.34% yearly.
Based on estimates for the next years, KHNZ will show a small growth in Revenue. The Revenue will grow by 0.73% on average per year.
EPS Next Y2.21%
EPS Next 2Y1.94%
EPS Next 3Y3.04%
EPS Next 5Y4.34%
Revenue Next Year-2.92%
Revenue Next 2Y-1.43%
Revenue Next 3Y-0.35%
Revenue Next 5Y0.73%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.56, which indicates a very decent valuation of KHNZ.
Based on the Price/Earnings ratio, KHNZ is valued cheaper than 84.21% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.47, KHNZ is valued rather cheaply.
The Price/Forward Earnings ratio is 9.28, which indicates a very decent valuation of KHNZ.
Based on the Price/Forward Earnings ratio, KHNZ is valued a bit cheaper than the industry average as 71.93% of the companies are valued more expensively.
KHNZ is valuated cheaply when we compare the Price/Forward Earnings ratio to 92.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.56 | ||
| Fwd PE | 9.28 |
4.2 Price Multiples
KHNZ's Enterprise Value to EBITDA is on the same level as the industry average.
70.18% 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 | 11.55 | ||
| EV/EBITDA | 8.48 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KHNZ does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of KHNZ may justify a higher PE ratio.
PEG (NY)4.33
PEG (5Y)N/A
EPS Next 2Y1.94%
EPS Next 3Y3.04%
5. Dividend
5.1 Amount
KHNZ has a Yearly Dividend Yield of 5.29%, which is a nice return.
Compared to an average industry Dividend Yield of 3.24, KHNZ pays a better dividend. On top of this KHNZ pays more dividend than 91.23% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, KHNZ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.29% |
5.2 History
The dividend of KHNZ decreases each year by -9.23%.
Dividend Growth(5Y)-9.23%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
KHNZ pays out 141.82% of its income as dividend. This is not a sustainable payout ratio.
DP141.82%
EPS Next 2Y1.94%
EPS Next 3Y3.04%
KRAFT HEINZ CO/THE
FRA:KHNZ (2/5/2025, 1:00:12 PM)
27.725
+0.02 (+0.07%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners56.7%
Inst Owner ChangeN/A
Ins Owners0.26%
Ins Owner ChangeN/A
Market Cap33.52B
Analysts71.85
Price Target34.91 (25.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.29% |
Yearly Dividend1.61
Dividend Growth(5Y)-9.23%
DP141.82%
Div Incr Years0
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.75%
Min EPS beat(2)0.43%
Max EPS beat(2)5.06%
EPS beat(4)3
Avg EPS beat(4)1.4%
Min EPS beat(4)-0.52%
Max EPS beat(4)5.06%
EPS beat(8)7
Avg EPS beat(8)4.72%
EPS beat(12)11
Avg EPS beat(12)7.23%
EPS beat(16)15
Avg EPS beat(16)8.29%
Revenue beat(2)0
Avg Revenue beat(2)-1.84%
Min Revenue beat(2)-2.16%
Max Revenue beat(2)-1.53%
Revenue beat(4)0
Avg Revenue beat(4)-1.93%
Min Revenue beat(4)-2.76%
Max Revenue beat(4)-1.26%
Revenue beat(8)2
Avg Revenue beat(8)-1.53%
Revenue beat(12)6
Avg Revenue beat(12)-0.4%
Revenue beat(16)9
Avg Revenue beat(16)0.05%
PT rev (1m)-3.37%
PT rev (3m)-3.9%
EPS NQ rev (1m)-0.33%
EPS NQ rev (3m)-6.51%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-0.32%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)-4.73%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.56 | ||
| Fwd PE | 9.28 | ||
| P/S | 1.33 | ||
| P/FCF | 11.55 | ||
| P/OCF | 8.34 | ||
| P/B | 0.72 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.48 |
EPS(TTM)2.9
EY10.46%
EPS(NY)2.99
Fwd EY10.77%
FCF(TTM)2.4
FCFY8.66%
OCF(TTM)3.32
OCFY11.98%
SpS20.91
BVpS38.67
TBVpS-17.94
PEG (NY)4.33
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 2.83% | ||
| ROCE | 6.6% | ||
| ROIC | 5.22% | ||
| ROICexc | 5.3% | ||
| ROICexgc | 47.82% | ||
| OM | 20.41% | ||
| PM (TTM) | 5.24% | ||
| GM | 34.66% | ||
| FCFM | 11.48% |
ROA(3y)2.28%
ROA(5y)1.82%
ROE(3y)4.22%
ROE(5y)3.43%
ROIC(3y)4.89%
ROIC(5y)4.75%
ROICexc(3y)5.01%
ROICexc(5y)4.88%
ROICexgc(3y)58.42%
ROICexgc(5y)56.59%
ROCE(3y)6.19%
ROCE(5y)6.01%
ROICexcg growth 3Y0.88%
ROICexcg growth 5Y-0.57%
ROICexc growth 3Y1.39%
ROICexc growth 5Y0.52%
OM growth 3Y-2.11%
OM growth 5Y-2.9%
PM growth 3Y99.02%
PM growth 5YN/A
GM growth 3Y-1.21%
GM growth 5Y-0.58%
F-Score5
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 6.69 | ||
| Debt/EBITDA | 3.08 | ||
| Cap/Depr | 119.28% | ||
| Cap/Sales | 4.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.94% | ||
| Profit Quality | 219.05% | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 1.02 |
F-Score5
WACC7.11%
ROIC/WACC0.73
Cap/Depr(3y)101.01%
Cap/Depr(5y)88.36%
Cap/Sales(3y)3.58%
Cap/Sales(5y)3.22%
Profit Quality(3y)203.37%
Profit Quality(5y)394.23%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.32%
EPS 3Y1.03%
EPS 5Y-3.29%
EPS Q2Q%4.17%
EPS Next Y2.21%
EPS Next 2Y1.94%
EPS Next 3Y3.04%
EPS Next 5Y4.34%
Revenue 1Y (TTM)-3.8%
Revenue growth 3Y0.58%
Revenue growth 5Y0.28%
Sales Q2Q%-2.85%
Revenue Next Year-2.92%
Revenue Next 2Y-1.43%
Revenue Next 3Y-0.35%
Revenue Next 5Y0.73%
EBIT growth 1Y3.21%
EBIT growth 3Y-1.55%
EBIT growth 5Y-2.63%
EBIT Next Year22.71%
EBIT Next 3Y8.21%
EBIT Next 5Y6.79%
FCF growth 1Y-15.49%
FCF growth 3Y-11.9%
FCF growth 5Y11.13%
OCF growth 1Y-6.34%
OCF growth 3Y-6.91%
OCF growth 5Y9.09%