KHC Stock Overview
The Kraft Heinz Company, together with its subsidiaries, manufactures and markets food and beverage products in the United States, Canada, the United Kingdom, and internationally.
Kraft Heinz Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$38.40|
|52 Week High||US$44.87|
|52 Week Low||US$32.79|
|1 Month Change||3.59%|
|3 Month Change||-2.27%|
|1 Year Change||-5.63%|
|3 Year Change||23.71%|
|5 Year Change||-55.16%|
|Change since IPO||-47.37%|
Recent News & Updates
Kellogg Company: A Tasteful Decision
The management team at Kellogg Company announced plans to spin off two separate sets of operations in the firm. This will turn Kellogg into three standalone publicly-traded enterprises, with the largest entity focused on the global snacking business. This could unlock significant value for investors, but even today, K stock is worth considering.
Buying Kraft Heinz Back
I offer the lessons I've learned while trading this stock over the years. I've outperformed "buy and hold" for a few reasons. The dividend remains relatively well covered, and so I see no harm in buying at current levels. While I won't sell more puts until my current crop expires or I'm exercised, I think there's an opportunity for others here.
Kraft Heinz (NASDAQ:KHC) Has A Somewhat Strained Balance Sheet
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
|KHC||US Food||US Market|
Return vs Industry: KHC underperformed the US Food industry which returned -1.8% over the past year.
Return vs Market: KHC exceeded the US Market which returned -18.4% over the past year.
|KHC Average Weekly Movement||4.6%|
|Food Industry Average Movement||7.1%|
|Market Average Movement||8.1%|
|10% most volatile stocks in US Market||16.6%|
|10% least volatile stocks in US Market||3.2%|
Stable Share Price: KHC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: KHC's weekly volatility (5%) has been stable over the past year.
About the Company
The Kraft Heinz Company, together with its subsidiaries, manufactures and markets food and beverage products in the United States, Canada, the United Kingdom, and internationally. Its products include condiments and sauces, cheese and dairy products, meals, meats, refreshment beverages, coffee, and other grocery products. The company also offers dressings, healthy snacks, and other categories; and spices and other seasonings.
Kraft Heinz Fundamentals Summary
|KHC fundamental statistics|
Is KHC overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|KHC income statement (TTM)|
|Cost of Revenue||US$17.20b|
Last Reported Earnings
Mar 26, 2022
Next Earnings Date
|Earnings per share (EPS)||1.00|
|Net Profit Margin||4.77%|
How did KHC perform over the long term?See historical performance and comparison
4.2%Current Dividend Yield
Is KHC undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for KHC?
Other financial metrics that can be useful for relative valuation.
|What is KHC's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does KHC's PE Ratio compare to its peers?
|KHC PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
Price-To-Earnings vs Peers: KHC is expensive based on its Price-To-Earnings Ratio (38.4x) compared to the peer average (17.4x).
Price to Earnings Ratio vs Industry
How does KHC's PE Ratio compare vs other companies in the U.S. Food Industry?
Price-To-Earnings vs Industry: KHC is expensive based on its Price-To-Earnings Ratio (38.4x) compared to the US Food industry average (17.8x)
Price to Earnings Ratio vs Fair Ratio
What is KHC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||38.4x|
|Fair PE Ratio||27.7x|
Price-To-Earnings vs Fair Ratio: KHC is expensive based on its Price-To-Earnings Ratio (38.4x) compared to the estimated Fair Price-To-Earnings Ratio (27.7x).
Share Price vs Fair Value
What is the Fair Price of KHC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: KHC ($38.4) is trading below our estimate of fair value ($97.03)
Significantly Below Fair Value: KHC is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: KHC is poor value based on its PEG Ratio (3.6x)
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How is Kraft Heinz forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Future Growth Score1/6
Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KHC's forecast earnings growth (10.6% per year) is above the savings rate (1.9%).
Earnings vs Market: KHC's earnings (10.6% per year) are forecast to grow slower than the US market (13.9% per year).
High Growth Earnings: KHC's earnings are forecast to grow, but not significantly.
Revenue vs Market: KHC's revenue (0.7% per year) is forecast to grow slower than the US market (8.4% per year).
High Growth Revenue: KHC's revenue (0.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KHC's Return on Equity is forecast to be low in 3 years time (6.6%).
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How has Kraft Heinz performed over the past 5 years?
Past Performance Score3/6
Past Performance Score 3/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KHC has a large one-off loss of $1.5B impacting its March 26 2022 financial results.
Growing Profit Margin: KHC's current net profit margins (4.8%) are higher than last year (2%).
Past Earnings Growth Analysis
Earnings Trend: KHC's earnings have declined by 21.2% per year over the past 5 years.
Accelerating Growth: KHC's earnings growth over the past year (127.3%) exceeds its 5-year average (-21.2% per year).
Earnings vs Industry: KHC earnings growth over the past year (127.3%) exceeded the Food industry 13.1%.
Return on Equity
High ROE: KHC's Return on Equity (2.5%) is considered low.
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How is Kraft Heinz's financial position?
Financial Health Score4/6
Financial Health Score 4/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: KHC's short term assets ($9.3B) exceed its short term liabilities ($9.1B).
Long Term Liabilities: KHC's short term assets ($9.3B) do not cover its long term liabilities ($35.0B).
Debt to Equity History and Analysis
Debt Level: KHC's net debt to equity ratio (38.1%) is considered satisfactory.
Reducing Debt: KHC's debt to equity ratio has reduced from 56.4% to 44.1% over the past 5 years.
Debt Coverage: KHC's debt is well covered by operating cash flow (22.9%).
Interest Coverage: KHC's interest payments on its debt are not well covered by EBIT (2.8x coverage).
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What is Kraft Heinz current dividend yield, its reliability and sustainability?
Dividend Score 2/6
Future Dividend Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: KHC's dividend (4.17%) is higher than the bottom 25% of dividend payers in the US market (1.57%).
High Dividend: KHC's dividend (4.17%) is low compared to the top 25% of dividend payers in the US market (4.24%).
Stability and Growth of Payments
Stable Dividend: KHC has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: KHC has only been paying a dividend for 7 years, and since then payments have fallen.
Earnings Payout to Shareholders
Earnings Coverage: With its high payout ratio (159.9%), KHC's dividend payments are not well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonably low cash payout ratio (47.2%), KHC's dividend payments are well covered by cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Miguel Patricio (55 yo)
Mr. Miguel Patricio has been the Chief Executive Officer of The Kraft Heinz Company since June 25, 2019 and serves as its Director since May 06, 2021 and serves as its Chairman of the Board since May 5, 20...
CEO Compensation Analysis
Compensation vs Market: Miguel's total compensation ($USD8.61M) is below average for companies of similar size in the US market ($USD13.44M).
Compensation vs Earnings: Miguel's compensation has increased by more than 20% in the past year.
Experienced Management: KHC's management team is considered experienced (2.7 years average tenure).
Experienced Board: KHC's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: KHC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
The Kraft Heinz Company's employee growth, exchange listings and data sources
- Name: The Kraft Heinz Company
- Ticker: KHC
- Exchange: NasdaqGS
- Founded: 1869
- Industry: Packaged Foods and Meats
- Sector: Food, Beverage & Tobacco
- Implied Market Cap: US$47.003b
- Shares outstanding: 1.22b
- Website: https://www.kraftheinzcompany.com
Number of Employees
- The Kraft Heinz Company
- One PPG Place
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/06/26 00:00|
|End of Day Share Price||2022/06/24 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.