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DEO vs. KHC: Diageo vs. Kraft Heinz Stock Comparison

How do Diageo (DEO) and Kraft Heinz (KHC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Diageo (DEO) and Kraft Heinz (KHC) both fall under the Food, Beverage & Tobacco industry group, but DEO is classified in Beverages while KHC is classified in Food Products.

Kraft Heinz (KHC) trades as ordinary local shares, while Diageo (DEO) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for Diageo (DEO) and Kraft Heinz (KHC)
Profile ItemDEOKHC
NameDiageo plc Sponsored ADRThe Kraft Heinz Company
Country/RegionUnited KingdomUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS Industry GroupFood, Beverage & TobaccoFood, Beverage & Tobacco
GICS IndustryBeveragesFood Products
GICS Sub-IndustryDistillers & VintnersPackaged Foods & Meats
Market Capitalization55.56 billion USD29.13 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateMarch 14, 1991July 6, 2015
Security TypeADRCommon Stock

Price Performance

Cumulative Growth

DEO
KHC
GSPC
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Diageo (DEO) vs. Kraft Heinz (KHC), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Diageo (DEO) and Kraft Heinz (KHC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Diageo (DEO) and Kraft Heinz (KHC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
Total Return (1Y)13.51%7.82%
Total Return (3Y, Annualized)-11.57%-4.22%
Total Return (5Y, Annualized)-10.73%-3.33%

Risk Profile

Drawdown History

DEO
KHC
GSPC
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Diageo (DEO) vs. Kraft Heinz (KHC), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Diageo (DEO) and Kraft Heinz (KHC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
Volatility (1Y, Annualized)33.21%28.10%
Beta (5Y)0.520.11
Max Drawdown (5Y)-63.41%-41.69%
Avg. Volume (3M)1.07M16.72M

Risk-Adjusted Performance

Risk-Return Positioning

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DEO and KHC are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
Sharpe Ratio (1Y)0.280.13
Sortino Ratio (1Y)0.380.18

Profitability

ROE (TTM)

Kraft Heinz (KHC) reports a negative ROE of -8.95%; negative ROE can reflect losses or negative shareholders’ equity, so it is harder to read as capital efficiency. Meanwhile Diageo (DEO) reports 14.99%, ranking against industry peers normally.

DEO

Food, Beverage & Tobacco industry group

14.99%

Max
32.02%
Q3
16.61%
DEO
14.99%
Median
10.05%
Q1
4.10%
Min
-10.50%

KHC

Food, Beverage & Tobacco industry group

-8.95%

Max
32.02%
Q3
16.61%
Median
10.05%
Q1
4.10%
KHC
-8.95%
Min
-10.50%
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their ROE against the Food, Beverage & Tobacco industry group benchmark.

Net Margin (TTM)

Kraft Heinz (KHC) reports a negative net margin of -13.99%, usually indicating a net loss over the period. Meanwhile Diageo (DEO) reports 8.84%, ranking against industry peers normally.

DEO

Food, Beverage & Tobacco industry group

8.84%

Max
24.83%
Q3
11.22%
DEO
8.84%
Median
5.94%
Q1
2.05%
Min
-11.49%

KHC

Food, Beverage & Tobacco industry group

-13.99%

Max
24.83%
Q3
11.22%
Median
5.94%
Q1
2.05%
Min
-11.49%
KHC
-13.99%
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their net margin against the Food, Beverage & Tobacco industry group benchmark.

Operating Margin (TTM)

Diageo (DEO) at 27.04% operates in the top operating margin quartile, ahead of Kraft Heinz (KHC) at 16.47%, which runs around its industry’s norm.

DEO

Food, Beverage & Tobacco industry group

27.04%

Max
34.91%
DEO
27.04%
Q3
17.57%
Median
11.06%
Q1
4.15%
Min
-15.06%

KHC

Food, Beverage & Tobacco industry group

16.47%

Max
34.91%
Q3
17.57%
KHC
16.47%
Median
11.06%
Q1
4.15%
Min
-15.06%
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their operating margin against the Food, Beverage & Tobacco industry group benchmark.

Profitability Metrics

Profitability metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
ROE (TTM)14.99%-8.95%
ROA (TTM)7.48%3.56%
Net Margin (TTM)8.84%-13.99%
Operating Margin (TTM)27.04%16.47%
Gross Margin (TTM)59.82%33.65%

Growth

Revenue Growth

Both Diageo (DEO) at -2.97% and Kraft Heinz (KHC) at -3.50% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.

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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their Revenue Growth across different time periods.

EPS Growth

Diageo (DEO) at -26.30% is around its peer norm for EPS growth, while Kraft Heinz (KHC) at -318.14% falls below its industry range, a notably weak earnings reading.

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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
Revenue Growth (YoY)-2.97%-3.50%
Revenue Growth (3Y CAGR)-1.50%-1.98%
EPS Growth (YoY)-26.30%-318.14%
EPS Growth (3Y CAGR)-27.84%--

Financial Strength

Current Ratio (MRQ)

Diageo (DEO) at 1.60 keeps current ratio within its industry’s typical mid-range, while Kraft Heinz (KHC) at 1.02 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for KHC.

DEO

Food, Beverage & Tobacco industry group

1.60

Max
4.01
Q3
2.35
DEO
1.60
Median
1.53
Q1
1.02
Min
0.33

KHC

Food, Beverage & Tobacco industry group

1.02

Max
4.01
Q3
2.35
Median
1.53
Q1
1.02
KHC
1.02
Min
0.33
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their current ratio against the Food, Beverage & Tobacco industry group benchmark.

Debt / Equity (MRQ)

Kraft Heinz (KHC) at 0.50 carries an industry-typical debt-to-equity mix, while Diageo (DEO) at 1.71 uses more debt funding than most peers.

DEO

Food, Beverage & Tobacco industry group

1.71

Max
2.19
DEO
1.71
Q3
1.11
Median
0.68
Q1
0.33
Min
0.00

KHC

Food, Beverage & Tobacco industry group

0.50

Max
2.19
Q3
1.11
Median
0.68
KHC
0.50
Q1
0.33
Min
0.00
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their debt-to-equity ratio against the Food, Beverage & Tobacco industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
Current Ratio (MRQ)1.601.02
Debt / Equity (MRQ)1.710.50
Net Debt / EBITDA3.182.98

Dividends

Dividend Yield (TTM)

Kraft Heinz (KHC) at 6.32% delivers top-quartile income for its industry, while Diageo (DEO) at 0.50% pays a more typical yield — both are credible income propositions, KHC the richer one.

DEO

Food, Beverage & Tobacco industry group

0.50%

Max
9.38%
Q3
3.77%
Median
1.76%
DEO
0.50%
Q1
0.00%
Min
0.00%

KHC

Food, Beverage & Tobacco industry group

6.32%

Max
9.38%
KHC
6.32%
Q3
3.77%
Median
1.76%
Q1
0.00%
Min
0.00%
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their dividend yield against the Food, Beverage & Tobacco industry group benchmark.

Dividend Payout Ratio (TTM)

Diageo (DEO) reports payout ratio above 100% at 106.52%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile Kraft Heinz (KHC) reports 73.06%, ranking against industry peers normally.

DEO

Food, Beverage & Tobacco industry group

106.52%

Max
199.19%
DEO
106.52%
Q3
81.03%
Median
41.52%
Q1
0.00%
Min
0.00%

KHC

Food, Beverage & Tobacco industry group

73.06%

Max
199.19%
Q3
81.03%
KHC
73.06%
Median
41.52%
Q1
0.00%
Min
0.00%
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their payout ratio against the Food, Beverage & Tobacco industry group benchmark.

Dividend Metrics

Dividend metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
Dividend Yield (TTM)0.50%6.32%
Dividend Payout Ratio (TTM)106.52%73.06%

Valuation

P/E Ratio (TTM)

An earnings multiple is available for just one side: Diageo (DEO) trades at 31.97 times trailing earnings, ranked against its peers, while Kraft Heinz (KHC) has no P/E ratio this period.

DEO

Food, Beverage & Tobacco industry group

31.97

Max
52.52
DEO
31.97
Q3
30.78
Median
18.76
Q1
12.77
Min
4.72

KHC

Food, Beverage & Tobacco industry group

--

Max
52.52
Q3
30.78
Median
18.76
Q1
12.77
Min
4.72
KHC
--
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Diageo (DEO) vs. Kraft Heinz (KHC): KHC does not report P/E ratio, so it has no value marker; DEO is benchmarked against the Food, Beverage & Tobacco industry group.

P/S Ratio (TTM)

Kraft Heinz (KHC) at 1.18 is priced about in line with its industry on P/S ratio, while Diageo (DEO) at 2.83 sits in the pricier quartile — DEO costs more per dollar of sales.

DEO

Food, Beverage & Tobacco industry group

2.83

Max
4.64
DEO
2.83
Q3
2.27
Median
1.17
Q1
0.52
Min
0.00

KHC

Food, Beverage & Tobacco industry group

1.18

Max
4.64
Q3
2.27
KHC
1.18
Median
1.17
Q1
0.52
Min
0.00
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their P/S ratio against the Food, Beverage & Tobacco industry group benchmark.

P/B Ratio (MRQ)

Kraft Heinz (KHC) at 0.81 sits in the lower P/B ratio quartile relative to book while Diageo (DEO) at 91.95 prices above its industry range — a wide valuation gap against assets.

DEO

Food, Beverage & Tobacco industry group

91.95

DEO
91.95
Max
6.35
Q3
3.07
Median
1.58
Q1
0.82
Min
0.00

KHC

Food, Beverage & Tobacco industry group

0.81

Max
6.35
Q3
3.07
Median
1.58
Q1
0.82
KHC
0.81
Min
0.00
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Diageo (DEO) vs. Kraft Heinz (KHC): A comparison of their P/B ratio against the Food, Beverage & Tobacco industry group benchmark.

Valuation Metrics

Valuation metrics for Diageo (DEO) and Kraft Heinz (KHC)
MetricDEOKHC
P/E Ratio (TTM)31.97--
P/S Ratio (TTM)2.831.18
P/B Ratio (MRQ)91.950.81
Free Cash Flow Yield (TTM)4.62%10.95%