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.
| Profile Item | DEO | KHC |
|---|---|---|
| Name | Diageo plc Sponsored ADR | The Kraft Heinz Company |
| Country/Region | United Kingdom | United States |
| GICS Sector | Consumer Staples | Consumer Staples |
| GICS Industry Group | Food, Beverage & Tobacco | Food, Beverage & Tobacco |
| GICS Industry | Beverages | Food Products |
| GICS Sub-Industry | Distillers & Vintners | Packaged Foods & Meats |
| Market Capitalization | 55.56 billion USD | 29.13 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | March 14, 1991 | July 6, 2015 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | DEO | KHC |
|---|---|---|
| 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
Return Distribution
Risk Metrics
| Metric | DEO | KHC |
|---|---|---|
| Volatility (1Y, Annualized) | 33.21% | 28.10% |
| Beta (5Y) | 0.52 | 0.11 |
| Max Drawdown (5Y) | -63.41% | -41.69% |
| Avg. Volume (3M) | 1.07M | 16.72M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | DEO | KHC |
|---|---|---|
| Sharpe Ratio (1Y) | 0.28 | 0.13 |
| Sortino Ratio (1Y) | 0.38 | 0.18 |
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%
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%
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%
Profitability Metrics
| Metric | DEO | KHC |
|---|---|---|
| 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.
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.
Growth Metrics
| Metric | DEO | KHC |
|---|---|---|
| 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
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
Financial Strength Metrics
| Metric | DEO | KHC |
|---|---|---|
| Current Ratio (MRQ) | 1.60 | 1.02 |
| Debt / Equity (MRQ) | 1.71 | 0.50 |
| Net Debt / EBITDA | 3.18 | 2.98 |
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%
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%
Dividend Metrics
| Metric | DEO | KHC |
|---|---|---|
| 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
- --
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
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
Valuation Metrics
| Metric | DEO | KHC |
|---|---|---|
| P/E Ratio (TTM) | 31.97 | -- |
| P/S Ratio (TTM) | 2.83 | 1.18 |
| P/B Ratio (MRQ) | 91.95 | 0.81 |
| Free Cash Flow Yield (TTM) | 4.62% | 10.95% |