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DEO vs. KHC: A Head-to-Head Stock Comparison

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Here’s a clear look at DEO and KHC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

DEO trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, KHC is a standard domestic listing.

SymbolDEOKHC
Company NameDiageo plcThe Kraft Heinz Company
CountryUnited KingdomUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS IndustryBeveragesFood Products
Market Capitalization53.51 billion USD30.84 billion USD
ExchangeNYSENasdaqGS
Listing DateMarch 14, 1991July 6, 2015
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of DEO and KHC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

DEO vs. KHC: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolDEOKHC
5-Day Price Return2.63%1.40%
13-Week Price Return-6.12%-2.25%
26-Week Price Return-12.29%-14.36%
52-Week Price Return-30.95%-24.18%
Month-to-Date Return1.10%0.08%
Year-to-Date Return-29.26%-15.14%
10-Day Avg. Volume3.54M14.57M
3-Month Avg. Volume3.14M15.37M
3-Month Volatility24.46%28.30%
Beta0.500.09

Profitability

Return on Equity (TTM)

DEO

22.03%

Beverages Industry

Max
45.90%
Q3
22.74%
Median
10.10%
Q1
6.35%
Min
-13.21%

DEO’s Return on Equity of 22.03% is on par with the norm for the Beverages industry, indicating its profitability relative to shareholder equity is typical for the sector.

KHC

-11.20%

Food Products Industry

Max
30.51%
Q3
16.54%
Median
10.46%
Q1
6.76%
Min
-2.18%

KHC has a negative Return on Equity of -11.20%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

DEO vs. KHC: A comparison of their Return on Equity (TTM) against their respective Beverages and Food Products industry benchmarks.

Net Profit Margin (TTM)

DEO

11.63%

Beverages Industry

Max
21.38%
Q3
12.24%
Median
8.43%
Q1
5.97%
Min
0.65%

DEO’s Net Profit Margin of 11.63% is aligned with the median group of its peers in the Beverages industry. This indicates its ability to convert revenue into profit is typical for the sector.

KHC

-20.83%

Food Products Industry

Max
18.44%
Q3
10.21%
Median
6.29%
Q1
3.53%
Min
-0.80%

KHC has a negative Net Profit Margin of -20.83%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

DEO vs. KHC: A comparison of their Net Profit Margin (TTM) against their respective Beverages and Food Products industry benchmarks.

Operating Profit Margin (TTM)

DEO

20.61%

Beverages Industry

Max
29.32%
Q3
20.15%
Median
13.14%
Q1
10.74%
Min
1.24%

An Operating Profit Margin of 20.61% places DEO in the upper quartile for the Beverages industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

KHC

-27.34%

Food Products Industry

Max
24.83%
Q3
14.29%
Median
9.64%
Q1
6.11%
Min
0.08%

KHC has a negative Operating Profit Margin of -27.34%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

DEO vs. KHC: A comparison of their Operating Profit Margin (TTM) against their respective Beverages and Food Products industry benchmarks.

Profitability at a Glance

SymbolDEOKHC
Return on Equity (TTM)22.03%-11.20%
Return on Assets (TTM)4.89%-6.05%
Net Profit Margin (TTM)11.63%-20.83%
Operating Profit Margin (TTM)20.61%-27.34%
Gross Profit Margin (TTM)60.13%34.31%

Financial Strength

Current Ratio (MRQ)

DEO

1.63

Beverages Industry

Max
3.52
Q3
2.00
Median
1.22
Q1
0.87
Min
0.55

DEO’s Current Ratio of 1.63 aligns with the median group of the Beverages industry, indicating that its short-term liquidity is in line with its sector peers.

KHC

1.07

Food Products Industry

Max
3.99
Q3
2.39
Median
1.62
Q1
1.23
Min
0.57

KHC’s Current Ratio of 1.07 falls into the lower quartile for the Food Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

DEO vs. KHC: A comparison of their Current Ratio (MRQ) against their respective Beverages and Food Products industry benchmarks.

Debt-to-Equity Ratio (MRQ)

DEO

2.14

Beverages Industry

Max
2.14
Q3
1.14
Median
0.74
Q1
0.37
Min
0.00

DEO’s leverage is in the upper quartile of the Beverages industry, with a Debt-to-Equity Ratio of 2.14. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

KHC

0.51

Food Products Industry

Max
1.92
Q3
0.92
Median
0.51
Q1
0.25
Min
0.00

KHC’s Debt-to-Equity Ratio of 0.51 is typical for the Food Products industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

DEO vs. KHC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Beverages and Food Products industry benchmarks.

Interest Coverage Ratio (TTM)

DEO

11.78

Beverages Industry

Max
78.96
Q3
42.68
Median
10.96
Q1
3.86
Min
0.81

DEO’s Interest Coverage Ratio of 11.78 is positioned comfortably within the norm for the Beverages industry, indicating a standard and healthy capacity to cover its interest payments.

KHC

1.99

Food Products Industry

Max
65.06
Q3
29.45
Median
9.43
Q1
4.70
Min
-1.69

In the lower quartile for the Food Products industry, KHC’s Interest Coverage Ratio of 1.99 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

DEO vs. KHC: A comparison of their Interest Coverage Ratio (TTM) against their respective Beverages and Food Products industry benchmarks.

Financial Strength at a Glance

SymbolDEOKHC
Current Ratio (MRQ)1.631.07
Quick Ratio (MRQ)0.640.63
Debt-to-Equity Ratio (MRQ)2.140.51
Interest Coverage Ratio (TTM)11.781.99

Growth

Revenue Growth

DEO vs. KHC: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DEO vs. KHC: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DEO

4.28%

Beverages Industry

Max
7.92%
Q3
4.37%
Median
3.32%
Q1
1.98%
Min
0.00%

DEO’s Dividend Yield of 4.28% is consistent with its peers in the Beverages industry, providing a dividend return that is standard for its sector.

KHC

6.18%

Food Products Industry

Max
8.09%
Q3
4.48%
Median
2.69%
Q1
1.66%
Min
0.00%

With a Dividend Yield of 6.18%, KHC offers a more attractive income stream than most of its peers in the Food Products industry, signaling a strong commitment to shareholder returns.

DEO vs. KHC: A comparison of their Dividend Yield (TTM) against their respective Beverages and Food Products industry benchmarks.

Dividend Payout Ratio (TTM)

DEO

97.62%

Beverages Industry

Max
188.65%
Q3
104.55%
Median
72.60%
Q1
40.31%
Min
0.00%

DEO’s Dividend Payout Ratio of 97.62% is within the typical range for the Beverages industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

KHC

48.86%

Food Products Industry

Max
216.00%
Q3
112.15%
Median
72.83%
Q1
41.56%
Min
0.00%

KHC’s Dividend Payout Ratio of 48.86% is within the typical range for the Food Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

DEO vs. KHC: A comparison of their Dividend Payout Ratio (TTM) against their respective Beverages and Food Products industry benchmarks.

Dividend at a Glance

SymbolDEOKHC
Dividend Yield (TTM)4.28%6.18%
Dividend Payout Ratio (TTM)97.62%48.86%

Valuation

Price-to-Earnings Ratio (TTM)

DEO

22.80

Beverages Industry

Max
35.25
Q3
22.66
Median
17.17
Q1
13.65
Min
4.77

A P/E Ratio of 22.80 places DEO in the upper quartile for the Beverages industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

KHC

--

Food Products Industry

Max
41.70
Q3
24.61
Median
17.81
Q1
12.59
Min
3.07

P/E Ratio data for KHC is currently unavailable.

DEO vs. KHC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Beverages and Food Products industry benchmarks.

Price-to-Sales Ratio (TTM)

DEO

2.65

Beverages Industry

Max
4.06
Q3
2.24
Median
1.34
Q1
0.86
Min
0.39

DEO’s P/S Ratio of 2.65 is in the upper echelon for the Beverages industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

KHC

1.22

Food Products Industry

Max
3.33
Q3
1.74
Median
1.10
Q1
0.66
Min
0.11

KHC’s P/S Ratio of 1.22 aligns with the market consensus for the Food Products industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

DEO vs. KHC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Beverages and Food Products industry benchmarks.

Price-to-Book Ratio (MRQ)

DEO

4.93

Beverages Industry

Max
6.90
Q3
4.23
Median
2.20
Q1
1.51
Min
0.69

DEO’s P/B Ratio of 4.93 is in the upper tier for the Beverages industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

KHC

0.74

Food Products Industry

Max
5.01
Q3
2.98
Median
1.93
Q1
1.28
Min
0.47

KHC’s P/B Ratio of 0.74 is in the lower quartile for the Food Products industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

DEO vs. KHC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Beverages and Food Products industry benchmarks.

Valuation at a Glance

SymbolDEOKHC
Price-to-Earnings Ratio (TTM)22.80--
Price-to-Sales Ratio (TTM)2.651.22
Price-to-Book Ratio (MRQ)4.930.74
Price-to-Free Cash Flow Ratio (TTM)19.848.85