WallStSmart

Kraft Heinz Co (KHC)vsThe J. M. Smucker Company (SJM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Kraft Heinz Co generates 172% more annual revenue ($24.90B vs $9.16B). SJM leads profitability with a 2.5% profit margin vs -13.6%. KHC appears more attractively valued with a PEG of 0.99. KHC earns a higher WallStSmart Score of 57/100 (C).

KHC

Buy

57

out of 100

Grade: C

Growth: 3.3Profit: 4.5Value: 6.3Quality: 4.5
Piotroski: 4/9Altman Z: 0.69

SJM

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 5.0Value: 4.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.88
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KHCUndervalued (+14.7%)

Margin of Safety

+14.7%

Fair Value

$29.30

Current Price

$24.60

$4.70 discount

UndervaluedFair: $29.30Overvalued
SJMUndervalued (+14.2%)

Margin of Safety

+14.2%

Fair Value

$129.41

Current Price

$121.14

$8.27 discount

UndervaluedFair: $129.41Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KHC2 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.998/10

Growing faster than its price suggests

SJM1 strengths · Avg: 8.0/10
Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Areas to Watch

KHC4 concerns · Avg: 1.8/10
Return on EquityProfitability
-9.4%2/10

ROE of -9.4% — below average capital efficiency

Revenue GrowthGrowth
-1.4%2/10

Revenue declined 1.4%

Altman Z-ScoreHealth
0.692/10

Distress zone — elevated risk

Profit MarginProfitability
-13.6%1/10

Currently unprofitable

SJM4 concerns · Avg: 3.0/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Debt/EquityHealth
1.283/10

Elevated debt levels

P/E RatioValuation
58.3x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : KHC

The strongest argument for KHC centers on Price/Book, PEG Ratio. PEG of 0.99 suggests the stock is reasonably priced for its growth.

Bull Case : SJM

The strongest argument for SJM centers on Price/Book.

Bear Case : KHC

The primary concerns for KHC are Return on Equity, Revenue Growth, Altman Z-Score.

Bear Case : SJM

The primary concerns for SJM are PEG Ratio, Profit Margin, Debt/Equity. A P/E of 58.3x leaves little room for execution misses. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

KHC profiles as a turnaround stock while SJM is a value play — different risk/reward profiles.

SJM carries more volatility with a beta of 0.26 — expect wider price swings.

SJM is growing revenue faster at 5.0% — sustainability is the question.

KHC generates stronger free cash flow (893M), providing more financial flexibility.

Bottom Line

KHC scores higher overall (57/100 vs 51/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Kraft Heinz Co

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

The Kraft Heinz Company (KHC), commonly known as Kraft Heinz, is an American food company formed by the merger of Kraft Foods and Heinz, co-headquartered in Chicago, Illinois, and Pittsburgh, Pennsylvania.

The J. M. Smucker Company

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

The J. M. Smucker Company, also known as Smucker and Smucker's, is an American manufacturer of jam, peanut butter, jelly, fruit syrups, beverages, shortening, ice cream toppings, and other products in North America. Smucker's headquarters are located in Orrville, Ohio.

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