The Kraft Heinz Co (XSWX:KHC) Interest Coverage: 4.91 (As of Mar. 2026) — Near Median


XSWX:KHC The Kraft Heinz Co XSWX:KHC
59 GF Score
Price CHF18.27
GF Value CHF24.90
! 1 Warning Sign
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What is The Kraft Heinz Co Interest Coverage?

The Kraft Heinz Co XSWX:KHC 59 Interest Coverage is 4.91 as of Mar. 2026, which is 0% below its 10-year median of 4.92. GuruFocus rates XSWX:KHC with a GF Score™ of 59/100 and a GF Value™ of CHF24.90. The stock has 1 warning sign investors should review. Among 1,513 Consumer Packaged Goods companies, The Kraft Heinz Co ranks worse than 63.25% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. The Kraft Heinz Co's Operating Income for the three months ended in Mar. 2026 was CHF912 Mil. The Kraft Heinz Co's Interest Expense for the three months ended in Mar. 2026 was CHF-186 Mil. The Kraft Heinz Co's interest coverage for the quarter that ended in Mar. 2026 was 4.91. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for The Kraft Heinz Co's Interest Coverage or its related term are showing as below:

XSWX:KHC' s Interest Coverage Range Over the Past 10 Years
Min: 2.49   Med: 4.92   Max: 5.87
Current: 4.82


XSWX:KHC's Interest Coverage is ranked worse than
63.25% of 1513 companies
in the Consumer Packaged Goods industry
Industry Median: 8.61 vs XSWX:KHC: 4.82

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


The Kraft Heinz Co  (XSWX:KHC) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


The Kraft Heinz Co Interest Coverage Related Terms


The Kraft Heinz Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for The Kraft Heinz Co's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

The Kraft Heinz Co Interest Coverage Chart

The Kraft Heinz Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.49 4.94 5.74 5.87 4.90

The Kraft Heinz Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.22 5.38 4.42 4.58 4.91

XSWX:KHC vs GIS, JBS, HRL: Interest Coverage Comparison

For the Packaged Foods subindustry, The Kraft Heinz Co's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Kraft Heinz Co Interest Coverage vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, The Kraft Heinz Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where The Kraft Heinz Co's Interest Coverage falls into.


XSWX:KHC
59GF Score
The Kraft Heinz Co XSWX:KHC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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The Kraft Heinz Co Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

The Kraft Heinz Co's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, The Kraft Heinz Co's Interest Expense was CHF-755 Mil. Its Operating Income was CHF3,695 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF15,389 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*3695.225/-754.664
=4.90

The Kraft Heinz Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, The Kraft Heinz Co's Interest Expense was CHF-186 Mil. Its Operating Income was CHF912 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF15,134 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*911.693/-185.803
=4.91

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 4.91 mean?
The Kraft Heinz Co (XSWX:KHC) has a Interest Coverage of 4.91 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Kraft Heinz Co and its competitors. This is near median its historical median of 4.92. Over the past decade, The Kraft Heinz Co's Interest Coverage has ranged from 2.49 to 5.87. According to the industry distribution chart, The Kraft Heinz Co ranks #957 out of 1513 companies in the Consumer Packaged Goods industry, placing it in the top 63.3%.
Is The Kraft Heinz Co's Interest Coverage too high?
The Kraft Heinz Co's current Interest Coverage of 4.91 is near median its 10-year median of 4.92. Over the past 10 years, this metric has ranged from a low of 2.49 to a high of 5.87. The Consumer Packaged Goods industry median Interest Coverage is 8.61. The Kraft Heinz Co's value of 4.91 is 43% below this industry median. Based on the distribution chart, The Kraft Heinz Co ranks #957 out of 1513 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, The Kraft Heinz Co has a GF Score™ of 59/100, reflecting its overall financial health beyond just this single metric.
How does The Kraft Heinz Co's Interest Coverage compare to GIS and JBS?
According to the Consumer Packaged Goods industry distribution chart, The Kraft Heinz Co ranks #957 out of 1513 companies for Interest Coverage. This places The Kraft Heinz Co in the lower half of its industry. The industry median Interest Coverage is 8.61. The Kraft Heinz Co's value of 4.91 is 43% below this benchmark. Historically, The Kraft Heinz Co's own Interest Coverage has ranged from 2.49 to 5.87 over the past decade. While the company's 10-year median is 4.92 vs. the industry median of 8.61, The Kraft Heinz Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.61, based on 1,513 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Kraft Heinz Co's current Interest Coverage of 4.91 is 43% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Kraft Heinz Co and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Kraft Heinz Co's current Interest Coverage is 4.91, which is near median its own 10-year median of 4.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Kraft Heinz Co stock overvalued right now?
The Kraft Heinz Co (XSWX:KHC) has a current Interest Coverage of 4.91. The stock's GF Value™ is CHF24.90, compared to a current price of CHF18.27 — trading 26.6% below its estimated fair value. The current Interest Coverage is 4.91, which is near median its 10-year median of 4.92 and 43% below the Consumer Packaged Goods industry median of 8.61. The Kraft Heinz Co's overall GF Score™ is 59/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For The Kraft Heinz Co (XSWX:KHC), the current Interest Coverage is 4.91 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is The Kraft Heinz Co (XSWX:KHC) Overvalued in 2026?

Based on GuruFocus' analysis, The Kraft Heinz Co stock appears to be undervalued. The current stock price of CHF18.27 is trading 26.6% below its estimated GF Value™ of CHF24.90.

Key valuation signals for XSWX:KHC:

  • Interest Coverage: 4.91 (near median its 10-year median of 4.92)
  • GF Value™: CHF24.90 vs. price of CHF18.27 (26.6% below fair value)
  • GF Score™: 59/100 with 1 warning sign
  • Industry Position: 43% below the Consumer Packaged Goods median (#957 of 1513)

No single metric tells the full story. See the XSWX:KHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


The Kraft Heinz Co Business Description

Address One PPG Place, Pittsburgh, PA, USA, 15222
In July 2015, Kraft merged with Heinz to create one of North America's largest food and beverage manufacturers. Beyond its namesake brands, its portfolio includes Oscar Mayer, Velveeta, and Philadelphia. While the retail channel drives around 85% of its total sales, the firm also maintains a growing foodservice presence. Outside North America, Kraft Heinz's global reach encompasses a distribution network in Europe and emerging markets, which accounts for around 25% of its consolidated sales base. The company's products are sold in more than 190 countries and territories.
59GF Score

Get the complete analysis for XSWX:KHC

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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