KERING (1KER.MI) Stock Fundamental Analysis
BIT:1KER - Euronext Milan - FR0000121485 - Common Stock - Currency: EUR
Overall 1KER gets a fundamental rating of 3 out of 10. We evaluated 1KER against 42 industry peers in the Textiles, Apparel & Luxury Goods industry. There are concerns on the financial health of 1KER while its profitability can be described as average. While showing a medium growth rate, 1KER is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year 1KER was profitable.
In the past year 1KER had a positive cash flow from operations.
1KER had positive earnings in each of the past 5 years.
Each year in the past 5 years 1KER had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.61%, 1KER is not doing good in the industry: 61.90% of the companies in the same industry are doing better.
1KER has a Return On Equity (7.60%) which is in line with its industry peers.
1KER has a worse Return On Invested Capital (5.20%) than 64.29% of its industry peers.
1KER had an Average Return On Invested Capital over the past 3 years of 10.05%. This is in line with the industry average of 10.55%.
The last Return On Invested Capital (5.20%) for 1KER is well below the 3 year average (10.05%), which needs to be investigated, but indicates that 1KER had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 7.6% | ||
| ROIC | 5.2% |
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
1.3 Margins
1KER's Profit Margin of 6.59% is in line compared to the rest of the industry. 1KER outperforms 59.52% of its industry peers.
1KER's Profit Margin has declined in the last couple of years.
1KER has a better Operating Margin (14.48%) than 61.90% of its industry peers.
1KER's Operating Margin has declined in the last couple of years.
1KER has a Gross Margin of 73.75%. This is amongst the best in the industry. 1KER outperforms 80.95% of its industry peers.
1KER's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.48% | ||
| PM (TTM) | 6.59% | ||
| GM | 73.75% |
OM growth 3Y-19.39%
OM growth 5Y-13.44%
PM growth 3Y-28.46%
PM growth 5Y-14.63%
GM growth 3Y-0.14%
GM growth 5Y-0.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1KER is creating some value.
Compared to 1 year ago, 1KER has about the same amount of shares outstanding.
Compared to 5 years ago, 1KER has less shares outstanding
1KER has a worse debt/assets ratio than last year.
2.2 Solvency
1KER has an Altman-Z score of 1.55. This is a bad value and indicates that 1KER is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.55, 1KER is not doing good in the industry: 69.05% of the companies in the same industry are doing better.
1KER has a debt to FCF ratio of 13.88. This is a negative value and a sign of low solvency as 1KER would need 13.88 years to pay back of all of its debts.
1KER has a Debt to FCF ratio of 13.88. This is amonst the worse of the industry: 1KER underperforms 83.33% of its industry peers.
A Debt/Equity ratio of 1.11 is on the high side and indicates that 1KER has dependencies on debt financing.
1KER has a worse Debt to Equity ratio (1.11) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.11 | ||
| Debt/FCF | 13.88 | ||
| Altman-Z | 1.55 |
ROIC/WACC0.78
WACC6.67%
2.3 Liquidity
A Current Ratio of 1.11 indicates that 1KER should not have too much problems paying its short term obligations.
1KER has a worse Current ratio (1.11) than 80.95% of its industry peers.
1KER has a Quick Ratio of 1.11. This is a bad value and indicates that 1KER is not financially healthy enough and could expect problems in meeting its short term obligations.
1KER has a Quick ratio of 0.69. This is in the lower half of the industry: 1KER underperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
1KER shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -57.30%.
1KER shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -16.03% yearly.
Looking at the last year, 1KER shows a very negative growth in Revenue. The Revenue has decreased by -12.12% in the last year.
Measured over the past years, 1KER shows a small growth in Revenue. The Revenue has been growing by 1.60% on average per year.
EPS 1Y (TTM)-57.3%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-66.89%
Revenue 1Y (TTM)-12.12%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-13.31%
3.2 Future
The Earnings Per Share is expected to grow by 26.93% on average over the next years. This is a very strong growth
1KER is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.44% yearly.
EPS Next Y-11.6%
EPS Next 2Y5.25%
EPS Next 3Y9.21%
EPS Next 5Y26.93%
Revenue Next Year-8.52%
Revenue Next 2Y-2.02%
Revenue Next 3Y0.88%
Revenue Next 5Y4.44%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
1KER is valuated correctly with a Price/Earnings ratio of 16.45.
64.29% of the companies in the same industry are more expensive than 1KER, based on the Price/Earnings ratio.
1KER's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.17.
A Price/Forward Earnings ratio of 18.61 indicates a rather expensive valuation of 1KER.
71.43% of the companies in the same industry are more expensive than 1KER, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.10. 1KER is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.45 | ||
| Fwd PE | 18.61 |
4.2 Price Multiples
1KER's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1KER.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.49 | ||
| EV/EBITDA | 8.42 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.25%
EPS Next 3Y9.21%
5. Dividend
5.1 Amount
1KER has a Yearly Dividend Yield of 3.37%.
In the last 3 months the price of 1KER has falen by -37.37%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
1KER's Dividend Yield is rather good when compared to the industry average which is at 3.44. 1KER pays more dividend than 85.71% of the companies in the same industry.
1KER's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
5.2 History
The dividend of 1KER is nicely growing with an annual growth rate of 6.01%!
Dividend Growth(5Y)6.01%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
151.46% of the earnings are spent on dividend by 1KER. This is not a sustainable payout ratio.
1KER's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP151.46%
EPS Next 2Y5.25%
EPS Next 3Y9.21%
BIT:1KER (5/27/2025, 7:00:00 PM)
175.7
+0.72 (+0.41%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners25.98%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap21.68B
Analysts52.94
Price Target202.34 (15.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
Yearly Dividend14
Dividend Growth(5Y)6.01%
DP151.46%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-16.27%
PT rev (3m)-20.12%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-17.36%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-5.59%
Revenue NY rev (3m)-9.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.45 | ||
| Fwd PE | 18.61 | ||
| P/S | 1.26 | ||
| P/FCF | 15.49 | ||
| P/OCF | 4.6 | ||
| P/B | 1.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.42 |
EPS(TTM)10.68
EY6.08%
EPS(NY)9.44
Fwd EY5.37%
FCF(TTM)11.34
FCFY6.46%
OCF(TTM)38.15
OCFY21.72%
SpS139.31
BVpS120.76
TBVpS-5.35
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 7.6% | ||
| ROCE | 7.37% | ||
| ROIC | 5.2% | ||
| ROICexc | 5.4% | ||
| ROICexgc | 10.07% | ||
| OM | 14.48% | ||
| PM (TTM) | 6.59% | ||
| GM | 73.75% | ||
| FCFM | 8.14% |
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
ROICexc(3y)11.71%
ROICexc(5y)13.25%
ROICexgc(3y)23.84%
ROICexgc(5y)27.41%
ROCE(3y)14.46%
ROCE(5y)15.94%
ROICexcg growth 3Y-34.7%
ROICexcg growth 5Y-22.91%
ROICexc growth 3Y-32.92%
ROICexc growth 5Y-21.33%
OM growth 3Y-19.39%
OM growth 5Y-13.44%
PM growth 3Y-28.46%
PM growth 5Y-14.63%
GM growth 3Y-0.14%
GM growth 5Y-0.1%
F-Score3
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.11 | ||
| Debt/FCF | 13.88 | ||
| Debt/EBITDA | 3.58 | ||
| Cap/Depr | 156.6% | ||
| Cap/Sales | 19.25% | ||
| Interest Coverage | 4.08 | ||
| Cash Conversion | 102.33% | ||
| Profit Quality | 123.57% | ||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 1.55 |
F-Score3
WACC6.67%
ROIC/WACC0.78
Cap/Depr(3y)121.37%
Cap/Depr(5y)96.61%
Cap/Sales(3y)12.62%
Cap/Sales(5y)9.83%
Profit Quality(3y)91.35%
Profit Quality(5y)99.13%
High Growth Momentum
Growth
EPS 1Y (TTM)-57.3%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-66.89%
EPS Next Y-11.6%
EPS Next 2Y5.25%
EPS Next 3Y9.21%
EPS Next 5Y26.93%
Revenue 1Y (TTM)-12.12%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-13.31%
Revenue Next Year-8.52%
Revenue Next 2Y-2.02%
Revenue Next 3Y0.88%
Revenue Next 5Y4.44%
EBIT growth 1Y-47.22%
EBIT growth 3Y-20.08%
EBIT growth 5Y-12.06%
EBIT Next Year50.68%
EBIT Next 3Y22.84%
EBIT Next 5Y25.36%
FCF growth 1Y-24.24%
FCF growth 3Y-29.17%
FCF growth 5Y-3.26%
OCF growth 1Y5.61%
OCF growth 3Y-1.14%
OCF growth 5Y12.54%