KAISER ALUMINUM CORP (KALU) Stock Fundamental Analysis
USA - NASDAQ:KALU - US4830077040 - Common Stock
73.93 USD
-1.84 (-2.43%)
73.93 USD
0 (0%)
Taking everything into account, KALU scores 5 out of 10 in our fundamental rating. KALU was compared to 156 industry peers in the Metals & Mining industry. There are concerns on the financial health of KALU while its profitability can be described as average. KALU has a correct valuation and a medium growth rate. KALU also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
KALU had positive earnings in the past year.
In the past year KALU had a positive cash flow from operations.
In multiple years KALU reported negative net income over the last 5 years.
Of the past 5 years KALU 4 years had a positive operating cash flow.
1.2 Ratios
KALU's Return On Assets of 2.54% is fine compared to the rest of the industry. KALU outperforms 67.31% of its industry peers.
KALU has a better Return On Equity (8.23%) than 73.72% of its industry peers.
KALU's Return On Invested Capital of 4.59% is fine compared to the rest of the industry. KALU outperforms 62.82% of its industry peers.
KALU had an Average Return On Invested Capital over the past 3 years of 3.08%. This is significantly below the industry average of 12.88%.
The 3 year average ROIC (3.08%) for KALU is below the current ROIC(4.59%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.54% | ||
| ROE | 8.23% | ||
| ROIC | 4.59% |
ROA(3y)0.94%
ROA(5y)0.72%
ROE(3y)3.18%
ROE(5y)2.16%
ROIC(3y)3.08%
ROIC(5y)3.31%
1.3 Margins
KALU has a Profit Margin of 2.05%. This is in the better half of the industry: KALU outperforms 64.10% of its industry peers.
KALU's Profit Margin has declined in the last couple of years.
The Operating Margin of KALU (3.90%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of KALU has declined.
KALU's Gross Margin of 11.55% is in line compared to the rest of the industry. KALU outperforms 44.87% of its industry peers.
In the last couple of years the Gross Margin of KALU has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.9% | ||
| PM (TTM) | 2.05% | ||
| GM | 11.55% |
OM growth 3Y0.96%
OM growth 5Y-20.66%
PM growth 3YN/A
PM growth 5Y-17.68%
GM growth 3Y1.76%
GM growth 5Y-11.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KALU is destroying value.
Compared to 1 year ago, KALU has more shares outstanding
KALU has more shares outstanding than it did 5 years ago.
The debt/assets ratio for KALU has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.21 indicates that KALU is not a great score, but indicates only limited risk for bankruptcy at the moment.
KALU has a worse Altman-Z score (2.21) than 61.54% of its industry peers.
A Debt/Equity ratio of 1.39 is on the high side and indicates that KALU has dependencies on debt financing.
KALU's Debt to Equity ratio of 1.39 is on the low side compared to the rest of the industry. KALU is outperformed by 89.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.21 |
ROIC/WACC0.55
WACC8.29%
2.3 Liquidity
KALU has a Current Ratio of 2.70. This indicates that KALU is financially healthy and has no problem in meeting its short term obligations.
KALU has a Current ratio (2.70) which is comparable to the rest of the industry.
KALU has a Quick Ratio of 1.30. This is a normal value and indicates that KALU is financially healthy and should not expect problems in meeting its short term obligations.
KALU has a Quick ratio of 1.30. This is comparable to the rest of the industry: KALU outperforms 46.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.7 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.84% over the past year.
Measured over the past years, KALU shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -18.22% on average per year.
The Revenue has been growing slightly by 4.62% in the past year.
Measured over the past years, KALU shows a quite strong growth in Revenue. The Revenue has been growing by 14.84% on average per year.
EPS 1Y (TTM)27.84%
EPS 3Y1.36%
EPS 5Y-18.22%
EPS Q2Q%86.15%
Revenue 1Y (TTM)4.62%
Revenue growth 3Y4.87%
Revenue growth 5Y14.84%
Sales Q2Q%6.43%
3.2 Future
The Earnings Per Share is expected to grow by 64.64% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 17.02% on average over the next years. This is quite good.
EPS Next Y109.28%
EPS Next 2Y64.64%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year15.3%
Revenue Next 2Y17.02%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.18, the valuation of KALU can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of KALU indicates a rather cheap valuation: KALU is cheaper than 80.77% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.41. KALU is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 10.87, which indicates a very decent valuation of KALU.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KALU indicates a rather cheap valuation: KALU is cheaper than 80.77% of the companies listed in the same industry.
KALU is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.87, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.18 | ||
| Fwd PE | 10.87 |
4.2 Price Multiples
KALU's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. KALU is cheaper than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.43 |
4.3 Compensation for Growth
KALU's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
KALU's earnings are expected to grow with 64.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y64.64%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.91%, KALU has a reasonable but not impressive dividend return.
KALU's Dividend Yield is rather good when compared to the industry average which is at 2.51. KALU pays more dividend than 94.23% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, KALU pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.91% |
5.2 History
The dividend of KALU has a limited annual growth rate of 5.17%.
KALU has been paying a dividend for at least 10 years, so it has a reliable track record.
KALU has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.17%
Div Incr Years0
Div Non Decr Years17
5.3 Sustainability
79.97% of the earnings are spent on dividend by KALU. This is not a sustainable payout ratio.
KALU's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP79.97%
EPS Next 2Y64.64%
EPS Next 3YN/A
73.93
-1.84 (-2.43%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners95.32%
Inst Owner Change1.59%
Ins Owners1.23%
Ins Owner Change1.57%
Market Cap1.20B
Analysts80
Price Target75.48 (2.1%)
Short Float %3.5%
Short Ratio4.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.91% |
Yearly Dividend3.16
Dividend Growth(5Y)5.17%
DP79.97%
Div Incr Years0
Div Non Decr Years17
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)93.25%
Min EPS beat(2)55.07%
Max EPS beat(2)131.44%
EPS beat(4)2
Avg EPS beat(4)24.32%
Min EPS beat(4)-49.45%
Max EPS beat(4)131.44%
EPS beat(8)4
Avg EPS beat(8)92.14%
EPS beat(12)7
Avg EPS beat(12)-5.09%
EPS beat(16)7
Avg EPS beat(16)-18.9%
Revenue beat(2)1
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-6.14%
Max Revenue beat(2)2.6%
Revenue beat(4)2
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-6.14%
Max Revenue beat(4)2.6%
Revenue beat(8)3
Avg Revenue beat(8)-1.74%
Revenue beat(12)5
Avg Revenue beat(12)-1.28%
Revenue beat(16)8
Avg Revenue beat(16)-0.24%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-23.81%
EPS NQ rev (3m)-26.61%
EPS NY rev (1m)0%
EPS NY rev (3m)4.78%
Revenue NQ rev (1m)3.95%
Revenue NQ rev (3m)7.2%
Revenue NY rev (1m)2.76%
Revenue NY rev (3m)5.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.18 | ||
| Fwd PE | 10.87 | ||
| P/S | 0.38 | ||
| P/FCF | N/A | ||
| P/OCF | 7.95 | ||
| P/B | 1.54 | ||
| P/tB | 1.68 | ||
| EV/EBITDA | 9.43 |
EPS(TTM)3.49
EY4.72%
EPS(NY)6.8
Fwd EY9.2%
FCF(TTM)-2.38
FCFYN/A
OCF(TTM)9.3
OCFY12.57%
SpS192.44
BVpS47.96
TBVpS44.13
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.54% | ||
| ROE | 8.23% | ||
| ROCE | 5.82% | ||
| ROIC | 4.59% | ||
| ROICexc | 4.62% | ||
| ROICexgc | 4.76% | ||
| OM | 3.9% | ||
| PM (TTM) | 2.05% | ||
| GM | 11.55% | ||
| FCFM | N/A |
ROA(3y)0.94%
ROA(5y)0.72%
ROE(3y)3.18%
ROE(5y)2.16%
ROIC(3y)3.08%
ROIC(5y)3.31%
ROICexc(3y)3.17%
ROICexc(5y)4.17%
ROICexgc(3y)3.29%
ROICexgc(5y)4.37%
ROCE(3y)3.91%
ROCE(5y)4.2%
ROICexcg growth 3Y0.26%
ROICexcg growth 5Y-19.86%
ROICexc growth 3Y1.34%
ROICexc growth 5Y-19.63%
OM growth 3Y0.96%
OM growth 5Y-20.66%
PM growth 3YN/A
PM growth 5Y-17.68%
GM growth 3Y1.76%
GM growth 5Y-11.02%
F-Score7
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.39 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.49 | ||
| Cap/Depr | 159.81% | ||
| Cap/Sales | 6.07% | ||
| Interest Coverage | 2.92 | ||
| Cash Conversion | 62.75% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.7 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 2.21 |
F-Score7
WACC8.29%
ROIC/WACC0.55
Cap/Depr(3y)140.16%
Cap/Depr(5y)249.82%
Cap/Sales(3y)4.92%
Cap/Sales(5y)8.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.84%
EPS 3Y1.36%
EPS 5Y-18.22%
EPS Q2Q%86.15%
EPS Next Y109.28%
EPS Next 2Y64.64%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)4.62%
Revenue growth 3Y4.87%
Revenue growth 5Y14.84%
Sales Q2Q%6.43%
Revenue Next Year15.3%
Revenue Next 2Y17.02%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y23.6%
EBIT growth 3Y5.87%
EBIT growth 5Y-8.89%
EBIT Next Year175.35%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y80.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y774.44%
OCF growth 3Y28.15%
OCF growth 5Y-6.38%