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KINGSOFT CLOUD HOLDINGS-ADR (KC) Stock Fundamental Analysis

USA - NASDAQ:KC - US49639K1016 - ADR

13.065 USD
-0.17 (-1.25%)
Last: 10/16/2025, 10:02:48 AM
Fundamental Rating

2

We assign a fundamental rating of 2 out of 10 to KC. KC was compared to 86 industry peers in the IT Services industry. Both the profitability and financial health of KC have multiple concerns. KC is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

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1

1. Profitability

1.1 Basic Checks

KC had negative earnings in the past year.
KC had negative earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: KC reported negative operating cash flow in multiple years.
KC Yearly Net Income VS EBIT VS OCF VS FCFKC Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 0 -1B -2B -3B

1.2 Ratios

KC has a worse Return On Assets (-8.16%) than 73.26% of its industry peers.
Looking at the Return On Equity, with a value of -30.12%, KC is doing worse than 72.09% of the companies in the same industry.
Industry RankSector Rank
ROA -8.16%
ROE -30.12%
ROIC N/A
ROA(3y)-13.66%
ROA(5y)-11.35%
ROE(3y)-33.28%
ROE(5y)-25.35%
ROIC(3y)N/A
ROIC(5y)N/A
KC Yearly ROA, ROE, ROICKC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2017 2018 2019 2020 2021 2022 2023 2024 -10 -20 -30 -40

1.3 Margins

KC's Gross Margin of 16.43% is on the low side compared to the rest of the industry. KC is outperformed by 87.21% of its industry peers.
In the last couple of years the Gross Margin of KC has grown nicely.
KC does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 16.43%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y64.39%
GM growth 5Y145.13%
KC Yearly Profit, Operating, Gross MarginsKC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2017 2018 2019 2020 2021 2022 2023 2024 0 -20 -40 -60 -80 -100

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0

2. Health

2.1 Basic Checks

KC does not have a ROIC to compare to the WACC, probably because it is not profitable.
KC has more shares outstanding than it did 1 year ago.
KC has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, KC has a worse debt to assets ratio.
KC Yearly Shares OutstandingKC Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M
KC Yearly Total Debt VS Total AssetsKC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

2.2 Solvency

Based on the Altman-Z score of 0.22, we must say that KC is in the distress zone and has some risk of bankruptcy.
KC has a Altman-Z score of 0.22. This is in the lower half of the industry: KC underperforms 79.07% of its industry peers.
A Debt/Equity ratio of 1.02 is on the high side and indicates that KC has dependencies on debt financing.
With a Debt to Equity ratio value of 1.02, KC is not doing good in the industry: 67.44% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 1.02
Debt/FCF N/A
Altman-Z 0.22
ROIC/WACCN/A
WACC7.01%
KC Yearly LT Debt VS Equity VS FCFKC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B 6B 8B 10B

2.3 Liquidity

A Current Ratio of 0.96 indicates that KC may have some problems paying its short term obligations.
With a Current ratio value of 0.96, KC is not doing good in the industry: 81.40% of the companies in the same industry are doing better.
KC has a Quick Ratio of 0.96. This is a bad value and indicates that KC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.96, KC is doing worse than 80.23% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.96
Quick Ratio 0.96
KC Yearly Current Assets VS Current LiabilitesKC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

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3. Growth

3.1 Past

KC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.06%, which is quite good.
KC shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.27%.
KC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.50% yearly.
EPS 1Y (TTM)8.06%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-1212.5%
Revenue 1Y (TTM)20.27%
Revenue growth 3Y-4.93%
Revenue growth 5Y14.5%
Sales Q2Q%24.18%

3.2 Future

The Earnings Per Share is expected to grow by 27.86% on average over the next years. This is a very strong growth
Based on estimates for the next years, KC will show a quite strong growth in Revenue. The Revenue will grow by 18.84% on average per year.
EPS Next Y-38.79%
EPS Next 2Y7.95%
EPS Next 3Y15.97%
EPS Next 5Y27.86%
Revenue Next Year24.14%
Revenue Next 2Y20.24%
Revenue Next 3Y18.33%
Revenue Next 5Y18.84%

3.3 Evolution

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.
KC Yearly Revenue VS EstimatesKC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 5B 10B 15B 20B 25B
KC Yearly EPS VS EstimatesKC Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 -2 -4 -6

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4. Valuation

4.1 Price/Earnings Ratio

KC reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for KC. No positive earnings are expected for the next year.
Industry RankSector Rank
PE N/A
Fwd PE N/A
KC Price Earnings VS Forward Price EarningsKC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 20 -20 40 -40 60

4.2 Price Multiples

61.63% of the companies in the same industry are cheaper than KC, based on the Enterprise Value to EBITDA ratio.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 55.27
KC Per share dataKC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 2 3 4

4.3 Compensation for Growth

KC's earnings are expected to grow with 15.97% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.95%
EPS Next 3Y15.97%

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0

5. Dividend

5.1 Amount

No dividends for KC!.
Industry RankSector Rank
Dividend Yield N/A

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KINGSOFT CLOUD HOLDINGS-ADR

NASDAQ:KC (10/16/2025, 10:02:48 AM)

13.065

-0.17 (-1.25%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)08-20 2025-08-20/bmo
Earnings (Next)11-17 2025-11-17/bmo
Inst Owners9.14%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap3.57B
Analysts86.32
Price Target18.13 (38.77%)
Short Float %46.12%
Short Ratio3.93
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-29.93%
Min EPS beat(2)-59.74%
Max EPS beat(2)-0.11%
EPS beat(4)2
Avg EPS beat(4)4.46%
Min EPS beat(4)-59.74%
Max EPS beat(4)67.32%
EPS beat(8)5
Avg EPS beat(8)16.78%
EPS beat(12)6
Avg EPS beat(12)7.22%
EPS beat(16)7
Avg EPS beat(16)4.2%
Revenue beat(2)1
Avg Revenue beat(2)-6.29%
Min Revenue beat(2)-14.5%
Max Revenue beat(2)1.92%
Revenue beat(4)2
Avg Revenue beat(4)-3.78%
Min Revenue beat(4)-14.5%
Max Revenue beat(4)2.67%
Revenue beat(8)3
Avg Revenue beat(8)-3.91%
Revenue beat(12)3
Avg Revenue beat(12)-5.35%
Revenue beat(16)4
Avg Revenue beat(16)-4.96%
PT rev (1m)7.91%
PT rev (3m)12.65%
EPS NQ rev (1m)-18.24%
EPS NQ rev (3m)20.35%
EPS NY rev (1m)-16.4%
EPS NY rev (3m)-9.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.69%
Revenue NY rev (1m)-0.15%
Revenue NY rev (3m)2.26%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 3.02
P/FCF N/A
P/OCF N/A
P/B 3.78
P/tB 16.96
EV/EBITDA 55.27
EPS(TTM)-0.43
EYN/A
EPS(NY)-0.26
Fwd EYN/A
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS4.33
BVpS3.45
TBVpS0.77
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -8.16%
ROE -30.12%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 16.43%
FCFM N/A
ROA(3y)-13.66%
ROA(5y)-11.35%
ROE(3y)-33.28%
ROE(5y)-25.35%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y64.39%
GM growth 5Y145.13%
F-ScoreN/A
Asset Turnover0.34
Health
Industry RankSector Rank
Debt/Equity 1.02
Debt/FCF N/A
Debt/EBITDA 15.73
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.96
Quick Ratio 0.96
Altman-Z 0.22
F-ScoreN/A
WACC7.01%
ROIC/WACCN/A
Cap/Depr(3y)208.23%
Cap/Depr(5y)184.13%
Cap/Sales(3y)30.92%
Cap/Sales(5y)25.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.06%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-1212.5%
EPS Next Y-38.79%
EPS Next 2Y7.95%
EPS Next 3Y15.97%
EPS Next 5Y27.86%
Revenue 1Y (TTM)20.27%
Revenue growth 3Y-4.93%
Revenue growth 5Y14.5%
Sales Q2Q%24.18%
Revenue Next Year24.14%
Revenue Next 2Y20.24%
Revenue Next 3Y18.33%
Revenue Next 5Y18.84%
EBIT growth 1Y32.66%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year221.07%
EBIT Next 3Y68.16%
EBIT Next 5YN/A
FCF growth 1Y-43.16%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y471.69%
OCF growth 3YN/A
OCF growth 5YN/A