KIMBALL ELECTRONICS INC (KE) Stock Fundamental Analysis
USA - NASDAQ:KE - US49428J1097 - Common Stock
30.38 USD
+1.59 (+5.52%)
30.38 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to KE. KE was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. KE has an excellent financial health rating, but there are some minor concerns on its profitability. KE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year KE was profitable.
In the past year KE had a positive cash flow from operations.
In the past 5 years KE has always been profitable.
In multiple years KE reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.57%, KE is in line with its industry, outperforming 53.23% of the companies in the same industry.
The Return On Equity of KE (2.98%) is comparable to the rest of the industry.
KE's Return On Invested Capital of 5.52% is in line compared to the rest of the industry. KE outperforms 59.68% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KE is below the industry average of 9.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.57% | ||
| ROE | 2.98% | ||
| ROIC | 5.52% |
ROA(3y)2.56%
ROA(5y)3.53%
ROE(3y)5.8%
ROE(5y)7.42%
ROIC(3y)7.03%
ROIC(5y)7.46%
1.3 Margins
KE's Profit Margin of 1.14% is in line compared to the rest of the industry. KE outperforms 51.61% of its industry peers.
In the last couple of years the Profit Margin of KE has declined.
Looking at the Operating Margin, with a value of 3.64%, KE is in line with its industry, outperforming 58.06% of the companies in the same industry.
KE's Operating Margin has improved in the last couple of years.
KE's Gross Margin of 7.02% is on the low side compared to the rest of the industry. KE is outperformed by 84.68% of its industry peers.
KE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.64% | ||
| PM (TTM) | 1.14% | ||
| GM | 7.02% |
OM growth 3Y-1.3%
OM growth 5Y1.84%
PM growth 3Y-20.97%
PM growth 5Y-5.52%
GM growth 3Y-3.24%
GM growth 5Y0.12%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KE is destroying value.
The number of shares outstanding for KE has been reduced compared to 1 year ago.
Compared to 5 years ago, KE has less shares outstanding
KE has a better debt/assets ratio than last year.
2.2 Solvency
KE has an Altman-Z score of 3.28. This indicates that KE is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of KE (3.28) is comparable to the rest of the industry.
The Debt to FCF ratio of KE is 0.98, which is an excellent value as it means it would take KE, only 0.98 years of fcf income to pay off all of its debts.
KE has a better Debt to FCF ratio (0.98) than 80.65% of its industry peers.
KE has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
KE's Debt to Equity ratio of 0.23 is in line compared to the rest of the industry. KE outperforms 41.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.98 | ||
| Altman-Z | 3.28 |
ROIC/WACC0.59
WACC9.42%
2.3 Liquidity
A Current Ratio of 2.20 indicates that KE has no problem at all paying its short term obligations.
With a Current ratio value of 2.20, KE perfoms like the industry average, outperforming 48.39% of the companies in the same industry.
A Quick Ratio of 1.34 indicates that KE should not have too much problems paying its short term obligations.
KE has a Quick ratio of 1.34. This is in the lower half of the industry: KE underperforms 62.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.2 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.93% over the past year.
The Earnings Per Share has been decreasing by -1.15% on average over the past years.
Looking at the last year, KE shows a very negative growth in Revenue. The Revenue has decreased by -13.29% in the last year.
The Revenue has been growing slightly by 4.37% on average over the past years.
EPS 1Y (TTM)13.93%
EPS 3Y-2.27%
EPS 5Y-1.15%
EPS Q2Q%122.73%
Revenue 1Y (TTM)-13.29%
Revenue growth 3Y3.28%
Revenue growth 5Y4.37%
Sales Q2Q%-2.31%
3.2 Future
The Earnings Per Share is expected to grow by 14.85% on average over the next years. This is quite good.
KE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.61% yearly.
EPS Next Y14.06%
EPS Next 2Y14.85%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.7%
Revenue Next 2Y0.61%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.86, KE is valued on the expensive side.
Based on the Price/Earnings ratio, KE is valued a bit cheaper than the industry average as 75.81% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.13. KE is around the same levels.
The Price/Forward Earnings ratio is 20.56, which indicates a rather expensive current valuation of KE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KE indicates a somewhat cheap valuation: KE is cheaper than 70.16% of the companies listed in the same industry.
KE is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.86 | ||
| Fwd PE | 20.56 |
4.2 Price Multiples
KE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. KE is cheaper than 91.13% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KE indicates a rather cheap valuation: KE is cheaper than 96.77% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.93 | ||
| EV/EBITDA | 8.77 |
4.3 Compensation for Growth
KE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
KE's earnings are expected to grow with 14.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.55
PEG (5Y)N/A
EPS Next 2Y14.85%
EPS Next 3YN/A
5. Dividend
5.1 Amount
KE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
30.38
+1.59 (+5.52%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners79.35%
Inst Owner Change0.19%
Ins Owners2.23%
Ins Owner Change7.6%
Market Cap740.97M
Revenue(TTM)1.49B
Net Income(TTM)16.96M
Analysts81.67
Price Target30.35 (-0.1%)
Short Float %2.9%
Short Ratio2.52
Dividend
| Industry Rank | Sector 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)2
Avg EPS beat(2)81.84%
Min EPS beat(2)37.97%
Max EPS beat(2)125.71%
EPS beat(4)3
Avg EPS beat(4)42.16%
Min EPS beat(4)-20.15%
Max EPS beat(4)125.71%
EPS beat(8)3
Avg EPS beat(8)12.65%
EPS beat(12)4
Avg EPS beat(12)5.39%
EPS beat(16)5
Avg EPS beat(16)-5.71%
Revenue beat(2)2
Avg Revenue beat(2)9.22%
Min Revenue beat(2)7.58%
Max Revenue beat(2)10.87%
Revenue beat(4)2
Avg Revenue beat(4)2.94%
Min Revenue beat(4)-3.63%
Max Revenue beat(4)10.87%
Revenue beat(8)2
Avg Revenue beat(8)-1.6%
Revenue beat(12)6
Avg Revenue beat(12)-0.18%
Revenue beat(16)7
Avg Revenue beat(16)-1.09%
PT rev (1m)6.73%
PT rev (3m)50.63%
EPS NQ rev (1m)-3.89%
EPS NQ rev (3m)33.08%
EPS NY rev (1m)-1.76%
EPS NY rev (3m)30.9%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.28%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.86 | ||
| Fwd PE | 20.56 | ||
| P/S | 0.5 | ||
| P/FCF | 4.93 | ||
| P/OCF | 4.03 | ||
| P/B | 1.3 | ||
| P/tB | 1.32 | ||
| EV/EBITDA | 8.77 |
EPS(TTM)1.39
EY4.58%
EPS(NY)1.48
Fwd EY4.86%
FCF(TTM)6.16
FCFY20.28%
OCF(TTM)7.54
OCFY24.82%
SpS60.96
BVpS23.37
TBVpS23.01
PEG (NY)1.55
PEG (5Y)N/A
Graham Number27.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.57% | ||
| ROE | 2.98% | ||
| ROCE | 7.13% | ||
| ROIC | 5.52% | ||
| ROICexc | 6.25% | ||
| ROICexgc | 6.33% | ||
| OM | 3.64% | ||
| PM (TTM) | 1.14% | ||
| GM | 7.02% | ||
| FCFM | 10.11% |
ROA(3y)2.56%
ROA(5y)3.53%
ROE(3y)5.8%
ROE(5y)7.42%
ROIC(3y)7.03%
ROIC(5y)7.46%
ROICexc(3y)7.68%
ROICexc(5y)8.47%
ROICexgc(3y)7.84%
ROICexgc(5y)8.83%
ROCE(3y)9.09%
ROCE(5y)9.64%
ROICexgc growth 3Y-4.11%
ROICexgc growth 5Y-3.6%
ROICexc growth 3Y-3%
ROICexc growth 5Y-2.41%
OM growth 3Y-1.3%
OM growth 5Y1.84%
PM growth 3Y-20.97%
PM growth 5Y-5.52%
GM growth 3Y-3.24%
GM growth 5Y0.12%
F-Score5
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.98 | ||
| Debt/EBITDA | 1.42 | ||
| Cap/Depr | 91.03% | ||
| Cap/Sales | 2.27% | ||
| Interest Coverage | 2.98 | ||
| Cash Conversion | 201.85% | ||
| Profit Quality | 885.72% | ||
| Current Ratio | 2.2 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 3.28 |
F-Score5
WACC9.42%
ROIC/WACC0.59
Cap/Depr(3y)164.89%
Cap/Depr(5y)172.92%
Cap/Sales(3y)3.33%
Cap/Sales(5y)3.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.93%
EPS 3Y-2.27%
EPS 5Y-1.15%
EPS Q2Q%122.73%
EPS Next Y14.06%
EPS Next 2Y14.85%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-13.29%
Revenue growth 3Y3.28%
Revenue growth 5Y4.37%
Sales Q2Q%-2.31%
Revenue Next Year-2.7%
Revenue Next 2Y0.61%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-42.42%
EBIT growth 3Y1.94%
EBIT growth 5Y6.29%
EBIT Next Year63.43%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y474.02%
FCF growth 3YN/A
FCF growth 5Y34.53%
OCF growth 1Y151.22%
OCF growth 3YN/A
OCF growth 5Y20.37%
KIMBALL ELECTRONICS INC / KE FAQ
What is the fundamental rating for KE stock?
ChartMill assigns a fundamental rating of 4 / 10 to KE.
What is the valuation status of KIMBALL ELECTRONICS INC (KE) stock?
ChartMill assigns a valuation rating of 4 / 10 to KIMBALL ELECTRONICS INC (KE). This can be considered as Fairly Valued.
How profitable is KIMBALL ELECTRONICS INC (KE) stock?
KIMBALL ELECTRONICS INC (KE) has a profitability rating of 4 / 10.
What are the PE and PB ratios of KIMBALL ELECTRONICS INC (KE) stock?
The Price/Earnings (PE) ratio for KIMBALL ELECTRONICS INC (KE) is 21.86 and the Price/Book (PB) ratio is 1.3.
What is the expected EPS growth for KIMBALL ELECTRONICS INC (KE) stock?
The Earnings per Share (EPS) of KIMBALL ELECTRONICS INC (KE) is expected to grow by 14.06% in the next year.