KOREA ELEC POWER CORP-SP ADR (KEP) Stock Fundamental Analysis
USA - NYSE:KEP - US5006311063 - ADR
15.22 USD
+0.42 (+2.84%)
15.22 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to KEP. KEP was compared to 47 industry peers in the Electric Utilities industry. Both the profitability and financial health of KEP have multiple concerns. KEP scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
KEP had positive earnings in the past year.
In the past year KEP had a positive cash flow from operations.
In multiple years KEP reported negative net income over the last 5 years.
Of the past 5 years KEP 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of KEP (2.53%) is comparable to the rest of the industry.
KEP has a better Return On Equity (14.89%) than 82.98% of its industry peers.
With a Return On Invested Capital value of 4.04%, KEP perfoms like the industry average, outperforming 46.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.53% | ||
| ROE | 14.89% | ||
| ROIC | 4.04% |
ROA(3y)-3.67%
ROA(5y)-2.51%
ROE(3y)-21.68%
ROE(5y)-14.1%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
KEP has a worse Profit Margin (6.61%) than 80.85% of its industry peers.
With a Operating Margin value of 12.21%, KEP is not doing good in the industry: 80.85% of the companies in the same industry are doing better.
KEP's Gross Margin of 15.48% is on the low side compared to the rest of the industry. KEP is outperformed by 76.60% of its industry peers.
In the last couple of years the Gross Margin of KEP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.21% | ||
| PM (TTM) | 6.61% | ||
| GM | 15.48% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5Y39.06%
2. Health
2.1 Basic Checks
KEP has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
KEP has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for KEP remains at a similar level compared to 5 years ago.
The debt/assets ratio for KEP has been reduced compared to a year ago.
2.2 Solvency
KEP has an Altman-Z score of 0.59. This is a bad value and indicates that KEP is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of KEP (0.59) is worse than 78.72% of its industry peers.
The Debt to FCF ratio of KEP is 41.12, which is on the high side as it means it would take KEP, 41.12 years of fcf income to pay off all of its debts.
KEP has a Debt to FCF ratio of 41.12. This is in the better half of the industry: KEP outperforms 72.34% of its industry peers.
A Debt/Equity ratio of 2.45 is on the high side and indicates that KEP has dependencies on debt financing.
KEP has a worse Debt to Equity ratio (2.45) than 93.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.45 | ||
| Debt/FCF | 41.12 | ||
| Altman-Z | 0.59 |
ROIC/WACC1.71
WACC2.37%
2.3 Liquidity
A Current Ratio of 0.46 indicates that KEP may have some problems paying its short term obligations.
The Current ratio of KEP (0.46) is worse than 95.74% of its industry peers.
KEP has a Quick Ratio of 0.46. This is a bad value and indicates that KEP is not financially healthy enough and could expect problems in meeting its short term obligations.
KEP's Quick ratio of 0.31 is on the low side compared to the rest of the industry. KEP is outperformed by 93.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 138.53% over the past year.
KEP shows a small growth in Revenue. In the last year, the Revenue has grown by 5.55%.
The Revenue has been growing by 9.56% on average over the past years. This is quite good.
EPS 1Y (TTM)138.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1653.47%
Revenue 1Y (TTM)5.55%
Revenue growth 3Y15.46%
Revenue growth 5Y9.56%
Sales Q2Q%7.21%
3.2 Future
KEP is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 40.85% yearly.
Based on estimates for the next years, KEP will show a small growth in Revenue. The Revenue will grow by 2.53% on average per year.
EPS Next Y126.06%
EPS Next 2Y62.19%
EPS Next 3Y40.85%
EPS Next 5YN/A
Revenue Next Year3.86%
Revenue Next 2Y2.89%
Revenue Next 3Y2.53%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 4.45, which indicates a rather cheap valuation of KEP.
93.62% of the companies in the same industry are more expensive than KEP, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.91. KEP is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 3.06, the valuation of KEP can be described as very cheap.
Based on the Price/Forward Earnings ratio, KEP is valued cheaply inside the industry as 97.87% of the companies are valued more expensively.
KEP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.45 | ||
| Fwd PE | 3.06 |
4.2 Price Multiples
95.74% of the companies in the same industry are more expensive than KEP, based on the Enterprise Value to EBITDA ratio.
91.49% of the companies in the same industry are more expensive than KEP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.57 | ||
| EV/EBITDA | 5.49 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
KEP's earnings are expected to grow with 40.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.04
PEG (5Y)N/A
EPS Next 2Y62.19%
EPS Next 3Y40.85%
5. Dividend
5.1 Amount
With a yearly dividend of 0.53%, KEP is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.24, KEP's dividend is way lower than its industry peers. On top of this 85.11% of the companies listed in the same industry pay a better dividend than KEP!
Compared to an average S&P500 Dividend Yield of 2.34, KEP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.53% |
5.2 History
The dividend of KEP has a limited annual growth rate of 5.02%.
KEP has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)5.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
4.03% of the earnings are spent on dividend by KEP. This is a low number and sustainable payout ratio.
KEP's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP4.03%
EPS Next 2Y62.19%
EPS Next 3Y40.85%
15.22
+0.42 (+2.84%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners49.05%
Inst Owner Change0.1%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap19.54B
Revenue(TTM)95806.57B
Net Income(TTM)6330.11B
Analysts79
Price Target15.85 (4.14%)
Short Float %0.19%
Short Ratio2.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.53% |
Yearly Dividend0.07
Dividend Growth(5Y)5.02%
DP4.03%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.16%
Min EPS beat(2)-24.08%
Max EPS beat(2)48.39%
EPS beat(4)2
Avg EPS beat(4)8.32%
Min EPS beat(4)-24.08%
Max EPS beat(4)48.39%
EPS beat(8)3
Avg EPS beat(8)62.06%
EPS beat(12)5
Avg EPS beat(12)40.12%
EPS beat(16)5
Avg EPS beat(16)-39.99%
Revenue beat(2)1
Avg Revenue beat(2)-1.25%
Min Revenue beat(2)-2.62%
Max Revenue beat(2)0.13%
Revenue beat(4)2
Avg Revenue beat(4)-0.82%
Min Revenue beat(4)-2.62%
Max Revenue beat(4)0.81%
Revenue beat(8)3
Avg Revenue beat(8)-0.76%
Revenue beat(12)6
Avg Revenue beat(12)-0.08%
Revenue beat(16)9
Avg Revenue beat(16)11.16%
PT rev (1m)-3.22%
PT rev (3m)19.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.07%
EPS NY rev (1m)-0.32%
EPS NY rev (3m)12.35%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.45 | ||
| Fwd PE | 3.06 | ||
| P/S | 0.29 | ||
| P/FCF | 8.57 | ||
| P/OCF | 1.47 | ||
| P/B | 0.66 | ||
| P/tB | 0.68 | ||
| EV/EBITDA | 5.49 |
EPS(TTM)3.42
EY22.47%
EPS(NY)4.97
Fwd EY32.63%
FCF(TTM)1.78
FCFY11.67%
OCF(TTM)10.38
OCFY68.17%
SpS51.8
BVpS22.99
TBVpS22.35
PEG (NY)0.04
PEG (5Y)N/A
Graham Number42.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.53% | ||
| ROE | 14.89% | ||
| ROCE | 6.25% | ||
| ROIC | 4.04% | ||
| ROICexc | 4.16% | ||
| ROICexgc | 4.19% | ||
| OM | 12.21% | ||
| PM (TTM) | 6.61% | ||
| GM | 15.48% | ||
| FCFM | 3.43% |
ROA(3y)-3.67%
ROA(5y)-2.51%
ROE(3y)-21.68%
ROE(5y)-14.1%
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
ROICexgc growth 3YN/A
ROICexgc 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 3YN/A
GM growth 5Y39.06%
F-Score7
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.45 | ||
| Debt/FCF | 41.12 | ||
| Debt/EBITDA | 4.06 | ||
| Cap/Depr | 113.86% | ||
| Cap/Sales | 16.6% | ||
| Interest Coverage | 2.51 | ||
| Cash Conversion | 74.75% | ||
| Profit Quality | 51.9% | ||
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 0.59 |
F-Score7
WACC2.37%
ROIC/WACC1.71
Cap/Depr(3y)103.08%
Cap/Depr(5y)106.47%
Cap/Sales(3y)16.2%
Cap/Sales(5y)18.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)138.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1653.47%
EPS Next Y126.06%
EPS Next 2Y62.19%
EPS Next 3Y40.85%
EPS Next 5YN/A
Revenue 1Y (TTM)5.55%
Revenue growth 3Y15.46%
Revenue growth 5Y9.56%
Sales Q2Q%7.21%
Revenue Next Year3.86%
Revenue Next 2Y2.89%
Revenue Next 3Y2.53%
Revenue Next 5YN/A
EBIT growth 1Y81.29%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year223.3%
EBIT Next 3Y52.88%
EBIT Next 5YN/A
FCF growth 1Y110.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y203.68%
OCF growth 3Y52.54%
OCF growth 5Y14.19%
KOREA ELEC POWER CORP-SP ADR / KEP FAQ
Can you provide the ChartMill fundamental rating for KOREA ELEC POWER CORP-SP ADR?
ChartMill assigns a fundamental rating of 4 / 10 to KEP.
What is the valuation status of KOREA ELEC POWER CORP-SP ADR (KEP) stock?
ChartMill assigns a valuation rating of 9 / 10 to KOREA ELEC POWER CORP-SP ADR (KEP). This can be considered as Undervalued.
Can you provide the profitability details for KOREA ELEC POWER CORP-SP ADR?
KOREA ELEC POWER CORP-SP ADR (KEP) has a profitability rating of 3 / 10.
What is the valuation of KOREA ELEC POWER CORP-SP ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for KOREA ELEC POWER CORP-SP ADR (KEP) is 4.45 and the Price/Book (PB) ratio is 0.66.
What is the earnings growth outlook for KOREA ELEC POWER CORP-SP ADR?
The Earnings per Share (EPS) of KOREA ELEC POWER CORP-SP ADR (KEP) is expected to grow by 126.06% in the next year.