KOREA ELEC POWER CORP-SP ADR (KEP) Stock Fundamental Analysis
NYSE:KEP - New York Stock Exchange, Inc. - US5006311063 - ADR - Currency: USD
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 is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
KEP had positive earnings in the past year.
KEP had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: KEP reported negative net income in multiple years.
Of the past 5 years KEP 4 years had a positive operating cash flow.
1.2 Ratios
KEP has a worse Return On Assets (2.10%) than 80.85% of its industry peers.
Looking at the Return On Equity, with a value of 12.53%, KEP is in the better half of the industry, outperforming 72.34% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.81%, KEP is doing worse than 65.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.1% | ||
| ROE | 12.53% | ||
| ROIC | 3.81% |
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
Looking at the Profit Margin, with a value of 5.57%, KEP is doing worse than 85.11% of the companies in the same industry.
The Operating Margin of KEP (11.47%) is worse than 82.98% of its industry peers.
The Gross Margin of KEP (14.75%) is worse than 78.72% of its industry peers.
KEP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.47% | ||
| PM (TTM) | 5.57% | ||
| GM | 14.75% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KEP is creating some value.
KEP has about the same amout of shares outstanding than it did 1 year ago.
KEP has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, KEP has an improved debt to assets ratio.
2.2 Solvency
KEP has an Altman-Z score of 0.54. This is a bad value and indicates that KEP is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.54, KEP is not doing good in the industry: 82.98% of the companies in the same industry are doing better.
KEP has a debt to FCF ratio of 67.45. This is a negative value and a sign of low solvency as KEP would need 67.45 years to pay back of all of its debts.
KEP's Debt to FCF ratio of 67.45 is fine compared to the rest of the industry. KEP outperforms 70.21% of its industry peers.
KEP has a Debt/Equity ratio of 2.42. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.42, KEP is doing worse than 93.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.42 | ||
| Debt/FCF | 67.45 | ||
| Altman-Z | 0.54 |
ROIC/WACC1.61
WACC2.37%
2.3 Liquidity
A Current Ratio of 0.47 indicates that KEP may have some problems paying its short term obligations.
With a Current ratio value of 0.47, KEP is not doing good in the industry: 87.23% of the companies in the same industry are doing better.
KEP has a Quick Ratio of 0.47. This is a bad value and indicates that KEP is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of KEP (0.32) is worse than 87.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.32 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 666.23% over the past year.
KEP shows a small growth in Revenue. In the last year, the Revenue has grown by 4.91%.
The Revenue has been growing by 9.56% on average over the past years. This is quite good.
EPS 1Y (TTM)666.23%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%314.51%
Revenue 1Y (TTM)4.91%
Revenue growth 3Y15.46%
Revenue growth 5Y9.56%
Sales Q2Q%4%
3.2 Future
KEP is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 34.41% yearly.
KEP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.67% yearly.
EPS Next Y101.2%
EPS Next 2Y51.1%
EPS Next 3Y34.41%
EPS Next 5YN/A
Revenue Next Year4.58%
Revenue Next 2Y3.39%
Revenue Next 3Y2.67%
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
With a Price/Earnings ratio of 4.27, the valuation of KEP can be described as very cheap.
97.87% of the companies in the same industry are more expensive than KEP, based on the Price/Earnings ratio.
KEP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.65.
The Price/Forward Earnings ratio is 2.82, which indicates a rather cheap valuation of KEP.
Based on the Price/Forward Earnings ratio, KEP is valued cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of KEP to the average of the S&P500 Index (21.27), we can say KEP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.27 | ||
| Fwd PE | 2.82 |
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.
89.36% 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 | 11.08 | ||
| EV/EBITDA | 5.51 |
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 34.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.04
PEG (5Y)N/A
EPS Next 2Y51.1%
EPS Next 3Y34.41%
5. Dividend
5.1 Amount
With a yearly dividend of 0.75%, KEP is not a good candidate for dividend investing.
With a Dividend Yield of 0.75, KEP pays less dividend than the industry average, which is at 3.70. 82.98% of the companies listed in the same industry pay a better dividend than KEP!
Compared to an average S&P500 Dividend Yield of 2.44, KEP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
5.2 History
The dividend of KEP has a limited annual growth rate of 5.02%.
KEP has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
KEP pays out 2.41% of its income as dividend. This is a sustainable payout ratio.
The dividend of KEP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP2.41%
EPS Next 2Y51.1%
EPS Next 3Y34.41%
NYSE:KEP (6/24/2025, 10:10:03 AM)
12.605
+2.22 (+21.44%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners47.36%
Inst Owner Change0.32%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap16.18B
Analysts84.35
Price Target12.09 (-4.09%)
Short Float %0.14%
Short Ratio2.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
Yearly Dividend0.07
Dividend Growth(5Y)5.02%
DP2.41%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)21.95%
Min EPS beat(2)-4.5%
Max EPS beat(2)48.39%
EPS beat(4)2
Avg EPS beat(4)-3.81%
Min EPS beat(4)-72.62%
Max EPS beat(4)48.39%
EPS beat(8)4
Avg EPS beat(8)66.81%
EPS beat(12)5
Avg EPS beat(12)41.1%
EPS beat(16)5
Avg EPS beat(16)-38.8%
Revenue beat(2)0
Avg Revenue beat(2)-2.11%
Min Revenue beat(2)-2.62%
Max Revenue beat(2)-1.59%
Revenue beat(4)1
Avg Revenue beat(4)-1.67%
Min Revenue beat(4)-3.28%
Max Revenue beat(4)0.81%
Revenue beat(8)2
Avg Revenue beat(8)-0.89%
Revenue beat(12)6
Avg Revenue beat(12)0.2%
Revenue beat(16)9
Avg Revenue beat(16)11.2%
PT rev (1m)14.1%
PT rev (3m)25.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)253.34%
EPS NY rev (1m)0%
EPS NY rev (3m)5.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.27 | ||
| Fwd PE | 2.82 | ||
| P/S | 0.24 | ||
| P/FCF | 11.08 | ||
| P/OCF | 1.37 | ||
| P/B | 0.54 | ||
| P/tB | 0.55 | ||
| EV/EBITDA | 5.51 |
EPS(TTM)2.95
EY23.4%
EPS(NY)4.47
Fwd EY35.48%
FCF(TTM)1.14
FCFY9.03%
OCF(TTM)9.2
OCFY72.99%
SpS52.93
BVpS23.54
TBVpS22.89
PEG (NY)0.04
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.1% | ||
| ROE | 12.53% | ||
| ROCE | 5.8% | ||
| ROIC | 3.81% | ||
| ROICexc | 3.94% | ||
| ROICexgc | 3.96% | ||
| OM | 11.47% | ||
| PM (TTM) | 5.57% | ||
| GM | 14.75% | ||
| FCFM | 2.15% |
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
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 3YN/A
GM growth 5Y39.06%
F-Score8
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.42 | ||
| Debt/FCF | 67.45 | ||
| Debt/EBITDA | 4.1 | ||
| Cap/Depr | 102.8% | ||
| Cap/Sales | 15.23% | ||
| Interest Coverage | 2.27 | ||
| Cash Conversion | 66.13% | ||
| Profit Quality | 38.56% | ||
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.32 | ||
| Altman-Z | 0.54 |
F-Score8
WACC2.37%
ROIC/WACC1.61
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)666.23%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%314.51%
EPS Next Y101.2%
EPS Next 2Y51.1%
EPS Next 3Y34.41%
EPS Next 5YN/A
Revenue 1Y (TTM)4.91%
Revenue growth 3Y15.46%
Revenue growth 5Y9.56%
Sales Q2Q%4%
Revenue Next Year4.58%
Revenue Next 2Y3.39%
Revenue Next 3Y2.67%
Revenue Next 5YN/A
EBIT growth 1Y268.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year213.46%
EBIT Next 3Y51.89%
EBIT Next 5YN/A
FCF growth 1Y105.54%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y170.07%
OCF growth 3Y52.54%
OCF growth 5Y14.19%