KERING (KER.PA) Stock Fundamental Analysis
Europe - EPA:KER - FR0000121485 - Common Stock
286.9 EUR
+3.55 (+1.25%)
KER gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 44 industry peers in the Textiles, Apparel & Luxury Goods industry. There are concerns on the financial health of KER while its profitability can be described as average. KER is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
KER had positive earnings in the past year.
In the past year KER had a positive cash flow from operations.
Each year in the past 5 years KER has been profitable.
Each year in the past 5 years KER had a positive operating cash flow.
1.2 Ratios
KER has a Return On Assets of 1.72%. This is in the lower half of the industry: KER underperforms 63.64% of its industry peers.
KER's Return On Equity of 4.94% is on the low side compared to the rest of the industry. KER is outperformed by 65.91% of its industry peers.
KER has a Return On Invested Capital of 3.65%. This is in the lower half of the industry: KER underperforms 70.45% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KER is below the industry average of 12.56%.
The last Return On Invested Capital (3.65%) for KER is well below the 3 year average (10.05%), which needs to be investigated, but indicates that KER had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.72% | ||
| ROE | 4.94% | ||
| ROIC | 3.65% |
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
1.3 Margins
KER has a Profit Margin (4.62%) which is in line with its industry peers.
In the last couple of years the Profit Margin of KER has declined.
KER has a Operating Margin (11.07%) which is in line with its industry peers.
KER's Operating Margin has declined in the last couple of years.
KER's Gross Margin of 73.03% is fine compared to the rest of the industry. KER outperforms 79.55% of its industry peers.
KER's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.07% | ||
| PM (TTM) | 4.62% | ||
| GM | 73.03% |
OM growth 3Y-19.39%
OM growth 5Y-13.44%
PM growth 3Y-28.46%
PM growth 5Y-14.63%
GM growth 3Y-0.14%
GM growth 5Y-0.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KER is creating some value.
KER has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for KER has been reduced compared to 5 years ago.
KER has a worse debt/assets ratio than last year.
2.2 Solvency
KER has an Altman-Z score of 1.85. This is not the best score and indicates that KER is in the grey zone with still only limited risk for bankruptcy at the moment.
KER's Altman-Z score of 1.85 is on the low side compared to the rest of the industry. KER is outperformed by 77.27% of its industry peers.
The Debt to FCF ratio of KER is 13.86, which is on the high side as it means it would take KER, 13.86 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 13.86, KER is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
A Debt/Equity ratio of 1.12 is on the high side and indicates that KER has dependencies on debt financing.
KER has a worse Debt to Equity ratio (1.12) than 65.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 13.86 | ||
| Altman-Z | 1.85 |
ROIC/WACC0.49
WACC7.38%
2.3 Liquidity
KER has a Current Ratio of 1.32. This is a normal value and indicates that KER is financially healthy and should not expect problems in meeting its short term obligations.
KER's Current ratio of 1.32 is on the low side compared to the rest of the industry. KER is outperformed by 70.45% of its industry peers.
A Quick Ratio of 0.87 indicates that KER may have some problems paying its short term obligations.
With a Quick ratio value of 0.87, KER perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The earnings per share for KER have decreased strongly by -59.67% in the last year.
Measured over the past years, KER shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -16.03% on average per year.
KER shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -14.56%.
The Revenue has been growing slightly by 1.60% on average over the past years.
EPS 1Y (TTM)-59.67%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-49.31%
Revenue 1Y (TTM)-14.56%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-15.97%
3.2 Future
KER is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.86% yearly.
KER is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.79% yearly.
EPS Next Y-44.77%
EPS Next 2Y-13.18%
EPS Next 3Y0.03%
EPS Next 5Y20.86%
Revenue Next Year-13.13%
Revenue Next 2Y-4.91%
Revenue Next 3Y-1.19%
Revenue Next 5Y2.79%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 40.35 indicates a quite expensive valuation of KER.
Compared to the rest of the industry, the Price/Earnings ratio of KER is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.86. KER is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 35.64, KER can be considered very expensive at the moment.
KER's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.29. KER is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.35 | ||
| Fwd PE | 35.64 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KER indicates a slightly more expensive valuation: KER is more expensive than 61.36% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KER is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.58 | ||
| EV/EBITDA | 12.73 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-13.18%
EPS Next 3Y0.03%
5. Dividend
5.1 Amount
KER has a Yearly Dividend Yield of 2.19%.
KER's Dividend Yield is comparable with the industry average which is at 2.84.
Compared to an average S&P500 Dividend Yield of 2.41, KER has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
5.2 History
The dividend of KER is nicely growing with an annual growth rate of 6.01%!
Dividend Growth(5Y)6.01%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
100.96% of the earnings are spent on dividend by KER. This is not a sustainable payout ratio.
KER's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP100.96%
EPS Next 2Y-13.18%
EPS Next 3Y0.03%
EPA:KER (10/2/2025, 7:00:00 PM)
286.9
+3.55 (+1.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners25.75%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap35.41B
Analysts52.9
Price Target206.63 (-27.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
Yearly Dividend14
Dividend Growth(5Y)6.01%
DP100.96%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)3.04%
PT rev (3m)5.13%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.17%
EPS NY rev (3m)-37.52%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.64%
Revenue NY rev (3m)-5.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.35 | ||
| Fwd PE | 35.64 | ||
| P/S | 2.25 | ||
| P/FCF | 25.58 | ||
| P/OCF | 9.49 | ||
| P/B | 2.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.73 |
EPS(TTM)7.11
EY2.48%
EPS(NY)8.05
Fwd EY2.81%
FCF(TTM)11.21
FCFY3.91%
OCF(TTM)30.25
OCFY10.54%
SpS127.72
BVpS119.66
TBVpS-5.1
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.72% | ||
| ROE | 4.94% | ||
| ROCE | 5.15% | ||
| ROIC | 3.65% | ||
| ROICexc | 4.16% | ||
| ROICexgc | 8.4% | ||
| OM | 11.07% | ||
| PM (TTM) | 4.62% | ||
| GM | 73.03% | ||
| FCFM | 8.78% |
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
ROICexc(3y)11.71%
ROICexc(5y)13.25%
ROICexgc(3y)23.84%
ROICexgc(5y)27.41%
ROCE(3y)14.46%
ROCE(5y)15.94%
ROICexcg growth 3Y-34.7%
ROICexcg growth 5Y-22.91%
ROICexc growth 3Y-32.92%
ROICexc growth 5Y-21.33%
OM growth 3Y-19.39%
OM growth 5Y-13.44%
PM growth 3Y-28.46%
PM growth 5Y-14.63%
GM growth 3Y-0.14%
GM growth 5Y-0.1%
F-Score4
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 13.86 | ||
| Debt/EBITDA | 4.26 | ||
| Cap/Depr | 109.66% | ||
| Cap/Sales | 14.9% | ||
| Interest Coverage | 2.68 | ||
| Cash Conversion | 96.04% | ||
| Profit Quality | 189.85% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 1.85 |
F-Score4
WACC7.38%
ROIC/WACC0.49
Cap/Depr(3y)121.37%
Cap/Depr(5y)96.61%
Cap/Sales(3y)12.62%
Cap/Sales(5y)9.83%
Profit Quality(3y)91.35%
Profit Quality(5y)99.13%
High Growth Momentum
Growth
EPS 1Y (TTM)-59.67%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-49.31%
EPS Next Y-44.77%
EPS Next 2Y-13.18%
EPS Next 3Y0.03%
EPS Next 5Y20.86%
Revenue 1Y (TTM)-14.56%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-15.97%
Revenue Next Year-13.13%
Revenue Next 2Y-4.91%
Revenue Next 3Y-1.19%
Revenue Next 5Y2.79%
EBIT growth 1Y-51.13%
EBIT growth 3Y-20.08%
EBIT growth 5Y-12.06%
EBIT Next Year44.92%
EBIT Next 3Y20.68%
EBIT Next 5Y25.36%
FCF growth 1Y-25.75%
FCF growth 3Y-29.17%
FCF growth 5Y-3.26%
OCF growth 1Y-16.39%
OCF growth 3Y-1.14%
OCF growth 5Y12.54%