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KORN FERRY (KFY) Stock Fundamental Analysis

USA - New York Stock Exchange - NYSE:KFY - US5006432000 - Common Stock

67.01 USD
-0.96 (-1.41%)
Last: 1/20/2026, 3:22:24 PM
Fundamental Rating

7

We assign a fundamental rating of 7 out of 10 to KFY. KFY was compared to 88 industry peers in the Professional Services industry. KFY has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. KFY is valued quite cheap, while showing a decent growth score. This is a good combination! KFY also has an excellent dividend rating. These ratings could make KFY a good candidate for value and dividend investing.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year KFY was profitable.
  • In the past year KFY had a positive cash flow from operations.
  • In the past 5 years KFY has always been profitable.
  • In the past 5 years KFY always reported a positive cash flow from operatings.
KFY Yearly Net Income VS EBIT VS OCF VS FCFKFY Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M 500M

1.2 Ratios

  • KFY has a Return On Assets of 6.94%. This is in the better half of the industry: KFY outperforms 69.32% of its industry peers.
  • KFY has a better Return On Equity (13.30%) than 63.64% of its industry peers.
  • KFY has a Return On Invested Capital of 9.51%. This is in the better half of the industry: KFY outperforms 68.18% of its industry peers.
  • KFY had an Average Return On Invested Capital over the past 3 years of 9.27%. This is below the industry average of 11.85%.
  • The last Return On Invested Capital (9.51%) for KFY is above the 3 year average (9.27%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.94%
ROE 13.3%
ROIC 9.51%
ROA(3y)5.51%
ROA(5y)5.88%
ROE(3y)11.68%
ROE(5y)12.77%
ROIC(3y)9.27%
ROIC(5y)9.69%
KFY Yearly ROA, ROE, ROICKFY Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • The Profit Margin of KFY (9.10%) is better than 76.14% of its industry peers.
  • In the last couple of years the Profit Margin of KFY has grown nicely.
  • With a decent Operating Margin value of 13.24%, KFY is doing good in the industry, outperforming 76.14% of the companies in the same industry.
  • KFY's Operating Margin has improved in the last couple of years.
  • KFY has a better Gross Margin (88.04%) than 97.73% of its industry peers.
  • KFY's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 13.24%
PM (TTM) 9.1%
GM 88.04%
OM growth 3Y-10.91%
OM growth 5Y1.62%
PM growth 3Y-10.01%
PM growth 5Y10.87%
GM growth 3Y-2.33%
GM growth 5Y-1.06%
KFY Yearly Profit, Operating, Gross MarginsKFY Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

8

2. Health

2.1 Basic Checks

  • KFY has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • Compared to 1 year ago, KFY has less shares outstanding
  • The number of shares outstanding for KFY has been reduced compared to 5 years ago.
  • Compared to 1 year ago, KFY has an improved debt to assets ratio.
KFY Yearly Shares OutstandingKFY Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M 40M 50M
KFY Yearly Total Debt VS Total AssetsKFY Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

2.2 Solvency

  • KFY has an Altman-Z score of 3.20. This indicates that KFY is financially healthy and has little risk of bankruptcy at the moment.
  • KFY has a Altman-Z score of 3.20. This is in the better half of the industry: KFY outperforms 62.50% of its industry peers.
  • KFY has a debt to FCF ratio of 1.46. This is a very positive value and a sign of high solvency as it would only need 1.46 years to pay back of all of its debts.
  • KFY has a better Debt to FCF ratio (1.46) than 75.00% of its industry peers.
  • KFY has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
  • With a decent Debt to Equity ratio value of 0.20, KFY is doing good in the industry, outperforming 60.23% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.2
Debt/FCF 1.46
Altman-Z 3.2
ROIC/WACC1.12
WACC8.46%
KFY Yearly LT Debt VS Equity VS FCFKFY Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

2.3 Liquidity

  • KFY has a Current Ratio of 2.14. This indicates that KFY is financially healthy and has no problem in meeting its short term obligations.
  • With a decent Current ratio value of 2.14, KFY is doing good in the industry, outperforming 79.55% of the companies in the same industry.
  • KFY has a Quick Ratio of 2.14. This indicates that KFY is financially healthy and has no problem in meeting its short term obligations.
  • KFY has a Quick ratio of 2.14. This is in the better half of the industry: KFY outperforms 79.55% of its industry peers.
Industry RankSector Rank
Current Ratio 2.14
Quick Ratio 2.14
KFY Yearly Current Assets VS Current LiabilitesKFY Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

4

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 9.11% over the past year.
  • The Earnings Per Share has been growing by 10.91% on average over the past years. This is quite good.
  • Looking at the last year, KFY shows a small growth in Revenue. The Revenue has grown by 3.65% in the last year.
  • Measured over the past years, KFY shows a small growth in Revenue. The Revenue has been growing by 6.91% on average per year.
EPS 1Y (TTM)9.11%
EPS 3Y-7.74%
EPS 5Y10.91%
EPS Q2Q%9.92%
Revenue 1Y (TTM)3.65%
Revenue growth 3Y1.46%
Revenue growth 5Y6.91%
Sales Q2Q%7.02%

3.2 Future

  • The Earnings Per Share is expected to grow by 9.62% on average over the next years. This is quite good.
  • KFY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.87% yearly.
EPS Next Y8.01%
EPS Next 2Y8.7%
EPS Next 3Y9.62%
EPS Next 5YN/A
Revenue Next Year5.41%
Revenue Next 2Y4.78%
Revenue Next 3Y4.87%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same 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 decreasing.
KFY Yearly Revenue VS EstimatesKFY Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B
KFY Yearly EPS VS EstimatesKFY Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6

7

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 13.01, which indicates a correct valuation of KFY.
  • KFY's Price/Earnings ratio is rather cheap when compared to the industry. KFY is cheaper than 81.82% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.38, KFY is valued rather cheaply.
  • KFY is valuated reasonably with a Price/Forward Earnings ratio of 11.57.
  • Based on the Price/Forward Earnings ratio, KFY is valued cheaply inside the industry as 84.09% of the companies are valued more expensively.
  • KFY is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.29, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 13.01
Fwd PE 11.57
KFY Price Earnings VS Forward Price EarningsKFY Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, KFY is valued cheaply inside the industry as 88.64% of the companies are valued more expensively.
  • 80.68% of the companies in the same industry are more expensive than KFY, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 12.88
EV/EBITDA 6.61
KFY Per share dataKFY EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40 50

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of KFY may justify a higher PE ratio.
PEG (NY)1.62
PEG (5Y)1.19
EPS Next 2Y8.7%
EPS Next 3Y9.62%

7

5. Dividend

5.1 Amount

  • KFY has a Yearly Dividend Yield of 2.79%.
  • Compared to an average industry Dividend Yield of 1.41, KFY pays a better dividend. On top of this KFY pays more dividend than 87.50% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.84, KFY pays a better dividend.
Industry RankSector Rank
Dividend Yield 2.79%

5.2 History

  • The dividend of KFY is nicely growing with an annual growth rate of 31.50%!
  • KFY has paid a dividend for at least 10 years, which is a reliable track record.
  • As KFY did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)31.5%
Div Incr Years4
Div Non Decr Years9
KFY Yearly Dividends per shareKFY Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

  • 37.03% of the earnings are spent on dividend by KFY. This is a low number and sustainable payout ratio.
  • The dividend of KFY is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP37.03%
EPS Next 2Y8.7%
EPS Next 3Y9.62%
KFY Yearly Income VS Free CF VS DividendKFY Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M
KFY Dividend Payout.KFY Dividend Payout, showing the Payout Ratio.KFY Dividend Payout.PayoutRetained Earnings

KORN FERRY

NYSE:KFY (1/20/2026, 3:22:24 PM)

67.01

-0.96 (-1.41%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)12-09
Earnings (Next)03-09
Inst Owners100.21%
Inst Owner Change-0.08%
Ins Owners0.7%
Ins Owner Change-1.6%
Market Cap3.51B
Revenue(TTM)2.84B
Net Income(TTM)258.50M
Analysts82.22
Price Target81.86 (22.16%)
Short Float %2.08%
Short Ratio2.45
Dividend
Industry RankSector Rank
Dividend Yield 2.79%
Yearly Dividend1.62
Dividend Growth(5Y)31.5%
DP37.03%
Div Incr Years4
Div Non Decr Years9
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.65%
Min EPS beat(2)0.37%
Max EPS beat(2)4.94%
EPS beat(4)4
Avg EPS beat(4)3.37%
Min EPS beat(4)0.37%
Max EPS beat(4)4.94%
EPS beat(8)7
Avg EPS beat(8)4.3%
EPS beat(12)10
Avg EPS beat(12)4.27%
EPS beat(16)13
Avg EPS beat(16)4.21%
Revenue beat(2)2
Avg Revenue beat(2)1.51%
Min Revenue beat(2)1.22%
Max Revenue beat(2)1.79%
Revenue beat(4)4
Avg Revenue beat(4)1.75%
Min Revenue beat(4)1.22%
Max Revenue beat(4)2.19%
Revenue beat(8)6
Avg Revenue beat(8)0.74%
Revenue beat(12)10
Avg Revenue beat(12)1.07%
Revenue beat(16)13
Avg Revenue beat(16)1.68%
PT rev (1m)-0.93%
PT rev (3m)-4.18%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.15%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)1.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.8%
Revenue NY rev (1m)1.02%
Revenue NY rev (3m)1.16%
Valuation
Industry RankSector Rank
PE 13.01
Fwd PE 11.57
P/S 1.24
P/FCF 12.88
P/OCF 9.93
P/B 1.81
P/tB 3.74
EV/EBITDA 6.61
EPS(TTM)5.15
EY7.69%
EPS(NY)5.79
Fwd EY8.64%
FCF(TTM)5.2
FCFY7.76%
OCF(TTM)6.75
OCFY10.07%
SpS54.24
BVpS37.11
TBVpS17.9
PEG (NY)1.62
PEG (5Y)1.19
Graham Number65.57
Profitability
Industry RankSector Rank
ROA 6.94%
ROE 13.3%
ROCE 12.65%
ROIC 9.51%
ROICexc 13.01%
ROICexgc 24.24%
OM 13.24%
PM (TTM) 9.1%
GM 88.04%
FCFM 9.59%
ROA(3y)5.51%
ROA(5y)5.88%
ROE(3y)11.68%
ROE(5y)12.77%
ROIC(3y)9.27%
ROIC(5y)9.69%
ROICexc(3y)14.32%
ROICexc(5y)15.61%
ROICexgc(3y)33.58%
ROICexgc(5y)35.79%
ROCE(3y)12.34%
ROCE(5y)12.9%
ROICexgc growth 3Y-17.99%
ROICexgc growth 5Y3.52%
ROICexc growth 3Y-16.94%
ROICexc growth 5Y2.44%
OM growth 3Y-10.91%
OM growth 5Y1.62%
PM growth 3Y-10.01%
PM growth 5Y10.87%
GM growth 3Y-2.33%
GM growth 5Y-1.06%
F-Score7
Asset Turnover0.76
Health
Industry RankSector Rank
Debt/Equity 0.2
Debt/FCF 1.46
Debt/EBITDA 0.84
Cap/Depr 85.04%
Cap/Sales 2.85%
Interest Coverage 250
Cash Conversion 75%
Profit Quality 105.44%
Current Ratio 2.14
Quick Ratio 2.14
Altman-Z 3.2
F-Score7
WACC8.46%
ROIC/WACC1.12
Cap/Depr(3y)83.88%
Cap/Depr(5y)75.95%
Cap/Sales(3y)2.23%
Cap/Sales(5y)2.05%
Profit Quality(3y)131.86%
Profit Quality(5y)146.92%
High Growth Momentum
Growth
EPS 1Y (TTM)9.11%
EPS 3Y-7.74%
EPS 5Y10.91%
EPS Q2Q%9.92%
EPS Next Y8.01%
EPS Next 2Y8.7%
EPS Next 3Y9.62%
EPS Next 5YN/A
Revenue 1Y (TTM)3.65%
Revenue growth 3Y1.46%
Revenue growth 5Y6.91%
Sales Q2Q%7.02%
Revenue Next Year5.41%
Revenue Next 2Y4.78%
Revenue Next 3Y4.87%
Revenue Next 5YN/A
EBIT growth 1Y22.79%
EBIT growth 3Y-9.61%
EBIT growth 5Y8.64%
EBIT Next Year43.39%
EBIT Next 3Y17.35%
EBIT Next 5YN/A
FCF growth 1Y15.66%
FCF growth 3Y-12.61%
FCF growth 5Y9.16%
OCF growth 1Y17.59%
OCF growth 3Y-10.11%
OCF growth 5Y9.05%

KORN FERRY / KFY FAQ

Can you provide the ChartMill fundamental rating for KORN FERRY?

ChartMill assigns a fundamental rating of 7 / 10 to KFY.


What is the valuation status for KFY stock?

ChartMill assigns a valuation rating of 7 / 10 to KORN FERRY (KFY). This can be considered as Undervalued.


Can you provide the profitability details for KORN FERRY?

KORN FERRY (KFY) has a profitability rating of 7 / 10.


What is the financial health of KORN FERRY (KFY) stock?

The financial health rating of KORN FERRY (KFY) is 8 / 10.


Can you provide the expected EPS growth for KFY stock?

The Earnings per Share (EPS) of KORN FERRY (KFY) is expected to grow by 8.01% in the next year.