KORN FERRY (KFY) Fundamental Analysis & Valuation
NYSE:KFY • US5006432000
Current stock price
63.36 USD
+0.69 (+1.1%)
At close:
63.36 USD
0 (0%)
After Hours:
This KFY fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. KFY Profitability Analysis
1.1 Basic Checks
- In the past year KFY was profitable.
- In the past year KFY had a positive cash flow from operations.
- KFY had positive earnings in each of the past 5 years.
- Each year in the past 5 years KFY had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 6.72%, KFY is in the better half of the industry, outperforming 67.82% of the companies in the same industry.
- KFY has a Return On Equity of 13.25%. This is in the better half of the industry: KFY outperforms 64.37% of its industry peers.
- KFY has a better Return On Invested Capital (9.45%) than 64.37% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for KFY is below the industry average of 13.12%.
- The 3 year average ROIC (9.27%) for KFY is below the current ROIC(9.45%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.72% | ||
| ROE | 13.25% | ||
| ROIC | 9.45% |
ROA(3y)5.51%
ROA(5y)5.88%
ROE(3y)11.68%
ROE(5y)12.77%
ROIC(3y)9.27%
ROIC(5y)9.69%
1.3 Margins
- With a decent Profit Margin value of 9.18%, KFY is doing good in the industry, outperforming 74.71% of the companies in the same industry.
- KFY's Profit Margin has improved in the last couple of years.
- With a decent Operating Margin value of 13.31%, KFY is doing good in the industry, outperforming 73.56% of the companies in the same industry.
- In the last couple of years the Operating Margin of KFY has grown nicely.
- Looking at the Gross Margin, with a value of 88.16%, KFY belongs to the top of the industry, outperforming 96.55% of the companies in the same industry.
- In the last couple of years the Gross Margin of KFY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.31% | ||
| PM (TTM) | 9.18% | ||
| GM | 88.16% |
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%
2. KFY Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KFY is creating some value.
- The number of shares outstanding for KFY has been reduced compared to 1 year ago.
- KFY has less shares outstanding than it did 5 years ago.
- KFY has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.95 indicates that KFY is not a great score, but indicates only limited risk for bankruptcy at the moment.
- KFY has a Altman-Z score (2.95) which is in line with its industry peers.
- The Debt to FCF ratio of KFY is 1.38, which is an excellent value as it means it would take KFY, only 1.38 years of fcf income to pay off all of its debts.
- KFY has a better Debt to FCF ratio (1.38) than 71.26% 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.
- KFY has a Debt to Equity ratio (0.20) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.38 | ||
| Altman-Z | 2.95 |
ROIC/WACC1.11
WACC8.49%
2.3 Liquidity
- A Current Ratio of 2.01 indicates that KFY has no problem at all paying its short term obligations.
- KFY has a better Current ratio (2.01) than 73.56% of its industry peers.
- KFY has a Quick Ratio of 2.01. This indicates that KFY is financially healthy and has no problem in meeting its short term obligations.
- With a decent Quick ratio value of 2.01, KFY is doing good in the industry, outperforming 77.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 |
3. KFY Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an nice 8.26% 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 5.44% 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)8.26%
EPS 3Y-7.74%
EPS 5Y10.91%
EPS Q2Q%7.56%
Revenue 1Y (TTM)5.44%
Revenue growth 3Y1.46%
Revenue growth 5Y6.91%
Sales Q2Q%7.28%
3.2 Future
- KFY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.60% yearly.
- Based on estimates for the next years, KFY will show a small growth in Revenue. The Revenue will grow by 5.09% on average per year.
EPS Next Y8.21%
EPS Next 2Y8.7%
EPS Next 3Y9.6%
EPS Next 5YN/A
Revenue Next Year6.95%
Revenue Next 2Y5.12%
Revenue Next 3Y5.09%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- 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. KFY Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.09, which indicates a correct valuation of KFY.
- KFY's Price/Earnings ratio is a bit cheaper when compared to the industry. KFY is cheaper than 75.86% of the companies in the same industry.
- KFY's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.60.
- A Price/Forward Earnings ratio of 10.94 indicates a reasonable valuation of KFY.
- KFY's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. KFY is cheaper than 75.86% of the companies in the same industry.
- KFY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.84.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.09 | ||
| Fwd PE | 10.94 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KFY indicates a rather cheap valuation: KFY is cheaper than 88.51% of the companies listed in the same industry.
- 74.71% of the companies in the same industry are more expensive than KFY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.42 | ||
| EV/EBITDA | 5.53 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- KFY has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.47
PEG (5Y)1.11
EPS Next 2Y8.7%
EPS Next 3Y9.6%
5. KFY Dividend Analysis
5.1 Amount
- KFY has a Yearly Dividend Yield of 3.43%.
- KFY's Dividend Yield is rather good when compared to the industry average which is at 1.81. KFY pays more dividend than 89.66% of the companies in the same industry.
- KFY's Dividend Yield is rather good when compared to the S&P500 average which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.43% |
5.2 History
- On average, the dividend of KFY grows each year by 31.50%, which is quite nice.
- KFY has paid a dividend for at least 10 years, which is a reliable track record.
- KFY has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)31.5%
Div Incr Years4
Div Non Decr Years9
5.3 Sustainability
- KFY pays out 38.23% of its income as dividend. This is a sustainable payout ratio.
- KFY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP38.23%
EPS Next 2Y8.7%
EPS Next 3Y9.6%
KFY Fundamentals: All Metrics, Ratios and Statistics
63.36
+0.69 (+1.1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)03-09 2026-03-09/bmo
Earnings (Next)06-16 2026-06-16/bmo
Inst Owners100.29%
Inst Owner Change-0.58%
Ins Owners0.7%
Ins Owner Change-1.99%
Market Cap3.29B
Revenue(TTM)2.89B
Net Income(TTM)265.31M
Analysts82.22
Price Target75.74 (19.54%)
Short Float %2.58%
Short Ratio2.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.43% |
Yearly Dividend1.62
Dividend Growth(5Y)31.5%
DP38.23%
Div Incr Years4
Div Non Decr Years9
Ex-Date03-27 2026-03-27 (0.55)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.45%
Min EPS beat(2)0.37%
Max EPS beat(2)2.53%
EPS beat(4)4
Avg EPS beat(4)2.89%
Min EPS beat(4)0.37%
Max EPS beat(4)4.94%
EPS beat(8)7
Avg EPS beat(8)3.79%
EPS beat(12)10
Avg EPS beat(12)3.68%
EPS beat(16)13
Avg EPS beat(16)3.99%
Revenue beat(2)2
Avg Revenue beat(2)1.7%
Min Revenue beat(2)1.22%
Max Revenue beat(2)2.18%
Revenue beat(4)4
Avg Revenue beat(4)1.85%
Min Revenue beat(4)1.22%
Max Revenue beat(4)2.19%
Revenue beat(8)6
Avg Revenue beat(8)0.97%
Revenue beat(12)10
Avg Revenue beat(12)1.13%
Revenue beat(16)13
Avg Revenue beat(16)1.55%
PT rev (1m)-7.48%
PT rev (3m)-7.48%
EPS NQ rev (1m)0.58%
EPS NQ rev (3m)0.58%
EPS NY rev (1m)0.19%
EPS NY rev (3m)0.19%
Revenue NQ rev (1m)1.45%
Revenue NQ rev (3m)1.45%
Revenue NY rev (1m)1.46%
Revenue NY rev (3m)1.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.09 | ||
| Fwd PE | 10.94 | ||
| P/S | 1.14 | ||
| P/FCF | 11.42 | ||
| P/OCF | 8.81 | ||
| P/B | 1.64 | ||
| P/tB | 3.29 | ||
| EV/EBITDA | 5.53 |
EPS(TTM)5.24
EY8.27%
EPS(NY)5.79
Fwd EY9.14%
FCF(TTM)5.55
FCFY8.76%
OCF(TTM)7.19
OCFY11.35%
SpS55.7
BVpS38.59
TBVpS19.24
PEG (NY)1.47
PEG (5Y)1.11
Graham Number67.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.72% | ||
| ROE | 13.25% | ||
| ROCE | 12.57% | ||
| ROIC | 9.45% | ||
| ROICexc | 13.88% | ||
| ROICexgc | 26.79% | ||
| OM | 13.31% | ||
| PM (TTM) | 9.18% | ||
| GM | 88.16% | ||
| FCFM | 9.96% |
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 Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.38 | ||
| Debt/EBITDA | 0.83 | ||
| Cap/Depr | 87.31% | ||
| Cap/Sales | 2.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.36% | ||
| Profit Quality | 108.53% | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 2.95 |
F-Score7
WACC8.49%
ROIC/WACC1.11
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)8.26%
EPS 3Y-7.74%
EPS 5Y10.91%
EPS Q2Q%7.56%
EPS Next Y8.21%
EPS Next 2Y8.7%
EPS Next 3Y9.6%
EPS Next 5YN/A
Revenue 1Y (TTM)5.44%
Revenue growth 3Y1.46%
Revenue growth 5Y6.91%
Sales Q2Q%7.28%
Revenue Next Year6.95%
Revenue Next 2Y5.12%
Revenue Next 3Y5.09%
Revenue Next 5YN/A
EBIT growth 1Y14.45%
EBIT growth 3Y-9.61%
EBIT growth 5Y8.64%
EBIT Next Year43.44%
EBIT Next 3Y17.27%
EBIT Next 5YN/A
FCF growth 1Y34.86%
FCF growth 3Y-12.61%
FCF growth 5Y9.16%
OCF growth 1Y36.65%
OCF growth 3Y-10.11%
OCF growth 5Y9.05%
KORN FERRY / KFY Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for KORN FERRY?
ChartMill assigns a fundamental rating of 6 / 10 to KFY.
What is the valuation status for KFY stock?
ChartMill assigns a valuation rating of 6 / 10 to KORN FERRY (KFY). This can be considered as Fairly Valued.
How profitable is KORN FERRY (KFY) stock?
KORN FERRY (KFY) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for KFY stock?
The Price/Earnings (PE) ratio for KORN FERRY (KFY) is 12.09 and the Price/Book (PB) ratio is 1.64.
What is the expected EPS growth for KORN FERRY (KFY) stock?
The Earnings per Share (EPS) of KORN FERRY (KFY) is expected to grow by 8.21% in the next year.