KODIAK GAS SERVICES INC (KGS) Stock Fundamental Analysis
USA - NYSE:KGS - US50012A1088 - Common Stock
33.75 USD
-0.23 (-0.68%)
33.75 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to KGS. KGS was compared to 60 industry peers in the Energy Equipment & Services industry. KGS has a medium profitability rating, but doesn't score so well on its financial health evaluation. KGS is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
KGS had positive earnings in the past year.
In the past year KGS had a positive cash flow from operations.
KGS had positive earnings in 4 of the past 5 years.
In the past 5 years KGS always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 1.88%, KGS is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
KGS has a Return On Equity (6.16%) which is in line with its industry peers.
KGS has a Return On Invested Capital of 5.79%. This is comparable to the rest of the industry: KGS outperforms 51.67% of its industry peers.
KGS had an Average Return On Invested Capital over the past 3 years of 4.60%. This is below the industry average of 7.79%.
The last Return On Invested Capital (5.79%) for KGS is above the 3 year average (4.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 6.16% | ||
| ROIC | 5.79% |
ROA(3y)1.69%
ROA(5y)2.2%
ROE(3y)17.27%
ROE(5y)14.08%
ROIC(3y)4.6%
ROIC(5y)5.21%
1.3 Margins
KGS has a better Profit Margin (6.40%) than 63.33% of its industry peers.
KGS's Profit Margin has declined in the last couple of years.
KGS's Operating Margin of 29.62% is amongst the best of the industry. KGS outperforms 93.33% of its industry peers.
KGS's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 61.82%, KGS belongs to the top of the industry, outperforming 95.00% of the companies in the same industry.
KGS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.62% | ||
| PM (TTM) | 6.4% | ||
| GM | 61.82% |
OM growth 3Y-8.68%
OM growth 5YN/A
PM growth 3Y-47.56%
PM growth 5YN/A
GM growth 3Y-2.55%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KGS is destroying value.
The number of shares outstanding for KGS has been increased compared to 1 year ago.
The debt/assets ratio for KGS is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.20, we must say that KGS is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.20, KGS is doing worse than 70.00% of the companies in the same industry.
The Debt to FCF ratio of KGS is 20.11, which is on the high side as it means it would take KGS, 20.11 years of fcf income to pay off all of its debts.
KGS has a worse Debt to FCF ratio (20.11) than 61.67% of its industry peers.
A Debt/Equity ratio of 1.91 is on the high side and indicates that KGS has dependencies on debt financing.
With a Debt to Equity ratio value of 1.91, KGS is not doing good in the industry: 88.33% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | 20.11 | ||
| Altman-Z | 1.2 |
ROIC/WACC0.73
WACC7.9%
2.3 Liquidity
A Current Ratio of 1.10 indicates that KGS should not have too much problems paying its short term obligations.
KGS's Current ratio of 1.10 is on the low side compared to the rest of the industry. KGS is outperformed by 91.67% of its industry peers.
A Quick Ratio of 0.78 indicates that KGS may have some problems paying its short term obligations.
KGS has a worse Quick ratio (0.78) than 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
KGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 200.00%, which is quite impressive.
The earnings per share for KGS have been decreasing by -37.59% on average. This is quite bad
Looking at the last year, KGS shows a very strong growth in Revenue. The Revenue has grown by 36.33%.
KGS shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.11% yearly.
EPS 1Y (TTM)200%
EPS 3Y-37.59%
EPS 5YN/A
EPS Q2Q%620%
Revenue 1Y (TTM)36.33%
Revenue growth 3Y24.11%
Revenue growth 5YN/A
Sales Q2Q%-0.59%
3.2 Future
KGS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 50.92% yearly.
Based on estimates for the next years, KGS will show a small growth in Revenue. The Revenue will grow by 7.81% on average per year.
EPS Next Y154.68%
EPS Next 2Y72.25%
EPS Next 3Y50.92%
EPS Next 5YN/A
Revenue Next Year12.32%
Revenue Next 2Y9.08%
Revenue Next 3Y7.81%
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 accelerating.
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
KGS is valuated rather expensively with a Price/Earnings ratio of 22.06.
Compared to the rest of the industry, the Price/Earnings ratio of KGS is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.06. KGS is around the same levels.
KGS is valuated correctly with a Price/Forward Earnings ratio of 14.22.
Based on the Price/Forward Earnings ratio, KGS is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.73, KGS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.06 | ||
| Fwd PE | 14.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KGS indicates a slightly more expensive valuation: KGS is more expensive than 66.67% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as KGS.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.05 | ||
| EV/EBITDA | 8.27 |
4.3 Compensation for Growth
KGS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as KGS's earnings are expected to grow with 50.92% in the coming years.
PEG (NY)0.14
PEG (5Y)N/A
EPS Next 2Y72.25%
EPS Next 3Y50.92%
5. Dividend
5.1 Amount
KGS has a Yearly Dividend Yield of 5.33%, which is a nice return.
Compared to an average industry Dividend Yield of 2.90, KGS pays a better dividend. On top of this KGS pays more dividend than 95.00% of the companies listed in the same industry.
KGS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.33% |
5.2 History
KGS has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
KGS pays out 179.88% of its income as dividend. This is not a sustainable payout ratio.
DP179.88%
EPS Next 2Y72.25%
EPS Next 3Y50.92%
33.75
-0.23 (-0.68%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners74.07%
Inst Owner Change5.91%
Ins Owners0.67%
Ins Owner Change-2.95%
Market Cap2.93B
Revenue(TTM)1.16B
Net Income(TTM)82.33M
Analysts83.75
Price Target44.88 (32.98%)
Short Float %7.92%
Short Ratio3.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.33% |
Yearly Dividend1.62
Dividend Growth(5Y)N/A
DP179.88%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.14%
Min EPS beat(2)16.06%
Max EPS beat(2)16.21%
EPS beat(4)2
Avg EPS beat(4)-25.46%
Min EPS beat(4)-86.57%
Max EPS beat(4)16.21%
EPS beat(8)4
Avg EPS beat(8)-25.51%
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)1
Avg Revenue beat(2)-2.07%
Min Revenue beat(2)-4.32%
Max Revenue beat(2)0.18%
Revenue beat(4)2
Avg Revenue beat(4)-2%
Min Revenue beat(4)-5.32%
Max Revenue beat(4)1.48%
Revenue beat(8)3
Avg Revenue beat(8)-0.38%
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)-0.82%
PT rev (3m)-0.62%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)10.28%
EPS NY rev (1m)2.93%
EPS NY rev (3m)16.06%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-3.18%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-1.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.06 | ||
| Fwd PE | 14.22 | ||
| P/S | 2.27 | ||
| P/FCF | 23.05 | ||
| P/OCF | 6.55 | ||
| P/B | 2.19 | ||
| P/tB | 3.84 | ||
| EV/EBITDA | 8.27 |
EPS(TTM)1.53
EY4.53%
EPS(NY)2.37
Fwd EY7.03%
FCF(TTM)1.46
FCFY4.34%
OCF(TTM)5.16
OCFY15.28%
SpS14.84
BVpS15.41
TBVpS8.79
PEG (NY)0.14
PEG (5Y)N/A
Graham Number23.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 6.16% | ||
| ROCE | 9.38% | ||
| ROIC | 5.79% | ||
| ROICexc | 5.8% | ||
| ROICexgc | 6.75% | ||
| OM | 29.62% | ||
| PM (TTM) | 6.4% | ||
| GM | 61.82% | ||
| FCFM | 9.86% |
ROA(3y)1.69%
ROA(5y)2.2%
ROE(3y)17.27%
ROE(5y)14.08%
ROIC(3y)4.6%
ROIC(5y)5.21%
ROICexc(3y)4.62%
ROICexc(5y)5.26%
ROICexgc(3y)5.39%
ROICexgc(5y)6.78%
ROCE(3y)7.46%
ROCE(5y)8.44%
ROICexgc growth 3Y-0.49%
ROICexgc growth 5YN/A
ROICexc growth 3Y0.18%
ROICexc growth 5YN/A
OM growth 3Y-8.68%
OM growth 5YN/A
PM growth 3Y-47.56%
PM growth 5YN/A
GM growth 3Y-2.55%
GM growth 5YN/A
F-Score7
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | 20.11 | ||
| Debt/EBITDA | 3.85 | ||
| Cap/Depr | 114.05% | ||
| Cap/Sales | 24.87% | ||
| Interest Coverage | 1.97 | ||
| Cash Conversion | 67.53% | ||
| Profit Quality | 154.17% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 1.2 |
F-Score7
WACC7.9%
ROIC/WACC0.73
Cap/Depr(3y)132.75%
Cap/Depr(5y)145.74%
Cap/Sales(3y)30.51%
Cap/Sales(5y)36.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)200%
EPS 3Y-37.59%
EPS 5YN/A
EPS Q2Q%620%
EPS Next Y154.68%
EPS Next 2Y72.25%
EPS Next 3Y50.92%
EPS Next 5YN/A
Revenue 1Y (TTM)36.33%
Revenue growth 3Y24.11%
Revenue growth 5YN/A
Sales Q2Q%-0.59%
Revenue Next Year12.32%
Revenue Next 2Y9.08%
Revenue Next 3Y7.81%
Revenue Next 5YN/A
EBIT growth 1Y62.34%
EBIT growth 3Y13.34%
EBIT growth 5YN/A
EBIT Next Year137.11%
EBIT Next 3Y38.9%
EBIT Next 5Y23.23%
FCF growth 1Y-119.27%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y23.15%
OCF growth 3Y9.47%
OCF growth 5YN/A
KODIAK GAS SERVICES INC / KGS FAQ
What is the fundamental rating for KGS stock?
ChartMill assigns a fundamental rating of 4 / 10 to KGS.
What is the valuation status for KGS stock?
ChartMill assigns a valuation rating of 5 / 10 to KODIAK GAS SERVICES INC (KGS). This can be considered as Fairly Valued.
How profitable is KODIAK GAS SERVICES INC (KGS) stock?
KODIAK GAS SERVICES INC (KGS) has a profitability rating of 5 / 10.
What is the expected EPS growth for KODIAK GAS SERVICES INC (KGS) stock?
The Earnings per Share (EPS) of KODIAK GAS SERVICES INC (KGS) is expected to grow by 154.68% in the next year.
Can you provide the dividend sustainability for KGS stock?
The dividend rating of KODIAK GAS SERVICES INC (KGS) is 4 / 10 and the dividend payout ratio is 179.88%.