KILLAM APARTMENT REAL ESTATE (KMP-UN.CA) Stock Fundamental Analysis
TSX:KMP-UN - Toronto Stock Exchange - CA49410M1023 - REIT - Currency: CAD
KMP-UN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 16 industry peers in the Residential REITs industry. KMP-UN has an excellent profitability rating, but there are concerns on its financial health. KMP-UN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year KMP-UN was profitable.
KMP-UN had a positive operating cash flow in the past year.
Each year in the past 5 years KMP-UN has been profitable.
Each year in the past 5 years KMP-UN had a positive operating cash flow.
1.2 Ratios
KMP-UN has a better Return On Assets (11.60%) than 100.00% of its industry peers.
KMP-UN has a better Return On Equity (20.23%) than 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.16%, KMP-UN is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
KMP-UN had an Average Return On Invested Capital over the past 3 years of 3.10%. This is in line with the industry average of 3.31%.
The last Return On Invested Capital (3.16%) for KMP-UN is above the 3 year average (3.10%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.6% | ||
| ROE | 20.23% | ||
| ROIC | 3.16% |
ROA(3y)6.68%
ROA(5y)6.03%
ROE(3y)12.58%
ROE(5y)11.9%
ROIC(3y)3.1%
ROIC(5y)3.02%
1.3 Margins
Looking at the Profit Margin, with a value of 173.57%, KMP-UN belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of KMP-UN has grown nicely.
With a decent Operating Margin value of 60.02%, KMP-UN is doing good in the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Operating Margin of KMP-UN has remained more or less at the same level.
With a decent Gross Margin value of 66.04%, KMP-UN is doing good in the industry, outperforming 62.50% of the companies in the same industry.
KMP-UN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 60.02% | ||
| PM (TTM) | 173.57% | ||
| GM | 66.04% |
OM growth 3Y1.79%
OM growth 5Y1.41%
PM growth 3Y23.12%
PM growth 5Y9.37%
GM growth 3Y1.54%
GM growth 5Y0.96%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KMP-UN is destroying value.
The number of shares outstanding for KMP-UN has been increased compared to 1 year ago.
KMP-UN has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, KMP-UN has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.13, we must say that KMP-UN is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.13, KMP-UN belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
The Debt to FCF ratio of KMP-UN is 30.70, which is on the high side as it means it would take KMP-UN, 30.70 years of fcf income to pay off all of its debts.
KMP-UN has a Debt to FCF ratio of 30.70. This is amonst the worse of the industry: KMP-UN underperforms 87.50% of its industry peers.
A Debt/Equity ratio of 0.57 indicates that KMP-UN is somewhat dependend on debt financing.
KMP-UN has a Debt to Equity ratio of 0.57. This is amongst the best in the industry. KMP-UN outperforms 93.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 30.7 | ||
| Altman-Z | 1.13 |
ROIC/WACC0.57
WACC5.55%
2.3 Liquidity
A Current Ratio of 0.07 indicates that KMP-UN may have some problems paying its short term obligations.
KMP-UN's Current ratio of 0.07 is on the low side compared to the rest of the industry. KMP-UN is outperformed by 87.50% of its industry peers.
KMP-UN has a Quick Ratio of 0.07. This is a bad value and indicates that KMP-UN is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of KMP-UN (0.07) is worse than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 |
3. Growth
3.1 Past
KMP-UN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 104.67%, which is quite impressive.
The Earnings Per Share has been growing by 12.88% on average over the past years. This is quite good.
Looking at the last year, KMP-UN shows a small growth in Revenue. The Revenue has grown by 5.53% in the last year.
The Revenue has been growing by 8.53% on average over the past years. This is quite good.
EPS 1Y (TTM)104.67%
EPS 3Y28.07%
EPS 5Y12.88%
EPS Q2Q%-20.78%
Revenue 1Y (TTM)5.53%
Revenue growth 3Y7.82%
Revenue growth 5Y8.53%
Sales Q2Q%6.31%
3.2 Future
KMP-UN is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -32.75% yearly.
Based on estimates for the next years, KMP-UN will show a small growth in Revenue. The Revenue will grow by 5.23% on average per year.
EPS Next Y-57.24%
EPS Next 2Y-32.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.36%
Revenue Next 2Y5.23%
Revenue Next 3YN/A
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 3.74, the valuation of KMP-UN can be described as very cheap.
Based on the Price/Earnings ratio, KMP-UN is valued cheaply inside the industry as 93.75% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of KMP-UN to the average of the S&P500 Index (26.55), we can say KMP-UN is valued rather cheaply.
KMP-UN is valuated correctly with a Price/Forward Earnings ratio of 15.06.
KMP-UN's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.30. KMP-UN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.74 | ||
| Fwd PE | 15.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KMP-UN is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
KMP-UN's Price/Free Cash Flow ratio is rather expensive when compared to the industry. KMP-UN is more expensive than 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.31 | ||
| EV/EBITDA | 20.15 |
4.3 Compensation for Growth
The excellent profitability rating of KMP-UN may justify a higher PE ratio.
KMP-UN's earnings are expected to decrease with -32.75% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.29
EPS Next 2Y-32.75%
EPS Next 3YN/A
5. Dividend
5.1 Amount
KMP-UN has a Yearly Dividend Yield of 3.95%.
Compared to an average industry Dividend Yield of 4.37, KMP-UN has a dividend in line with its industry peers.
KMP-UN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.95% |
5.2 History
The dividend of KMP-UN has a limited annual growth rate of 0.75%.
KMP-UN has paid a dividend for at least 10 years, which is a reliable track record.
KMP-UN has decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.75%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
9.54% of the earnings are spent on dividend by KMP-UN. This is a low number and sustainable payout ratio.
DP9.54%
EPS Next 2Y-32.75%
EPS Next 3YN/A
TSX:KMP-UN (6/6/2025, 7:00:00 PM)
19.47
+0.02 (+0.1%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners38.71%
Inst Owner ChangeN/A
Ins Owners1.4%
Ins Owner ChangeN/A
Market Cap2.34B
Analysts82.5
Price Target22.06 (13.3%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.95% |
Yearly Dividend0.51
Dividend Growth(5Y)0.75%
DP9.54%
Div Incr Years1
Div Non Decr Years2
Ex-Date
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)1.07%
PT rev (3m)-1.05%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.74 | ||
| Fwd PE | 15.06 | ||
| P/S | 6.31 | ||
| P/FCF | 32.31 | ||
| P/OCF | 14.47 | ||
| P/B | 0.74 | ||
| P/tB | 0.74 | ||
| EV/EBITDA | 20.15 |
EPS(TTM)5.2
EY26.71%
EPS(NY)1.29
Fwd EY6.64%
FCF(TTM)0.6
FCFY3.1%
OCF(TTM)1.35
OCFY6.91%
SpS3.08
BVpS26.47
TBVpS26.47
PEG (NY)N/A
PEG (5Y)0.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.6% | ||
| ROE | 20.23% | ||
| ROCE | 4.42% | ||
| ROIC | 3.16% | ||
| ROICexc | 3.16% | ||
| ROICexgc | 3.16% | ||
| OM | 60.02% | ||
| PM (TTM) | 173.57% | ||
| GM | 66.04% | ||
| FCFM | 19.54% |
ROA(3y)6.68%
ROA(5y)6.03%
ROE(3y)12.58%
ROE(5y)11.9%
ROIC(3y)3.1%
ROIC(5y)3.02%
ROICexc(3y)3.11%
ROICexc(5y)3.02%
ROICexgc(3y)3.11%
ROICexgc(5y)3.02%
ROCE(3y)4.42%
ROCE(5y)4.3%
ROICexcg growth 3Y4.18%
ROICexcg growth 5Y-0.29%
ROICexc growth 3Y4.18%
ROICexc growth 5Y-0.29%
OM growth 3Y1.79%
OM growth 5Y1.41%
PM growth 3Y23.12%
PM growth 5Y9.37%
GM growth 3Y1.54%
GM growth 5Y0.96%
F-Score6
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 30.7 | ||
| Debt/EBITDA | 8.14 | ||
| Cap/Depr | 8337.04% | ||
| Cap/Sales | 24.08% | ||
| Interest Coverage | 2.88 | ||
| Cash Conversion | 72.32% | ||
| Profit Quality | 11.26% | ||
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 | ||
| Altman-Z | 1.13 |
F-Score6
WACC5.55%
ROIC/WACC0.57
Cap/Depr(3y)13305%
Cap/Depr(5y)N/A
Cap/Sales(3y)27.52%
Cap/Sales(5y)N/A
Profit Quality(3y)16.36%
Profit Quality(5y)31.2%
High Growth Momentum
Growth
EPS 1Y (TTM)104.67%
EPS 3Y28.07%
EPS 5Y12.88%
EPS Q2Q%-20.78%
EPS Next Y-57.24%
EPS Next 2Y-32.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.53%
Revenue growth 3Y7.82%
Revenue growth 5Y8.53%
Sales Q2Q%6.31%
Revenue Next Year5.36%
Revenue Next 2Y5.23%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y7.49%
EBIT growth 3Y9.75%
EBIT growth 5Y10.06%
EBIT Next Year9.76%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y232.29%
FCF growth 3Y1.29%
FCF growth 5Y-7%
OCF growth 1Y20.99%
OCF growth 3Y4.45%
OCF growth 5Y10.96%