KNOWLES CORP (KN) Stock Fundamental Analysis
NYSE:KN - US49926D1090 - Common Stock
21.35 USD
-0.06 (-0.28%)
21.35 USD
0 (0%)
KN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 125 industry peers in the Electronic Equipment, Instruments & Components industry. KN has an average financial health and profitability rating. KN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year KN was profitable.
KN had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: KN reported negative net income in multiple years.
KN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KN has a Return On Assets (2.28%) which is in line with its industry peers.
With a Return On Equity value of 3.32%, KN perfoms like the industry average, outperforming 57.60% of the companies in the same industry.
KN's Return On Invested Capital of 4.39% is in line compared to the rest of the industry. KN outperforms 57.60% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for KN is significantly below the industry average of 9.48%.
The 3 year average ROIC (4.19%) for KN is below the current ROIC(4.39%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.28% | ||
| ROE | 3.32% | ||
| ROIC | 4.39% |
ROA(3y)-17.55%
ROA(5y)-8.71%
ROE(3y)-22.59%
ROE(5y)-11.39%
ROIC(3y)4.19%
ROIC(5y)4.04%
1.3 Margins
KN's Profit Margin of 4.40% is fine compared to the rest of the industry. KN outperforms 66.40% of its industry peers.
KN has a better Operating Margin (10.66%) than 77.60% of its industry peers.
In the last couple of years the Operating Margin of KN has remained more or less at the same level.
The Gross Margin of KN (43.05%) is better than 74.40% of its industry peers.
KN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.66% | ||
| PM (TTM) | 4.4% | ||
| GM | 43.05% |
OM growth 3Y-10.39%
OM growth 5Y-0.45%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.08%
GM growth 5Y2.09%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KN is destroying value.
The number of shares outstanding for KN has been reduced compared to 1 year ago.
The number of shares outstanding for KN has been reduced compared to 5 years ago.
KN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.33 indicates that KN is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.33, KN is in line with its industry, outperforming 52.00% of the companies in the same industry.
KN has a debt to FCF ratio of 1.74. This is a very positive value and a sign of high solvency as it would only need 1.74 years to pay back of all of its debts.
KN's Debt to FCF ratio of 1.74 is fine compared to the rest of the industry. KN outperforms 79.20% of its industry peers.
KN has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
KN has a Debt to Equity ratio (0.16) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.74 | ||
| Altman-Z | 3.33 |
ROIC/WACC0.49
WACC8.94%
2.3 Liquidity
A Current Ratio of 2.00 indicates that KN has no problem at all paying its short term obligations.
KN has a Current ratio of 2.00. This is comparable to the rest of the industry: KN outperforms 40.80% of its industry peers.
KN has a Quick Ratio of 1.29. This is a normal value and indicates that KN is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of KN (1.29) is worse than 64.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
The earnings per share for KN have decreased by -7.77% in the last year.
Measured over the past years, KN shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.13% on average per year.
Looking at the last year, KN shows a very negative growth in Revenue. The Revenue has decreased by -34.16% in the last year.
KN shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -8.33% yearly.
EPS 1Y (TTM)-7.77%
EPS 3Y-14.09%
EPS 5Y-2.13%
EPS Q2Q%0%
Revenue 1Y (TTM)-34.16%
Revenue growth 3Y-13.93%
Revenue growth 5Y-8.33%
Sales Q2Q%-28.72%
3.2 Future
The Earnings Per Share is expected to grow by 14.40% on average over the next years. This is quite good.
KN is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.85% yearly.
EPS Next Y12.82%
EPS Next 2Y14.4%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-15.69%
Revenue Next 2Y-5.85%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.47, KN is valued on the expensive side.
Based on the Price/Earnings ratio, KN is valued a bit cheaper than 75.20% of the companies in the same industry.
KN is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.07, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 16.82, which indicates a correct valuation of KN.
Based on the Price/Forward Earnings ratio, KN is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of KN to the average of the S&P500 Index (22.59), we can say KN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.47 | ||
| Fwd PE | 16.82 |
4.2 Price Multiples
63.20% of the companies in the same industry are more expensive than KN, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, KN is valued cheaper than 90.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.75 | ||
| EV/EBITDA | 19.07 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as KN's earnings are expected to grow with 14.40% in the coming years.
PEG (NY)1.75
PEG (5Y)N/A
EPS Next 2Y14.4%
EPS Next 3YN/A
5. Dividend
5.1 Amount
KN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
21.35
-0.06 (-0.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners105.46%
Inst Owner Change-1.15%
Ins Owners2.01%
Ins Owner Change2.49%
Market Cap1.83B
Analysts83.33
Price Target22.95 (7.49%)
Short Float %3.58%
Short Ratio4.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.35%
Min EPS beat(2)-2.91%
Max EPS beat(2)0.22%
EPS beat(4)1
Avg EPS beat(4)-2.89%
Min EPS beat(4)-7.21%
Max EPS beat(4)0.22%
EPS beat(8)3
Avg EPS beat(8)-0.87%
EPS beat(12)6
Avg EPS beat(12)2.25%
EPS beat(16)10
Avg EPS beat(16)3.46%
Revenue beat(2)1
Avg Revenue beat(2)0.45%
Min Revenue beat(2)-0.47%
Max Revenue beat(2)1.36%
Revenue beat(4)1
Avg Revenue beat(4)-4.4%
Min Revenue beat(4)-13.25%
Max Revenue beat(4)1.36%
Revenue beat(8)1
Avg Revenue beat(8)-3.58%
Revenue beat(12)1
Avg Revenue beat(12)-3.98%
Revenue beat(16)1
Avg Revenue beat(16)-3.98%
PT rev (1m)8.43%
PT rev (3m)8.43%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)1.19%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.35%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.47 | ||
| Fwd PE | 16.82 | ||
| P/S | 3.26 | ||
| P/FCF | 16.75 | ||
| P/OCF | 14.6 | ||
| P/B | 2.46 | ||
| P/tB | 5.61 | ||
| EV/EBITDA | 19.07 |
EPS(TTM)0.95
EY4.45%
EPS(NY)1.27
Fwd EY5.95%
FCF(TTM)1.27
FCFY5.97%
OCF(TTM)1.46
OCFY6.85%
SpS6.56
BVpS8.69
TBVpS3.8
PEG (NY)1.75
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.28% | ||
| ROE | 3.32% | ||
| ROCE | 6.51% | ||
| ROIC | 4.39% | ||
| ROICexc | 4.95% | ||
| ROICexgc | 10.15% | ||
| OM | 10.66% | ||
| PM (TTM) | 4.4% | ||
| GM | 43.05% | ||
| FCFM | 19.45% |
ROA(3y)-17.55%
ROA(5y)-8.71%
ROE(3y)-22.59%
ROE(5y)-11.39%
ROIC(3y)4.19%
ROIC(5y)4.04%
ROICexc(3y)4.56%
ROICexc(5y)4.37%
ROICexgc(3y)10.18%
ROICexgc(5y)12.65%
ROCE(3y)6.21%
ROCE(5y)5.98%
ROICexcg growth 3Y-16.68%
ROICexcg growth 5Y-5.92%
ROICexc growth 3Y-4.59%
ROICexc growth 5Y2.67%
OM growth 3Y-10.39%
OM growth 5Y-0.45%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.08%
GM growth 5Y2.09%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.74 | ||
| Debt/EBITDA | 1.18 | ||
| Cap/Depr | 39.27% | ||
| Cap/Sales | 2.86% | ||
| Interest Coverage | 6.45 | ||
| Cash Conversion | 124.36% | ||
| Profit Quality | 441.53% | ||
| Current Ratio | 2 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | 3.33 |
F-Score7
WACC8.94%
ROIC/WACC0.49
Cap/Depr(3y)41.19%
Cap/Depr(5y)50.8%
Cap/Sales(3y)3.47%
Cap/Sales(5y)4.04%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.77%
EPS 3Y-14.09%
EPS 5Y-2.13%
EPS Q2Q%0%
EPS Next Y12.82%
EPS Next 2Y14.4%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-34.16%
Revenue growth 3Y-13.93%
Revenue growth 5Y-8.33%
Sales Q2Q%-28.72%
Revenue Next Year-15.69%
Revenue Next 2Y-5.85%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y1.01%
EBIT growth 3Y-22.87%
EBIT growth 5Y-8.74%
EBIT Next Year18.53%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y76.05%
FCF growth 3Y-4.44%
FCF growth 5Y7.09%
OCF growth 1Y42.24%
OCF growth 3Y-10.6%
OCF growth 5Y0.98%