KINETIK HOLDINGS INC (KNTK) Stock Fundamental Analysis
NYSE:KNTK - New York Stock Exchange, Inc. - US02215L2097 - Common Stock - Currency: USD
KNTK gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 211 industry peers in the Oil, Gas & Consumable Fuels industry. KNTK has a medium profitability rating, but doesn't score so well on its financial health evaluation. While showing a medium growth rate, KNTK is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
KNTK had positive earnings in the past year.
In the past year KNTK had a positive cash flow from operations.
Of the past 5 years KNTK 4 years were profitable.
Each year in the past 5 years KNTK had a positive operating cash flow.
1.2 Ratios
KNTK's Return On Assets of 0.91% is on the low side compared to the rest of the industry. KNTK is outperformed by 63.51% of its industry peers.
KNTK's Return On Invested Capital of 2.76% is on the low side compared to the rest of the industry. KNTK is outperformed by 68.72% of its industry peers.
KNTK had an Average Return On Invested Capital over the past 3 years of 2.60%. This is significantly below the industry average of 23.70%.
The last Return On Invested Capital (2.76%) for KNTK is above the 3 year average (2.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.91% | ||
| ROE | N/A | ||
| ROIC | 2.76% |
ROA(3y)2.04%
ROA(5y)1.09%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.6%
ROIC(5y)2.92%
1.3 Margins
KNTK has a Profit Margin (3.32%) which is comparable to the rest of the industry.
KNTK has a Operating Margin of 10.51%. This is in the lower half of the industry: KNTK underperforms 60.66% of its industry peers.
KNTK's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 54.55%, KNTK is doing good in the industry, outperforming 62.09% of the companies in the same industry.
In the last couple of years the Gross Margin of KNTK has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.51% | ||
| PM (TTM) | 3.32% | ||
| GM | 54.55% |
OM growth 3Y-33.04%
OM growth 5Y2.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.48%
GM growth 5Y-0.81%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KNTK is destroying value.
The number of shares outstanding for KNTK has been increased compared to 1 year ago.
The number of shares outstanding for KNTK has been reduced compared to 5 years ago.
The debt/assets ratio for KNTK has been reduced compared to a year ago.
2.2 Solvency
KNTK has an Altman-Z score of 0.25. This is a bad value and indicates that KNTK is not financially healthy and even has some risk of bankruptcy.
KNTK has a worse Altman-Z score (0.25) than 68.25% of its industry peers.
The Debt to FCF ratio of KNTK is 10.23, which is on the high side as it means it would take KNTK, 10.23 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 10.23, KNTK perfoms like the industry average, outperforming 51.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 10.23 | ||
| Altman-Z | 0.25 |
ROIC/WACC0.3
WACC9.14%
2.3 Liquidity
KNTK has a Current Ratio of 0.66. This is a bad value and indicates that KNTK is not financially healthy enough and could expect problems in meeting its short term obligations.
KNTK has a Current ratio of 0.66. This is in the lower half of the industry: KNTK underperforms 78.67% of its industry peers.
A Quick Ratio of 0.66 indicates that KNTK may have some problems paying its short term obligations.
KNTK's Quick ratio of 0.66 is on the low side compared to the rest of the industry. KNTK is outperformed by 71.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The earnings per share for KNTK have decreased strongly by -61.07% in the last year.
Measured over the past years, KNTK shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -61.79% on average per year.
Looking at the last year, KNTK shows a very strong growth in Revenue. The Revenue has grown by 46.28%.
KNTK shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 61.30% yearly.
EPS 1Y (TTM)-61.07%
EPS 3Y-39.67%
EPS 5Y-61.79%
EPS Q2Q%-58.33%
Revenue 1Y (TTM)46.28%
Revenue growth 3Y109.79%
Revenue growth 5Y61.3%
Sales Q2Q%29.84%
3.2 Future
The Earnings Per Share is expected to grow by 5.10% on average over the next years.
The Revenue is expected to grow by 15.37% on average over the next years. This is quite good.
EPS Next Y37.22%
EPS Next 2Y48.14%
EPS Next 3Y39.26%
EPS Next 5Y5.1%
Revenue Next Year21.78%
Revenue Next 2Y27.95%
Revenue Next 3Y24.71%
Revenue Next 5Y15.37%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 46.01 indicates a quite expensive valuation of KNTK.
Compared to the rest of the industry, the Price/Earnings ratio of KNTK indicates a slightly more expensive valuation: KNTK is more expensive than 65.88% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.28. KNTK is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 19.53, which indicates a rather expensive current valuation of KNTK.
KNTK's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 21.76. KNTK is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.01 | ||
| Fwd PE | 19.53 |
4.2 Price Multiples
67.77% of the companies in the same industry are cheaper than KNTK, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KNTK is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19 | ||
| EV/EBITDA | 19.03 |
4.3 Compensation for Growth
KNTK's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
KNTK's earnings are expected to grow with 39.26% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.24
PEG (5Y)N/A
EPS Next 2Y48.14%
EPS Next 3Y39.26%
5. Dividend
5.1 Amount
KNTK has a Yearly Dividend Yield of 7.10%, which is a nice return.
Compared to an average industry Dividend Yield of 6.66, KNTK pays a bit more dividend than its industry peers.
KNTK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.1% |
5.2 History
KNTK has been paying a dividend for over 5 years, so it has already some track record.
KNTK has decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
KNTK pays out 750.07% of its income as dividend. This is not a sustainable payout ratio.
DP750.07%
EPS Next 2Y48.14%
EPS Next 3Y39.26%
43.71
+0.49 (+1.13%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners70.42%
Inst Owner ChangeN/A
Ins Owners8.32%
Ins Owner Change2.89%
Market Cap6.90B
Analysts77
Price Target55.1 (26.06%)
Short Float %6.52%
Short Ratio2.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.1% |
Yearly Dividend2.56
Dividend Growth(5Y)N/A
DP750.07%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-90.92%
Min EPS beat(2)-97.39%
Max EPS beat(2)-84.45%
EPS beat(4)1
Avg EPS beat(4)-44.96%
Min EPS beat(4)-97.39%
Max EPS beat(4)25.12%
EPS beat(8)2
Avg EPS beat(8)-10.41%
EPS beat(12)3
Avg EPS beat(12)-23.81%
EPS beat(16)4
Avg EPS beat(16)-9.18%
Revenue beat(2)0
Avg Revenue beat(2)-2.04%
Min Revenue beat(2)-3.11%
Max Revenue beat(2)-0.96%
Revenue beat(4)2
Avg Revenue beat(4)4.43%
Min Revenue beat(4)-3.11%
Max Revenue beat(4)17.33%
Revenue beat(8)5
Avg Revenue beat(8)4.35%
Revenue beat(12)9
Avg Revenue beat(12)11.37%
Revenue beat(16)12
Avg Revenue beat(16)15.64%
PT rev (1m)-5.71%
PT rev (3m)-9.95%
EPS NQ rev (1m)-1.83%
EPS NQ rev (3m)-23.91%
EPS NY rev (1m)-13.65%
EPS NY rev (3m)-24.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.3%
Revenue NY rev (1m)-10.56%
Revenue NY rev (3m)-17.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.01 | ||
| Fwd PE | 19.53 | ||
| P/S | 3.58 | ||
| P/FCF | 19 | ||
| P/OCF | 10.45 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.03 |
EPS(TTM)0.95
EY2.17%
EPS(NY)2.24
Fwd EY5.12%
FCF(TTM)2.3
FCFY5.26%
OCF(TTM)4.18
OCFY9.57%
SpS12.19
BVpS-16.14
TBVpS-20.19
PEG (NY)1.24
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.91% | ||
| ROE | N/A | ||
| ROCE | 3.09% | ||
| ROIC | 2.76% | ||
| ROICexc | 2.76% | ||
| ROICexgc | 3.06% | ||
| OM | 10.51% | ||
| PM (TTM) | 3.32% | ||
| GM | 54.55% | ||
| FCFM | 18.86% |
ROA(3y)2.04%
ROA(5y)1.09%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.6%
ROIC(5y)2.92%
ROICexc(3y)2.6%
ROICexc(5y)2.99%
ROICexgc(3y)2.91%
ROICexgc(5y)3.18%
ROCE(3y)2.86%
ROCE(5y)3.21%
ROICexcg growth 3Y-9.6%
ROICexcg growth 5Y25.06%
ROICexc growth 3Y-12.74%
ROICexc growth 5Y22.43%
OM growth 3Y-33.04%
OM growth 5Y2.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.48%
GM growth 5Y-0.81%
F-Score5
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 10.23 | ||
| Debt/EBITDA | 6.81 | ||
| Cap/Depr | 86.57% | ||
| Cap/Sales | 15.43% | ||
| Interest Coverage | 0.96 | ||
| Cash Conversion | 121.02% | ||
| Profit Quality | 568.11% | ||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.25 |
F-Score5
WACC9.14%
ROIC/WACC0.3
Cap/Depr(3y)95.84%
Cap/Depr(5y)100.92%
Cap/Sales(3y)21.03%
Cap/Sales(5y)17.23%
Profit Quality(3y)441.7%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-61.07%
EPS 3Y-39.67%
EPS 5Y-61.79%
EPS Q2Q%-58.33%
EPS Next Y37.22%
EPS Next 2Y48.14%
EPS Next 3Y39.26%
EPS Next 5Y5.1%
Revenue 1Y (TTM)46.28%
Revenue growth 3Y109.79%
Revenue growth 5Y61.3%
Sales Q2Q%29.84%
Revenue Next Year21.78%
Revenue Next 2Y27.95%
Revenue Next 3Y24.71%
Revenue Next 5Y15.37%
EBIT growth 1Y11.55%
EBIT growth 3Y40.49%
EBIT growth 5Y65.19%
EBIT Next Year258.85%
EBIT Next 3Y63.82%
EBIT Next 5Y37.72%
FCF growth 1Y-3.58%
FCF growth 3Y20.79%
FCF growth 5YN/A
OCF growth 1Y4.14%
OCF growth 3Y44.85%
OCF growth 5Y52.89%