KONINKLIJKE KPN NV (KPN.AS) Stock Fundamental Analysis
AMS:KPN - Euronext Amsterdam - NL0000009082 - Common Stock - Currency: EUR
Overall KPN gets a fundamental rating of 5 out of 10. We evaluated KPN against 32 industry peers in the Diversified Telecommunication Services industry. While KPN belongs to the best of the industry regarding profitability, there are concerns on its financial health. KPN is quite expensive at the moment. It does show a decent growth rate. Finally KPN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year KPN was profitable.
KPN had a positive operating cash flow in the past year.
In the past 5 years KPN has always been profitable.
Each year in the past 5 years KPN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of KPN (6.23%) is better than 90.63% of its industry peers.
Looking at the Return On Equity, with a value of 21.97%, KPN belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.77%, KPN belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for KPN is above the industry average of 7.75%.
The 3 year average ROIC (10.15%) for KPN is below the current ROIC(10.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.23% | ||
| ROE | 21.97% | ||
| ROIC | 10.77% |
ROA(3y)6.38%
ROA(5y)6.75%
ROE(3y)21.85%
ROE(5y)25.23%
ROIC(3y)10.15%
ROIC(5y)9.14%
1.3 Margins
KPN's Profit Margin of 14.24% is amongst the best of the industry. KPN outperforms 87.50% of its industry peers.
In the last couple of years the Profit Margin of KPN has grown nicely.
With an excellent Operating Margin value of 25.11%, KPN belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
In the last couple of years the Operating Margin of KPN has grown nicely.
KPN has a better Gross Margin (78.55%) than 81.25% of its industry peers.
KPN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.11% | ||
| PM (TTM) | 14.24% | ||
| GM | 78.55% |
OM growth 3Y7.85%
OM growth 5Y7.45%
PM growth 3Y-16.33%
PM growth 5Y4.6%
GM growth 3Y1.42%
GM growth 5Y0.59%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so KPN is still creating some value.
The number of shares outstanding for KPN has been reduced compared to 1 year ago.
Compared to 5 years ago, KPN has less shares outstanding
Compared to 1 year ago, KPN has a worse debt to assets ratio.
2.2 Solvency
KPN has an Altman-Z score of 1.19. This is a bad value and indicates that KPN is not financially healthy and even has some risk of bankruptcy.
KPN's Altman-Z score of 1.19 is in line compared to the rest of the industry. KPN outperforms 50.00% of its industry peers.
KPN has a debt to FCF ratio of 7.27. This is a slightly negative value and a sign of low solvency as KPN would need 7.27 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.27, KPN is in line with its industry, outperforming 56.25% of the companies in the same industry.
KPN has a Debt/Equity ratio of 1.67. This is a high value indicating a heavy dependency on external financing.
KPN's Debt to Equity ratio of 1.67 is on the low side compared to the rest of the industry. KPN is outperformed by 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.67 | ||
| Debt/FCF | 7.27 | ||
| Altman-Z | 1.19 |
ROIC/WACC1.76
WACC6.11%
2.3 Liquidity
KPN has a Current Ratio of 0.70. This is a bad value and indicates that KPN is not financially healthy enough and could expect problems in meeting its short term obligations.
KPN's Current ratio of 0.70 is on the low side compared to the rest of the industry. KPN is outperformed by 62.50% of its industry peers.
KPN has a Quick Ratio of 0.70. This is a bad value and indicates that KPN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.68, KPN perfoms like the industry average, outperforming 43.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.33% over the past year.
The Earnings Per Share has been growing slightly by 7.03% on average over the past years.
Looking at the last year, KPN shows a small growth in Revenue. The Revenue has grown by 3.00% in the last year.
Measured over the past years, KPN shows a small growth in Revenue. The Revenue has been growing by 0.42% on average per year.
EPS 1Y (TTM)10.33%
EPS 3Y-8.8%
EPS 5Y7.03%
EPS Q2Q%-12.16%
Revenue 1Y (TTM)3%
Revenue growth 3Y2.15%
Revenue growth 5Y0.42%
Sales Q2Q%2.98%
3.2 Future
The Earnings Per Share is expected to grow by 8.98% on average over the next years. This is quite good.
Based on estimates for the next years, KPN will show a small growth in Revenue. The Revenue will grow by 2.37% on average per year.
EPS Next Y9.24%
EPS Next 2Y8.35%
EPS Next 3Y8.34%
EPS Next 5Y8.98%
Revenue Next Year2.81%
Revenue Next 2Y2.47%
Revenue Next 3Y2.26%
Revenue Next 5Y2.37%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.81, which indicates a rather expensive current valuation of KPN.
KPN's Price/Earnings is on the same level as the industry average.
KPN's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.17.
Based on the Price/Forward Earnings ratio of 16.03, the valuation of KPN can be described as correct.
KPN's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. KPN is more expensive than 62.50% of the companies in the same industry.
KPN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.81 | ||
| Fwd PE | 16.03 |
4.2 Price Multiples
62.50% of the companies in the same industry are cheaper than KPN, based on the Enterprise Value to EBITDA ratio.
KPN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.14 | ||
| EV/EBITDA | 8.36 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of KPN may justify a higher PE ratio.
PEG (NY)2.04
PEG (5Y)2.68
EPS Next 2Y8.35%
EPS Next 3Y8.34%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.07%, KPN is a good candidate for dividend investing.
KPN's Dividend Yield is comparable with the industry average which is at 4.30.
Compared to an average S&P500 Dividend Yield of 2.40, KPN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.07% |
5.2 History
The dividend of KPN is nicely growing with an annual growth rate of 6.22%!
Dividend Growth(5Y)6.22%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
KPN pays out 73.56% of its income as dividend. This is not a sustainable payout ratio.
KPN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP73.56%
EPS Next 2Y8.35%
EPS Next 3Y8.34%
AMS:KPN (5/28/2025, 7:00:00 PM)
4.139
-0.01 (-0.19%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners65.79%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap16.10B
Analysts71.2
Price Target4.19 (1.23%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.07% |
Yearly Dividend0.17
Dividend Growth(5Y)6.22%
DP73.56%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.58%
Min EPS beat(2)-21.84%
Max EPS beat(2)10.69%
EPS beat(4)3
Avg EPS beat(4)1.43%
Min EPS beat(4)-21.84%
Max EPS beat(4)12.28%
EPS beat(8)7
Avg EPS beat(8)10.15%
EPS beat(12)11
Avg EPS beat(12)15.43%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.5%
Min Revenue beat(2)-1.01%
Max Revenue beat(2)0%
Revenue beat(4)1
Avg Revenue beat(4)-0.15%
Min Revenue beat(4)-1.01%
Max Revenue beat(4)1.34%
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)3.02%
PT rev (3m)2.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.02%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.81 | ||
| Fwd PE | 16.03 | ||
| P/S | 2.87 | ||
| P/FCF | 16.14 | ||
| P/OCF | 7.05 | ||
| P/B | 4.43 | ||
| P/tB | 24.65 | ||
| EV/EBITDA | 8.36 |
EPS(TTM)0.22
EY5.32%
EPS(NY)0.26
Fwd EY6.24%
FCF(TTM)0.26
FCFY6.19%
OCF(TTM)0.59
OCFY14.19%
SpS1.44
BVpS0.93
TBVpS0.17
PEG (NY)2.04
PEG (5Y)2.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.23% | ||
| ROE | 21.97% | ||
| ROCE | 13.93% | ||
| ROIC | 10.77% | ||
| ROICexc | 12.15% | ||
| ROICexgc | 18.14% | ||
| OM | 25.11% | ||
| PM (TTM) | 14.24% | ||
| GM | 78.55% | ||
| FCFM | 17.79% |
ROA(3y)6.38%
ROA(5y)6.75%
ROE(3y)21.85%
ROE(5y)25.23%
ROIC(3y)10.15%
ROIC(5y)9.14%
ROICexc(3y)10.93%
ROICexc(5y)9.93%
ROICexgc(3y)15.72%
ROICexgc(5y)14.55%
ROCE(3y)13.12%
ROCE(5y)11.8%
ROICexcg growth 3Y10.82%
ROICexcg growth 5Y5.54%
ROICexc growth 3Y10.74%
ROICexc growth 5Y6.37%
OM growth 3Y7.85%
OM growth 5Y7.45%
PM growth 3Y-16.33%
PM growth 5Y4.6%
GM growth 3Y1.42%
GM growth 5Y0.59%
F-Score6
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.67 | ||
| Debt/FCF | 7.27 | ||
| Debt/EBITDA | 2.32 | ||
| Cap/Depr | 106.54% | ||
| Cap/Sales | 22.97% | ||
| Interest Coverage | 6.48 | ||
| Cash Conversion | 87.34% | ||
| Profit Quality | 124.94% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 1.19 |
F-Score6
WACC6.11%
ROIC/WACC1.76
Cap/Depr(3y)99.71%
Cap/Depr(5y)96.69%
Cap/Sales(3y)23.04%
Cap/Sales(5y)24.4%
Profit Quality(3y)124.87%
Profit Quality(5y)106.46%
High Growth Momentum
Growth
EPS 1Y (TTM)10.33%
EPS 3Y-8.8%
EPS 5Y7.03%
EPS Q2Q%-12.16%
EPS Next Y9.24%
EPS Next 2Y8.35%
EPS Next 3Y8.34%
EPS Next 5Y8.98%
Revenue 1Y (TTM)3%
Revenue growth 3Y2.15%
Revenue growth 5Y0.42%
Sales Q2Q%2.98%
Revenue Next Year2.81%
Revenue Next 2Y2.47%
Revenue Next 3Y2.26%
Revenue Next 5Y2.37%
EBIT growth 1Y3.53%
EBIT growth 3Y10.18%
EBIT growth 5Y7.9%
EBIT Next Year94.35%
EBIT Next 3Y26.93%
EBIT Next 5Y18.24%
FCF growth 1Y6.63%
FCF growth 3Y1.56%
FCF growth 5Y1.25%
OCF growth 1Y4.53%
OCF growth 3Y2.1%
OCF growth 5Y2.44%