KIMBELL ROYALTY PARTNERS LP (KRP)
US49435R1023
KRP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 214 industry peers in the Oil, Gas & Consumable Fuels industry. The financial health of KRP is average, but there are quite some concerns on its profitability. While showing a medium growth rate, KRP is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
KRP had positive earnings in the past year.
KRP had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: KRP reported negative net income in multiple years.
In the past 5 years KRP always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.50%, KRP is doing worse than 61.22% of the companies in the same industry.
Looking at the Return On Equity, with a value of 6.10%, KRP is doing worse than 70.09% of the companies in the same industry.
The Return On Invested Capital of KRP (7.64%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for KRP is significantly below the industry average of 44.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.5% | ||
| ROE | 6.1% | ||
| ROIC | 7.64% |
ROA(3y)6.22%
ROA(5y)-4.42%
ROE(3y)10.51%
ROE(5y)-9.43%
ROIC(3y)8.22%
ROIC(5y)5.33%
1.3 Margins
With a Profit Margin value of 20.45%, KRP perfoms like the industry average, outperforming 57.48% of the companies in the same industry.
With an excellent Operating Margin value of 43.56%, KRP belongs to the best of the industry, outperforming 81.31% of the companies in the same industry.
In the last couple of years the Operating Margin of KRP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.56% | ||
| PM (TTM) | 20.45% | ||
| GM | N/A |
OM growth 3Y266.62%
OM growth 5Y9.9%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KRP is destroying value.
Compared to 1 year ago, KRP has more shares outstanding
The number of shares outstanding for KRP has been increased compared to 5 years ago.
KRP has a worse debt/assets ratio than last year.
2.2 Solvency
KRP has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.30, KRP is doing good in the industry, outperforming 61.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.86
WACC8.91%
2.3 Liquidity
KRP has a Current Ratio of 7.95. This indicates that KRP is financially healthy and has no problem in meeting its short term obligations.
KRP has a better Current ratio (7.95) than 93.46% of its industry peers.
A Quick Ratio of 7.95 indicates that KRP has no problem at all paying its short term obligations.
KRP has a better Quick ratio (7.95) than 93.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.95 | ||
| Quick Ratio | 7.95 |
3. Growth
3.1 Past
The earnings per share for KRP have decreased strongly by -33.14% in the last year.
The Earnings Per Share has been growing by 52.90% on average over the past years. This is a very strong growth
Looking at the last year, KRP shows a quite strong growth in Revenue. The Revenue has grown by 18.55% in the last year.
The Revenue has been growing by 33.14% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-33.14%
EPS 3YN/A
EPS 5Y52.9%
EPS growth Q2Q-18.75%
Revenue 1Y (TTM)18.55%
Revenue growth 3Y48.12%
Revenue growth 5Y33.14%
Revenue growth Q2Q44.45%
3.2 Future
The Earnings Per Share is expected to decrease by -4.01% on average over the next years.
The Revenue is expected to grow by 11.17% on average over the next years. This is quite good.
EPS Next Y-30.48%
EPS Next 2Y-8.46%
EPS Next 3Y-4.01%
EPS Next 5YN/A
Revenue Next Year20.53%
Revenue Next 2Y15%
Revenue Next 3Y11.17%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.74, the valuation of KRP can be described as correct.
KRP's Price/Earnings ratio is a bit more expensive when compared to the industry. KRP is more expensive than 60.28% of the companies in the same industry.
When comparing the Price/Earnings ratio of KRP to the average of the S&P500 Index (28.28), we can say KRP is valued rather cheaply.
A Price/Forward Earnings ratio of 19.77 indicates a rather expensive valuation of KRP.
Based on the Price/Forward Earnings ratio, KRP is valued a bit more expensive than 63.08% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of KRP to the average of the S&P500 Index (20.88), we can say KRP is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.74 | ||
| Fwd PE | 19.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KRP is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.03 |
4.3 Compensation for Growth
KRP's earnings are expected to decrease with -4.01% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.26
EPS Next 2Y-8.46%
EPS Next 3Y-4.01%
5. Dividend
5.1 Amount
KRP has a Yearly Dividend Yield of 11.38%, which is a nice return.
Compared to an average industry Dividend Yield of 5.85, KRP pays a better dividend. On top of this KRP pays more dividend than 92.52% of the companies listed in the same industry.
KRP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.38% |
5.2 History
The dividend of KRP decreases each year by -1.67%.
KRP has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-1.67%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
201.89% of the earnings are spent on dividend by KRP. This is not a sustainable payout ratio.
The Dividend Rate of KRP has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP201.89%
EPS Next 2Y-8.46%
EPS Next 3Y-4.01%
KIMBELL ROYALTY PARTNERS LP
NYSE:KRP (5/3/2024, 7:04:00 PM)
After market: 16.08 0 (0%)16.08
+0.08 (+0.5%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.54B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.38% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.74 | ||
| Fwd PE | 19.77 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.5% | ||
| ROE | 6.1% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 43.56% | ||
| PM (TTM) | 20.45% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 7.95 | ||
| Quick Ratio | 7.95 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-33.14%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-30.48%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)18.55%
Revenue growth 3Y48.12%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y