KERING (1KER.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1KER • FR0000121485
263 EUR
-11.6 (-4.22%)
Last: Jan 29, 2026, 07:00 PM
Taking everything into account, 1KER scores 3 out of 10 in our fundamental rating. 1KER was compared to 52 industry peers in the Textiles, Apparel & Luxury Goods industry. There are concerns on the financial health of 1KER while its profitability can be described as average. While showing a medium growth rate, 1KER is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- 1KER had positive earnings in the past year.
- In the past year 1KER had a positive cash flow from operations.
- Each year in the past 5 years 1KER has been profitable.
- 1KER had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- 1KER has a Return On Assets (1.72%) which is comparable to the rest of the industry.
- With a Return On Equity value of 4.94%, 1KER perfoms like the industry average, outperforming 42.31% of the companies in the same industry.
- 1KER has a Return On Invested Capital of 3.65%. This is in the lower half of the industry: 1KER underperforms 65.38% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1KER is in line with the industry average of 11.58%.
- The 3 year average ROIC (10.05%) for 1KER is well above the current ROIC(3.65%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.72% | ||
| ROE | 4.94% | ||
| ROIC | 3.65% |
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
1.3 Margins
- The Profit Margin of 1KER (4.62%) is comparable to the rest of the industry.
- 1KER's Profit Margin has declined in the last couple of years.
- 1KER has a Operating Margin (11.07%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of 1KER has declined.
- 1KER's Gross Margin of 73.03% is fine compared to the rest of the industry. 1KER outperforms 78.85% of its industry peers.
- 1KER's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.07% | ||
| PM (TTM) | 4.62% | ||
| GM | 73.03% |
OM growth 3Y-19.39%
OM growth 5Y-13.44%
PM growth 3Y-28.46%
PM growth 5Y-14.63%
GM growth 3Y-0.14%
GM growth 5Y-0.1%
2. Health
2.1 Basic Checks
- 1KER has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- 1KER has about the same amout of shares outstanding than it did 1 year ago.
- 1KER has less shares outstanding than it did 5 years ago.
- 1KER has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.78, we must say that 1KER is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 1.78, 1KER is not doing good in the industry: 63.46% of the companies in the same industry are doing better.
- The Debt to FCF ratio of 1KER is 13.86, which is on the high side as it means it would take 1KER, 13.86 years of fcf income to pay off all of its debts.
- 1KER has a Debt to FCF ratio of 13.86. This is in the lower half of the industry: 1KER underperforms 61.54% of its industry peers.
- A Debt/Equity ratio of 1.12 is on the high side and indicates that 1KER has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.12, 1KER is not doing good in the industry: 71.15% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 13.86 | ||
| Altman-Z | 1.78 |
ROIC/WACC0.52
WACC7%
2.3 Liquidity
- 1KER has a Current Ratio of 1.32. This is a normal value and indicates that 1KER is financially healthy and should not expect problems in meeting its short term obligations.
- 1KER's Current ratio of 1.32 is on the low side compared to the rest of the industry. 1KER is outperformed by 61.54% of its industry peers.
- 1KER has a Quick Ratio of 1.32. This is a bad value and indicates that 1KER is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.87, 1KER is in line with its industry, outperforming 55.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
- The earnings per share for 1KER have decreased strongly by -59.67% in the last year.
- The earnings per share for 1KER have been decreasing by -16.03% on average. This is quite bad
- Looking at the last year, 1KER shows a very negative growth in Revenue. The Revenue has decreased by -14.56% in the last year.
- The Revenue has been growing slightly by 1.60% on average over the past years.
EPS 1Y (TTM)-59.67%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-49.31%
Revenue 1Y (TTM)-14.56%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-15.97%
3.2 Future
- 1KER is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.83% yearly.
- 1KER is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.24% yearly.
EPS Next Y-45.58%
EPS Next 2Y-10.81%
EPS Next 3Y3.27%
EPS Next 5Y9.83%
Revenue Next Year-12.78%
Revenue Next 2Y-5.37%
Revenue Next 3Y-1.3%
Revenue Next 5Y2.24%
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 36.99, which means the current valuation is very expensive for 1KER.
- 1KER's Price/Earnings is on the same level as the industry average.
- When comparing the Price/Earnings ratio of 1KER to the average of the S&P500 Index (28.32), we can say 1KER is valued slightly more expensively.
- The Price/Forward Earnings ratio is 30.96, which means the current valuation is very expensive for 1KER.
- The rest of the industry has a similar Price/Forward Earnings ratio as 1KER.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. 1KER is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.99 | ||
| Fwd PE | 30.96 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1KER is on the same level as its industry peers.
- 1KER's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.45 | ||
| EV/EBITDA | 11.97 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.81%
EPS Next 3Y3.27%
5. Dividend
5.1 Amount
- 1KER has a Yearly Dividend Yield of 2.28%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.05, 1KER has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, 1KER pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.28% |
5.2 History
- On average, the dividend of 1KER grows each year by 6.01%, which is quite nice.
Dividend Growth(5Y)6.01%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 100.96% of the earnings are spent on dividend by 1KER. This is not a sustainable payout ratio.
- 1KER's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP100.96%
EPS Next 2Y-10.81%
EPS Next 3Y3.27%
KERING / 1KER.MI FAQ
What is the ChartMill fundamental rating of KERING (1KER.MI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to 1KER.MI.
What is the valuation status of KERING (1KER.MI) stock?
ChartMill assigns a valuation rating of 1 / 10 to KERING (1KER.MI). This can be considered as Overvalued.
What is the profitability of 1KER stock?
KERING (1KER.MI) has a profitability rating of 4 / 10.
What is the valuation of KERING based on its PE and PB ratios?
The Price/Earnings (PE) ratio for KERING (1KER.MI) is 36.99 and the Price/Book (PB) ratio is 2.2.
Is the dividend of KERING sustainable?
The dividend rating of KERING (1KER.MI) is 4 / 10 and the dividend payout ratio is 100.96%.