Kaman Corporation (KAMN) Stock Fundamental Analysis
NYSE:KAMN - New York Stock Exchange, Inc. - US4835481031 - Common Stock - Currency: USD
Overall KAMN gets a fundamental rating of 4 out of 10. We evaluated KAMN against 66 industry peers in the Aerospace & Defense industry. KAMN has a medium profitability rating, but doesn't score so well on its financial health evaluation. KAMN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
KAMN had positive earnings in the past year.
In the past year KAMN had a positive cash flow from operations.
In multiple years KAMN reported negative net income over the last 5 years.
KAMN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
KAMN's Return On Assets of 0.53% is in line compared to the rest of the industry. KAMN outperforms 48.44% of its industry peers.
KAMN has a Return On Equity (1.16%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 3.49%, KAMN is in line with its industry, outperforming 48.44% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for KAMN is significantly below the industry average of 7.98%.
The 3 year average ROIC (2.89%) for KAMN is below the current ROIC(3.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.53% | ||
| ROE | 1.16% | ||
| ROIC | 3.49% |
ROA(3y)0.36%
ROA(5y)2.1%
ROE(3y)-0.05%
ROE(5y)3.2%
ROIC(3y)2.89%
ROIC(5y)3.14%
1.3 Margins
The Profit Margin of KAMN (1.03%) is comparable to the rest of the industry.
KAMN's Profit Margin has declined in the last couple of years.
The Operating Margin of KAMN (6.99%) is better than 60.94% of its industry peers.
KAMN's Operating Margin has been stable in the last couple of years.
KAMN's Gross Margin of 34.96% is fine compared to the rest of the industry. KAMN outperforms 79.69% of its industry peers.
KAMN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.99% | ||
| PM (TTM) | 1.03% | ||
| GM | 34.96% |
OM growth 3Y6.24%
OM growth 5Y-1.42%
PM growth 3YN/A
PM growth 5Y-32.6%
GM growth 3Y3.74%
GM growth 5Y2.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KAMN is destroying value.
KAMN has more shares outstanding than it did 1 year ago.
KAMN has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, KAMN has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.32 indicates that KAMN is not a great score, but indicates only limited risk for bankruptcy at the moment.
KAMN has a Altman-Z score (2.32) which is comparable to the rest of the industry.
KAMN has a debt to FCF ratio of 11.95. This is a negative value and a sign of low solvency as KAMN would need 11.95 years to pay back of all of its debts.
With a Debt to FCF ratio value of 11.95, KAMN perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
KAMN has a Debt/Equity ratio of 0.52. This is a neutral value indicating KAMN is somewhat dependend on debt financing.
The Debt to Equity ratio of KAMN (0.52) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 11.95 | ||
| Altman-Z | 2.32 |
ROIC/WACC0.41
WACC8.55%
2.3 Liquidity
KAMN has a Current Ratio of 1.32. This is a normal value and indicates that KAMN is financially healthy and should not expect problems in meeting its short term obligations.
KAMN's Current ratio of 1.32 is on the low side compared to the rest of the industry. KAMN is outperformed by 65.63% of its industry peers.
KAMN has a Quick Ratio of 1.32. This is a bad value and indicates that KAMN is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.71, KAMN is doing worse than 82.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The earnings per share for KAMN have decreased strongly by -56.67% in the last year.
The earnings per share for KAMN have been decreasing by -28.99% on average. This is quite bad
Looking at the last year, KAMN shows a quite strong growth in Revenue. The Revenue has grown by 12.78% in the last year.
KAMN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.06% yearly.
EPS 1Y (TTM)-56.67%
EPS 3Y-35.63%
EPS 5Y-28.99%
EPS Q2Q%-71.43%
Revenue 1Y (TTM)12.78%
Revenue growth 3Y-0.37%
Revenue growth 5Y1.06%
Sales Q2Q%3.06%
3.2 Future
The Earnings Per Share is expected to grow by 52.14% on average over the next years. This is a very strong growth
KAMN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.19% yearly.
EPS Next Y63.79%
EPS Next 2Y52.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.55%
Revenue Next 2Y4.19%
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
KAMN is valuated quite expensively with a Price/Earnings ratio of 88.44.
KAMN's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 29.63. KAMN is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 54.00, the valuation of KAMN can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as KAMN.
KAMN's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.44 | ||
| Fwd PE | 54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KAMN indicates a somewhat cheap valuation: KAMN is cheaper than 67.19% of the companies listed in the same industry.
KAMN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. KAMN is cheaper than 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.89 | ||
| EV/EBITDA | 17.51 |
4.3 Compensation for Growth
KAMN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
KAMN's earnings are expected to grow with 52.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.39
PEG (5Y)N/A
EPS Next 2Y52.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
KAMN has a Yearly Dividend Yield of 1.74%.
KAMN's Dividend Yield is rather good when compared to the industry average which is at 1.44. KAMN pays more dividend than 89.06% of the companies in the same industry.
KAMN's Dividend Yield is slightly below the S&P500 average, which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
5.2 History
The dividend of KAMN decreases each year by -0.01%.
KAMN has paid a dividend for at least 10 years, which is a reliable track record.
KAMN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.01%
Div Incr Years0
Div Non Decr Years19
5.3 Sustainability
281.70% of the earnings are spent on dividend by KAMN. This is not a sustainable payout ratio.
DP281.7%
EPS Next 2Y52.14%
EPS Next 3YN/A
45.99
+0.12 (+0.26%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners18.47%
Inst Owner Change0%
Ins Owners2.19%
Ins Owner Change0%
Market Cap1.30B
Analysts80
Price Target46.92 (2.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
Yearly Dividend0.8
Dividend Growth(5Y)-0.01%
DP281.7%
Div Incr Years0
Div Non Decr Years19
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.32%
Min EPS beat(2)-13.92%
Max EPS beat(2)22.55%
EPS beat(4)3
Avg EPS beat(4)114.91%
Min EPS beat(4)-13.92%
Max EPS beat(4)292.16%
EPS beat(8)4
Avg EPS beat(8)49.67%
EPS beat(12)7
Avg EPS beat(12)43.31%
EPS beat(16)10
Avg EPS beat(16)38.35%
Revenue beat(2)1
Avg Revenue beat(2)0.58%
Min Revenue beat(2)-0.57%
Max Revenue beat(2)1.72%
Revenue beat(4)3
Avg Revenue beat(4)2.93%
Min Revenue beat(4)-0.57%
Max Revenue beat(4)7.19%
Revenue beat(8)3
Avg Revenue beat(8)-3.88%
Revenue beat(12)4
Avg Revenue beat(12)-3.78%
Revenue beat(16)7
Avg Revenue beat(16)-1.58%
PT rev (1m)0%
PT rev (3m)53.33%
EPS NQ rev (1m)-37.5%
EPS NQ rev (3m)-19.35%
EPS NY rev (1m)-13.92%
EPS NY rev (3m)7.51%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.44 | ||
| Fwd PE | 54 | ||
| P/S | 1.68 | ||
| P/FCF | 27.89 | ||
| P/OCF | 17.92 | ||
| P/B | 1.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.51 |
EPS(TTM)0.52
EY1.13%
EPS(NY)0.85
Fwd EY1.85%
FCF(TTM)1.65
FCFY3.59%
OCF(TTM)2.57
OCFY5.58%
SpS27.39
BVpS24.42
TBVpS-1.4
PEG (NY)1.39
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.53% | ||
| ROE | 1.16% | ||
| ROCE | 4.69% | ||
| ROIC | 3.49% | ||
| ROICexc | 3.6% | ||
| ROICexgc | 10.36% | ||
| OM | 6.99% | ||
| PM (TTM) | 1.03% | ||
| GM | 34.96% | ||
| FCFM | 6.02% |
ROA(3y)0.36%
ROA(5y)2.1%
ROE(3y)-0.05%
ROE(5y)3.2%
ROIC(3y)2.89%
ROIC(5y)3.14%
ROICexc(3y)3.13%
ROICexc(5y)3.84%
ROICexgc(3y)6.92%
ROICexgc(5y)7.23%
ROCE(3y)3.89%
ROCE(5y)4.22%
ROICexcg growth 3Y20.58%
ROICexcg growth 5Y17.6%
ROICexc growth 3Y1.01%
ROICexc growth 5Y0.12%
OM growth 3Y6.24%
OM growth 5Y-1.42%
PM growth 3YN/A
PM growth 5Y-32.6%
GM growth 3Y3.74%
GM growth 5Y2.51%
F-Score8
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 11.95 | ||
| Debt/EBITDA | 3.43 | ||
| Cap/Depr | 51.96% | ||
| Cap/Sales | 3.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.74% | ||
| Profit Quality | 584.28% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 2.32 |
F-Score8
WACC8.55%
ROIC/WACC0.41
Cap/Depr(3y)52.63%
Cap/Depr(5y)56.98%
Cap/Sales(3y)3.09%
Cap/Sales(5y)2.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-56.67%
EPS 3Y-35.63%
EPS 5Y-28.99%
EPS Q2Q%-71.43%
EPS Next Y63.79%
EPS Next 2Y52.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)12.78%
Revenue growth 3Y-0.37%
Revenue growth 5Y1.06%
Sales Q2Q%3.06%
Revenue Next Year2.55%
Revenue Next 2Y4.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y165.8%
EBIT growth 3Y5.85%
EBIT growth 5Y-0.37%
EBIT Next Year109.46%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1830.11%
FCF growth 3YN/A
FCF growth 5Y-19.61%
OCF growth 1Y246.26%
OCF growth 3Y63.95%
OCF growth 5Y-14.66%