KERING (KER.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:KER - FR0000121485 - Common Stock
300.275 EUR
-0.23 (-0.07%)
We assign a fundamental rating of 3 out of 10 to KER. KER was compared to 46 industry peers in the Textiles, Apparel & Luxury Goods industry. There are concerns on the financial health of KER while its profitability can be described as average. While showing a medium growth rate, KER is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
KER had positive earnings in the past year.
In the past year KER had a positive cash flow from operations.
In the past 5 years KER has always been profitable.
KER had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of KER (1.72%) is worse than 63.04% of its industry peers.
KER has a Return On Equity of 4.94%. This is in the lower half of the industry: KER underperforms 65.22% of its industry peers.
KER has a worse Return On Invested Capital (3.65%) than 69.57% of its industry peers.
KER had an Average Return On Invested Capital over the past 3 years of 10.05%. This is below the industry average of 13.28%.
The 3 year average ROIC (10.05%) for KER 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
KER has a Profit Margin (4.62%) which is in line with its industry peers.
In the last couple of years the Profit Margin of KER has declined.
KER has a Operating Margin (11.07%) which is in line with its industry peers.
KER's Operating Margin has declined in the last couple of years.
KER's Gross Margin of 73.03% is amongst the best of the industry. KER outperforms 80.43% of its industry peers.
KER'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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KER is creating some value.
The number of shares outstanding for KER remains at a similar level compared to 1 year ago.
Compared to 5 years ago, KER has less shares outstanding
KER has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.88 indicates that KER is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of KER (1.88) is worse than 78.26% of its industry peers.
KER has a debt to FCF ratio of 13.86. This is a negative value and a sign of low solvency as KER would need 13.86 years to pay back of all of its debts.
With a Debt to FCF ratio value of 13.86, KER is not doing good in the industry: 69.57% of the companies in the same industry are doing better.
A Debt/Equity ratio of 1.12 is on the high side and indicates that KER has dependencies on debt financing.
KER's Debt to Equity ratio of 1.12 is on the low side compared to the rest of the industry. KER is outperformed by 69.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 13.86 | ||
| Altman-Z | 1.88 |
ROIC/WACC0.54
WACC6.73%
2.3 Liquidity
A Current Ratio of 1.32 indicates that KER should not have too much problems paying its short term obligations.
KER has a worse Current ratio (1.32) than 67.39% of its industry peers.
A Quick Ratio of 0.87 indicates that KER may have some problems paying its short term obligations.
KER's Quick ratio of 0.87 is in line compared to the rest of the industry. KER outperforms 52.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
KER shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -59.67%.
The earnings per share for KER have been decreasing by -16.03% on average. This is quite bad
KER shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -14.56%.
Measured over the past years, KER shows a small growth in Revenue. The Revenue has been growing by 1.60% on average per year.
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
The Earnings Per Share is expected to grow by 21.59% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 2.45% on average over the next years.
EPS Next Y-43.81%
EPS Next 2Y-10.72%
EPS Next 3Y3.13%
EPS Next 5Y21.59%
Revenue Next Year-12.78%
Revenue Next 2Y-5.37%
Revenue Next 3Y-1.3%
Revenue Next 5Y2.45%
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.
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
A Price/Earnings ratio of 42.23 indicates a quite expensive valuation of KER.
Compared to the rest of the industry, the Price/Earnings ratio of KER indicates a slightly more expensive valuation: KER is more expensive than 63.04% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of KER to the average of the S&P500 Index (26.77), we can say KER is valued expensively.
The Price/Forward Earnings ratio is 35.27, which means the current valuation is very expensive for KER.
Based on the Price/Forward Earnings ratio, KER is valued a bit more expensive than 60.87% of the companies in the same industry.
KER is valuated expensively when we compare the Price/Forward Earnings ratio to 23.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.23 | ||
| Fwd PE | 35.27 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KER is valued a bit more expensive than 60.87% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as KER.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.78 | ||
| EV/EBITDA | 13.16 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.72%
EPS Next 3Y3.13%
5. Dividend
5.1 Amount
KER has a Yearly Dividend Yield of 1.98%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.06, KER has a dividend in line with its industry peers.
KER's Dividend Yield is comparable with the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.98% |
5.2 History
The dividend of KER is nicely growing with an annual growth rate of 6.01%!
Dividend Growth(5Y)6.01%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
KER pays out 100.96% of its income as dividend. This is not a sustainable payout ratio.
KER's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP100.96%
EPS Next 2Y-10.72%
EPS Next 3Y3.13%
EPA:KER (12/31/2025, 11:47:16 AM)
300.275
-0.23 (-0.07%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners25.65%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap37.06B
Revenue(TTM)15.76B
Net Income(TTM)729.00M
Analysts54.67
Price Target300.76 (0.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.98% |
Yearly Dividend14
Dividend Growth(5Y)6.01%
DP100.96%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)1.25%
PT rev (3m)45.55%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.69%
EPS NY rev (3m)1.74%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.23 | ||
| Fwd PE | 35.27 | ||
| P/S | 2.35 | ||
| P/FCF | 26.78 | ||
| P/OCF | 9.93 | ||
| P/B | 2.51 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.16 |
EPS(TTM)7.11
EY2.37%
EPS(NY)8.51
Fwd EY2.83%
FCF(TTM)11.21
FCFY3.73%
OCF(TTM)30.25
OCFY10.07%
SpS127.72
BVpS119.66
TBVpS-5.1
PEG (NY)N/A
PEG (5Y)N/A
Graham Number138.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.72% | ||
| ROE | 4.94% | ||
| ROCE | 5.15% | ||
| ROIC | 3.65% | ||
| ROICexc | 4.16% | ||
| ROICexgc | 8.4% | ||
| OM | 11.07% | ||
| PM (TTM) | 4.62% | ||
| GM | 73.03% | ||
| FCFM | 8.78% |
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
ROICexc(3y)11.71%
ROICexc(5y)13.25%
ROICexgc(3y)23.84%
ROICexgc(5y)27.41%
ROCE(3y)14.46%
ROCE(5y)15.94%
ROICexgc growth 3Y-34.7%
ROICexgc growth 5Y-22.91%
ROICexc growth 3Y-32.92%
ROICexc growth 5Y-21.33%
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%
F-Score4
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 13.86 | ||
| Debt/EBITDA | 4.26 | ||
| Cap/Depr | 109.66% | ||
| Cap/Sales | 14.9% | ||
| Interest Coverage | 2.68 | ||
| Cash Conversion | 96.04% | ||
| Profit Quality | 189.85% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 1.88 |
F-Score4
WACC6.73%
ROIC/WACC0.54
Cap/Depr(3y)121.37%
Cap/Depr(5y)96.61%
Cap/Sales(3y)12.62%
Cap/Sales(5y)9.83%
Profit Quality(3y)91.35%
Profit Quality(5y)99.13%
High Growth Momentum
Growth
EPS 1Y (TTM)-59.67%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-49.31%
EPS Next Y-43.81%
EPS Next 2Y-10.72%
EPS Next 3Y3.13%
EPS Next 5Y21.59%
Revenue 1Y (TTM)-14.56%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-15.97%
Revenue Next Year-12.78%
Revenue Next 2Y-5.37%
Revenue Next 3Y-1.3%
Revenue Next 5Y2.45%
EBIT growth 1Y-51.13%
EBIT growth 3Y-20.08%
EBIT growth 5Y-12.06%
EBIT Next Year46.04%
EBIT Next 3Y21.56%
EBIT Next 5Y25.36%
FCF growth 1Y-25.75%
FCF growth 3Y-29.17%
FCF growth 5Y-3.26%
OCF growth 1Y-16.39%
OCF growth 3Y-1.14%
OCF growth 5Y12.54%
KERING / KER.PA FAQ
What is the fundamental rating for KER stock?
ChartMill assigns a fundamental rating of 3 / 10 to KER.PA.
What is the valuation status for KER stock?
ChartMill assigns a valuation rating of 1 / 10 to KERING (KER.PA). This can be considered as Overvalued.
How profitable is KERING (KER.PA) stock?
KERING (KER.PA) has a profitability rating of 4 / 10.
What is the financial health of KERING (KER.PA) stock?
The financial health rating of KERING (KER.PA) is 2 / 10.
Is the dividend of KERING sustainable?
The dividend rating of KERING (KER.PA) is 4 / 10 and the dividend payout ratio is 100.96%.