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KERING (KER.PA) Stock Fundamental Analysis

EPA:KER - Euronext Paris - Matif - FR0000121485 - Common Stock - Currency: EUR

196.79  +1.39 (+0.71%)

Fundamental Rating

3

KER gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 44 industry peers in the Textiles, Apparel & Luxury Goods industry. While KER is still in line with the averages on profitability rating, there are concerns on its financial health. KER is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

KER had positive earnings in the past year.
KER had a positive operating cash flow in the past year.
KER had positive earnings in each of the past 5 years.
KER had a positive operating cash flow in each of the past 5 years.
KER.PA Yearly Net Income VS EBIT VS OCF VS FCFKER.PA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

1.2 Ratios

KER has a Return On Assets of 2.61%. This is in the lower half of the industry: KER underperforms 63.64% of its industry peers.
With a Return On Equity value of 7.60%, KER perfoms like the industry average, outperforming 40.91% of the companies in the same industry.
KER's Return On Invested Capital of 5.20% is on the low side compared to the rest of the industry. KER is outperformed by 61.36% of its industry peers.
KER had an Average Return On Invested Capital over the past 3 years of 10.05%. This is in line with the industry average of 11.04%.
The 3 year average ROIC (10.05%) for KER is well above the current ROIC(5.20%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 2.61%
ROE 7.6%
ROIC 5.2%
ROA(3y)6.82%
ROA(5y)7.67%
ROE(3y)17.67%
ROE(5y)19%
ROIC(3y)10.05%
ROIC(5y)11.02%
KER.PA Yearly ROA, ROE, ROICKER.PA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

1.3 Margins

With a decent Profit Margin value of 6.59%, KER is doing good in the industry, outperforming 61.36% of the companies in the same industry.
KER's Profit Margin has declined in the last couple of years.
The Operating Margin of KER (14.48%) is better than 65.91% of its industry peers.
In the last couple of years the Operating Margin of KER has declined.
KER's Gross Margin of 73.75% is fine compared to the rest of the industry. KER outperforms 79.55% of its industry peers.
KER's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 14.48%
PM (TTM) 6.59%
GM 73.75%
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%
KER.PA Yearly Profit, Operating, Gross MarginsKER.PA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

1

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so KER is still creating some value.
KER has about the same amout of shares outstanding than it did 1 year ago.
KER has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, KER has a worse debt to assets ratio.
KER.PA Yearly Shares OutstandingKER.PA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
KER.PA Yearly Total Debt VS Total AssetsKER.PA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.2 Solvency

Based on the Altman-Z score of 1.60, we must say that KER is in the distress zone and has some risk of bankruptcy.
KER has a Altman-Z score of 1.60. This is in the lower half of the industry: KER underperforms 70.45% of its industry peers.
KER has a debt to FCF ratio of 13.88. This is a negative value and a sign of low solvency as KER would need 13.88 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.88, KER is doing worse than 79.55% of the companies in the same industry.
KER has a Debt/Equity ratio of 1.11. This is a high value indicating a heavy dependency on external financing.
KER's Debt to Equity ratio of 1.11 is on the low side compared to the rest of the industry. KER is outperformed by 68.18% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.11
Debt/FCF 13.88
Altman-Z 1.6
ROIC/WACC0.75
WACC6.9%
KER.PA Yearly LT Debt VS Equity VS FCFKER.PA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.3 Liquidity

KER has a Current Ratio of 1.11. This is a normal value and indicates that KER is financially healthy and should not expect problems in meeting its short term obligations.
KER has a worse Current ratio (1.11) than 81.82% of its industry peers.
A Quick Ratio of 0.69 indicates that KER may have some problems paying its short term obligations.
KER has a worse Quick ratio (0.69) than 72.73% of its industry peers.
Industry RankSector Rank
Current Ratio 1.11
Quick Ratio 0.69
KER.PA Yearly Current Assets VS Current LiabilitesKER.PA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

4

3. Growth

3.1 Past

The earnings per share for KER have decreased strongly by -57.30% in the last year.
The earnings per share for KER have been decreasing by -16.03% on average. This is quite bad
The Revenue for KER has decreased by -12.12% in the past year. This is quite bad
The Revenue has been growing slightly by 1.60% on average over the past years.
EPS 1Y (TTM)-57.3%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-66.89%
Revenue 1Y (TTM)-12.12%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-13.31%

3.2 Future

KER is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.28% yearly.
The Revenue is expected to grow by 3.61% on average over the next years.
EPS Next Y-11.6%
EPS Next 2Y5.25%
EPS Next 3Y9.21%
EPS Next 5Y21.28%
Revenue Next Year-8.52%
Revenue Next 2Y-2.02%
Revenue Next 3Y0.88%
Revenue Next 5Y3.61%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
KER.PA Yearly Revenue VS EstimatesKER.PA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 5B 10B 15B 20B
KER.PA Yearly EPS VS EstimatesKER.PA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10 20 30

2

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 18.43, which indicates a rather expensive current valuation of KER.
KER's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of KER to the average of the S&P500 Index (27.29), we can say KER is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 20.84, the valuation of KER can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KER is on the same level as its industry peers.
KER's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.74.
Industry RankSector Rank
PE 18.43
Fwd PE 20.84
KER.PA Price Earnings VS Forward Price EarningsKER.PA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

KER's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as KER.
Industry RankSector Rank
P/FCF 17.35
EV/EBITDA 8.94
KER.PA Per share dataKER.PA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.25%
EPS Next 3Y9.21%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 3.02%, KER has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.03, KER pays a bit more dividend than its industry peers.
KER's Dividend Yield is a higher than the S&P500 average which is at 2.37.
Industry RankSector Rank
Dividend Yield 3.02%

5.2 History

On average, the dividend of KER grows each year by 6.01%, which is quite nice.
Dividend Growth(5Y)6.01%
Div Incr Years0
Div Non Decr Years3
KER.PA Yearly Dividends per shareKER.PA Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 2025 5 10 15

5.3 Sustainability

KER pays out 151.46% 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.
DP151.46%
EPS Next 2Y5.25%
EPS Next 3Y9.21%
KER.PA Yearly Income VS Free CF VS DividendKER.PA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B
KER.PA Dividend Payout.KER.PA Dividend Payout, showing the Payout Ratio.KER.PA Dividend Payout.PayoutRetained Earnings

KERING

EPA:KER (7/8/2025, 10:16:09 AM)

196.79

+1.39 (+0.71%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)04-23 2025-04-23
Earnings (Next)07-29 2025-07-29
Inst Owners25.73%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap24.29B
Analysts52.67
Price Target196.54 (-0.13%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 3.02%
Yearly Dividend14
Dividend Growth(5Y)6.01%
DP151.46%
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)-2.39%
PT rev (3m)-18.76%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-13.31%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-9.49%
Valuation
Industry RankSector Rank
PE 18.43
Fwd PE 20.84
P/S 1.41
P/FCF 17.35
P/OCF 5.16
P/B 1.63
P/tB N/A
EV/EBITDA 8.94
EPS(TTM)10.68
EY5.43%
EPS(NY)9.44
Fwd EY4.8%
FCF(TTM)11.34
FCFY5.76%
OCF(TTM)38.15
OCFY19.39%
SpS139.31
BVpS120.76
TBVpS-5.35
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 2.61%
ROE 7.6%
ROCE 7.37%
ROIC 5.2%
ROICexc 5.4%
ROICexgc 10.07%
OM 14.48%
PM (TTM) 6.59%
GM 73.75%
FCFM 8.14%
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%
ROICexcg growth 3Y-34.7%
ROICexcg 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-Score3
Asset Turnover0.4
Health
Industry RankSector Rank
Debt/Equity 1.11
Debt/FCF 13.88
Debt/EBITDA 3.58
Cap/Depr 156.6%
Cap/Sales 19.25%
Interest Coverage 4.08
Cash Conversion 102.33%
Profit Quality 123.57%
Current Ratio 1.11
Quick Ratio 0.69
Altman-Z 1.6
F-Score3
WACC6.9%
ROIC/WACC0.75
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)-57.3%
EPS 3Y-26.58%
EPS 5Y-16.03%
EPS Q2Q%-66.89%
EPS Next Y-11.6%
EPS Next 2Y5.25%
EPS Next 3Y9.21%
EPS Next 5Y21.28%
Revenue 1Y (TTM)-12.12%
Revenue growth 3Y-0.86%
Revenue growth 5Y1.6%
Sales Q2Q%-13.31%
Revenue Next Year-8.52%
Revenue Next 2Y-2.02%
Revenue Next 3Y0.88%
Revenue Next 5Y3.61%
EBIT growth 1Y-47.22%
EBIT growth 3Y-20.08%
EBIT growth 5Y-12.06%
EBIT Next Year50.68%
EBIT Next 3Y22.84%
EBIT Next 5Y25.36%
FCF growth 1Y-24.24%
FCF growth 3Y-29.17%
FCF growth 5Y-3.26%
OCF growth 1Y5.61%
OCF growth 3Y-1.14%
OCF growth 5Y12.54%