KERING (KER.PA) Stock Fundamental Analysis
EPA:KER - Euronext Paris - Matif - FR0000121485 - Common Stock - Currency: EUR
Overall KER gets a fundamental rating of 4 out of 10. We evaluated KER against 43 industry peers in the Textiles, Apparel & Luxury Goods industry. KER has a medium profitability rating, but doesn't score so well on its financial health evaluation. 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.
KER had positive earnings in each of the past 5 years.
Each year in the past 5 years KER had a positive operating cash flow.
1.2 Ratios
KER's Return On Assets of 2.61% is in line compared to the rest of the industry. KER outperforms 44.19% of its industry peers.
KER has a Return On Equity (7.60%) which is comparable to the rest of the industry.
KER has a Return On Invested Capital of 5.20%. This is comparable to the rest of the industry: KER outperforms 41.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for KER is in line with the industry average of 10.84%.
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 Rank | Sector 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%
1.3 Margins
KER has a Profit Margin of 6.59%. This is in the better half of the industry: KER outperforms 65.12% of its industry peers.
In the last couple of years the Profit Margin of KER has declined.
KER has a Operating Margin of 14.48%. This is in the better half of the industry: KER outperforms 67.44% of its industry peers.
In the last couple of years the Operating Margin of KER has declined.
Looking at the Gross Margin, with a value of 73.75%, KER belongs to the top of the industry, outperforming 83.72% of the companies in the same industry.
In the last couple of years the Gross Margin of KER has remained more or less at the same level.
| Industry Rank | Sector 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%
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.
Compared to 1 year ago, KER has about the same amount of shares outstanding.
KER has less shares outstanding than it did 5 years ago.
The debt/assets ratio for KER is higher compared to a year ago.
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.
The Altman-Z score of KER (1.60) is worse than 74.42% of its industry peers.
The Debt to FCF ratio of KER is 13.88, which is on the high side as it means it would take KER, 13.88 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.88, KER is doing worse than 76.74% of the companies in the same industry.
A Debt/Equity ratio of 1.11 is on the high side and indicates that KER has dependencies on debt 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 69.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.11 | ||
| Debt/FCF | 13.88 | ||
| Altman-Z | 1.6 |
ROIC/WACC0.74
WACC7.05%
2.3 Liquidity
A Current Ratio of 1.11 indicates that KER should not have too much problems paying its short term obligations.
KER has a worse Current ratio (1.11) than 81.40% 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 69.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.69 |
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
Looking at the last year, KER shows a very negative growth in Revenue. The Revenue has decreased by -12.12% in the last year.
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)-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.
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
With a Price/Earnings ratio of 18.48, KER is valued on the expensive side.
KER's Price/Earnings ratio is a bit cheaper when compared to the industry. KER is cheaper than 62.79% of the companies in the same industry.
When comparing the Price/Earnings ratio of KER to the average of the S&P500 Index (27.50), we can say KER is valued slightly cheaper.
With a Price/Forward Earnings ratio of 20.90, KER is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KER is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 36.44. KER is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.48 | ||
| Fwd PE | 20.9 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as KER.
The rest of the industry has a similar Price/Free Cash Flow ratio as KER.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.4 | ||
| EV/EBITDA | 8.86 |
4.3 Compensation for Growth
KER has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.25%
EPS Next 3Y9.21%
5. Dividend
5.1 Amount
KER has a Yearly Dividend Yield of 2.91%.
Compared to an average industry Dividend Yield of 3.33, 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 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
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
151.46% of the earnings are spent on dividend by KER. 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%
EPA:KER (7/18/2025, 7:00:00 PM)
197.34
+4.94 (+2.57%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners25.73%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap24.36B
Analysts52.67
Price Target196.54 (-0.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
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)-0.39%
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.48 | ||
| Fwd PE | 20.9 | ||
| P/S | 1.42 | ||
| P/FCF | 17.4 | ||
| P/OCF | 5.17 | ||
| P/B | 1.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.86 |
EPS(TTM)10.68
EY5.41%
EPS(NY)9.44
Fwd EY4.78%
FCF(TTM)11.34
FCFY5.75%
OCF(TTM)38.15
OCFY19.33%
SpS139.31
BVpS120.76
TBVpS-5.35
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector 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 Rank | Sector 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
WACC7.05%
ROIC/WACC0.74
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%