KERING (KER.PA) Stock Fundamental Analysis
Europe - EPA:KER - FR0000121485 - Common Stock
320.6 EUR
-0.75 (-0.23%)
We assign a fundamental rating of 3 out of 10 to KER. KER was compared to 47 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. 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.
KER had a positive operating cash flow in the past year.
In the past 5 years KER has always been profitable.
Each year in the past 5 years KER had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.72%, KER is doing worse than 61.70% of the companies in the same industry.
KER has a Return On Equity of 4.94%. This is in the lower half of the industry: KER underperforms 63.83% of its industry peers.
The Return On Invested Capital of KER (3.65%) is worse than 70.21% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KER is in line with the industry average of 11.25%.
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 comparable to the rest of the industry.
In the last couple of years the Profit Margin of KER has declined.
KER's Operating Margin of 11.07% is fine compared to the rest of the industry. KER outperforms 61.70% of its industry peers.
In the last couple of years the Operating Margin of KER has declined.
KER has a Gross Margin of 73.03%. This is in the better half of the industry: KER outperforms 78.72% of its industry peers.
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 | 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.
Compared to 1 year ago, KER has about the same amount of shares outstanding.
The number of shares outstanding for KER has been reduced compared to 5 years ago.
The debt/assets ratio for KER is higher compared to a year ago.
2.2 Solvency
KER has an Altman-Z score of 1.94. This is not the best score and indicates that KER is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of KER (1.94) is worse than 68.09% of its industry peers.
The Debt to FCF ratio of KER is 13.86, which is on the high side as it means it would take KER, 13.86 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.86, KER is doing worse than 65.96% of the companies in the same industry.
A Debt/Equity ratio of 1.12 is on the high side and indicates that KER has dependencies on debt financing.
KER has a Debt to Equity ratio of 1.12. This is in the lower half of the industry: KER underperforms 72.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 13.86 | ||
| Altman-Z | 1.94 |
ROIC/WACC0.53
WACC6.88%
2.3 Liquidity
KER has a Current Ratio of 1.32. This is a normal value and indicates that KER is financially healthy and should not expect problems in meeting its short term obligations.
KER's Current ratio of 1.32 is on the low side compared to the rest of the industry. KER is outperformed by 63.83% of its industry peers.
KER has a Quick Ratio of 1.32. This is a bad value and indicates that KER is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.87, KER perfoms like the industry average, outperforming 57.45% 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 KER have decreased strongly by -59.67% in the last year.
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%.
KER shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.60% yearly.
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
Based on estimates for the next years, KER will show a very strong growth in Earnings Per Share. The EPS will grow by 21.59% on average per year.
Based on estimates for the next years, KER will show a small growth in Revenue. The Revenue will grow by 2.60% on average per year.
EPS Next Y-44.19%
EPS Next 2Y-10.58%
EPS Next 3Y3.1%
EPS Next 5Y21.59%
Revenue Next Year-12.69%
Revenue Next 2Y-5.03%
Revenue Next 3Y-1.07%
Revenue Next 5Y2.6%
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
Based on the Price/Earnings ratio of 45.09, the valuation of KER can be described as expensive.
KER's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of KER to the average of the S&P500 Index (25.89), we can say KER is valued expensively.
KER is valuated quite expensively with a Price/Forward Earnings ratio of 37.54.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KER is on the same level as its industry peers.
KER is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.09 | ||
| Fwd PE | 37.54 |
4.2 Price Multiples
70.21% of the companies in the same industry are cheaper than KER, based on the Enterprise Value to EBITDA ratio.
KER's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.59 | ||
| EV/EBITDA | 13.83 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.58%
EPS Next 3Y3.1%
5. Dividend
5.1 Amount
KER has a Yearly Dividend Yield of 2.06%.
KER's Dividend Yield is comparable with the industry average which is at 3.20.
KER's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.06% |
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
5.3 Sustainability
100.96% of the earnings are spent on dividend by KER. This is not a sustainable payout ratio.
The dividend of KER is growing, but earnings are growing more, so the dividend growth is sustainable.
DP100.96%
EPS Next 2Y-10.58%
EPS Next 3Y3.1%
EPA:KER (11/14/2025, 7:00:00 PM)
320.6
-0.75 (-0.23%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners25.75%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap39.57B
Revenue(TTM)15.76B
Net Income(TTM)729.00M
Analysts55.33
Price Target283.38 (-11.61%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.06% |
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)27.05%
PT rev (3m)46.45%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.04%
EPS NY rev (3m)-36.87%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.72%
Revenue NY rev (3m)-1.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.09 | ||
| Fwd PE | 37.54 | ||
| P/S | 2.51 | ||
| P/FCF | 28.59 | ||
| P/OCF | 10.6 | ||
| P/B | 2.68 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.83 |
EPS(TTM)7.11
EY2.22%
EPS(NY)8.54
Fwd EY2.66%
FCF(TTM)11.21
FCFY3.5%
OCF(TTM)30.25
OCFY9.43%
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 | 1.94 |
F-Score4
WACC6.88%
ROIC/WACC0.53
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-44.19%
EPS Next 2Y-10.58%
EPS Next 3Y3.1%
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-12.69%
Revenue Next 2Y-5.03%
Revenue Next 3Y-1.07%
Revenue Next 5Y2.6%
EBIT growth 1Y-51.13%
EBIT growth 3Y-20.08%
EBIT growth 5Y-12.06%
EBIT Next Year44.92%
EBIT Next 3Y20.68%
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%.