KORN FERRY (KFY) Fundamental Analysis & Valuation
NYSE:KFY • US5006432000
Current stock price
66.52 USD
+0.08 (+0.12%)
At close:
66.52 USD
0 (0%)
After Hours:
This KFY fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. KFY Profitability Analysis
1.1 Basic Checks
- KFY had positive earnings in the past year.
- KFY had a positive operating cash flow in the past year.
- In the past 5 years KFY has always been profitable.
- KFY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- KFY's Return On Assets of 6.72% is fine compared to the rest of the industry. KFY outperforms 68.60% of its industry peers.
- KFY has a Return On Equity of 13.25%. This is in the better half of the industry: KFY outperforms 65.12% of its industry peers.
- KFY has a better Return On Invested Capital (9.45%) than 65.12% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for KFY is below the industry average of 12.34%.
- The last Return On Invested Capital (9.45%) for KFY is above the 3 year average (9.27%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.72% | ||
| ROE | 13.25% | ||
| ROIC | 9.45% |
ROA(3y)5.51%
ROA(5y)5.88%
ROE(3y)11.68%
ROE(5y)12.77%
ROIC(3y)9.27%
ROIC(5y)9.69%
1.3 Margins
- Looking at the Profit Margin, with a value of 9.18%, KFY is in the better half of the industry, outperforming 75.58% of the companies in the same industry.
- KFY's Profit Margin has improved in the last couple of years.
- KFY has a Operating Margin of 13.31%. This is in the better half of the industry: KFY outperforms 75.58% of its industry peers.
- KFY's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 88.16%, KFY belongs to the best of the industry, outperforming 96.51% of the companies in the same industry.
- KFY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.31% | ||
| PM (TTM) | 9.18% | ||
| GM | 88.16% |
OM growth 3Y-10.91%
OM growth 5Y1.62%
PM growth 3Y-10.01%
PM growth 5Y10.87%
GM growth 3Y-2.33%
GM growth 5Y-1.06%
2. KFY Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so KFY is still creating some value.
- KFY has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for KFY has been reduced compared to 5 years ago.
- KFY has a better debt/assets ratio than last year.
2.2 Solvency
- KFY has an Altman-Z score of 3.00. This indicates that KFY is financially healthy and has little risk of bankruptcy at the moment.
- KFY has a better Altman-Z score (3.00) than 61.63% of its industry peers.
- KFY has a debt to FCF ratio of 1.38. This is a very positive value and a sign of high solvency as it would only need 1.38 years to pay back of all of its debts.
- KFY's Debt to FCF ratio of 1.38 is fine compared to the rest of the industry. KFY outperforms 72.09% of its industry peers.
- A Debt/Equity ratio of 0.20 indicates that KFY is not too dependend on debt financing.
- KFY's Debt to Equity ratio of 0.20 is in line compared to the rest of the industry. KFY outperforms 54.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.38 | ||
| Altman-Z | 3 |
ROIC/WACC1.1
WACC8.58%
2.3 Liquidity
- KFY has a Current Ratio of 2.01. This indicates that KFY is financially healthy and has no problem in meeting its short term obligations.
- KFY has a Current ratio of 2.01. This is in the better half of the industry: KFY outperforms 69.77% of its industry peers.
- KFY has a Quick Ratio of 2.01. This indicates that KFY is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 2.01, KFY is in the better half of the industry, outperforming 73.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 |
3. KFY Growth Analysis
3.1 Past
- KFY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.26%, which is quite good.
- The Earnings Per Share has been growing by 10.91% on average over the past years. This is quite good.
- The Revenue has been growing slightly by 5.44% in the past year.
- KFY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.91% yearly.
EPS 1Y (TTM)8.26%
EPS 3Y-7.74%
EPS 5Y10.91%
EPS Q2Q%7.56%
Revenue 1Y (TTM)5.44%
Revenue growth 3Y1.46%
Revenue growth 5Y6.91%
Sales Q2Q%7.28%
3.2 Future
- The Earnings Per Share is expected to grow by 9.56% on average over the next years. This is quite good.
- Based on estimates for the next years, KFY will show a small growth in Revenue. The Revenue will grow by 4.98% on average per year.
EPS Next Y9.5%
EPS Next 2Y8.98%
EPS Next 3Y9.56%
EPS Next 5YN/A
Revenue Next Year6.73%
Revenue Next 2Y4.98%
Revenue Next 3Y4.98%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. KFY Valuation Analysis
4.1 Price/Earnings Ratio
- KFY is valuated correctly with a Price/Earnings ratio of 12.69.
- 73.26% of the companies in the same industry are more expensive than KFY, based on the Price/Earnings ratio.
- KFY's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.51.
- Based on the Price/Forward Earnings ratio of 11.43, the valuation of KFY can be described as reasonable.
- Based on the Price/Forward Earnings ratio, KFY is valued a bit cheaper than the industry average as 75.58% of the companies are valued more expensively.
- KFY's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 11.43 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, KFY is valued cheaply inside the industry as 93.02% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, KFY is valued a bit cheaper than the industry average as 74.42% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.99 | ||
| EV/EBITDA | 5.87 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- KFY has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.34
PEG (5Y)1.16
EPS Next 2Y8.98%
EPS Next 3Y9.56%
5. KFY Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 3.31%, KFY has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.33, KFY pays a better dividend. On top of this KFY pays more dividend than 89.53% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.80, KFY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
5.2 History
- On average, the dividend of KFY grows each year by 31.50%, which is quite nice.
- KFY has been paying a dividend for at least 10 years, so it has a reliable track record.
- KFY has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)31.5%
Div Incr Years5
Div Non Decr Years10
5.3 Sustainability
- 38.23% of the earnings are spent on dividend by KFY. This is a low number and sustainable payout ratio.
- The dividend of KFY is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.23%
EPS Next 2Y8.98%
EPS Next 3Y9.56%
KFY Fundamentals: All Metrics, Ratios and Statistics
66.52
+0.08 (+0.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Industry Strength13.66
Industry Growth34.78
Earnings (Last)03-09 2026-03-09/bmo
Earnings (Next)06-16 2026-06-16/bmo
Inst Owners100.67%
Inst Owner Change-0.51%
Ins Owners0.7%
Ins Owner Change-0.44%
Market Cap3.45B
Revenue(TTM)2.89B
Net Income(TTM)265.31M
Analysts82.22
Price Target77.01 (15.77%)
Short Float %3.02%
Short Ratio2.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
Yearly Dividend1.62
Dividend Growth(5Y)31.5%
DP38.23%
Div Incr Years5
Div Non Decr Years10
Ex-Date03-27 2026-03-27 (0.55)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.45%
Min EPS beat(2)0.37%
Max EPS beat(2)2.53%
EPS beat(4)4
Avg EPS beat(4)2.89%
Min EPS beat(4)0.37%
Max EPS beat(4)4.94%
EPS beat(8)7
Avg EPS beat(8)3.79%
EPS beat(12)10
Avg EPS beat(12)3.68%
EPS beat(16)13
Avg EPS beat(16)3.99%
Revenue beat(2)2
Avg Revenue beat(2)1.7%
Min Revenue beat(2)1.22%
Max Revenue beat(2)2.18%
Revenue beat(4)4
Avg Revenue beat(4)1.85%
Min Revenue beat(4)1.22%
Max Revenue beat(4)2.19%
Revenue beat(8)6
Avg Revenue beat(8)0.97%
Revenue beat(12)10
Avg Revenue beat(12)1.13%
Revenue beat(16)13
Avg Revenue beat(16)1.55%
PT rev (1m)1.68%
PT rev (3m)-5.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.58%
EPS NY rev (1m)1.19%
EPS NY rev (3m)1.38%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.45%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 11.43 | ||
| P/S | 1.19 | ||
| P/FCF | 11.99 | ||
| P/OCF | 9.25 | ||
| P/B | 1.72 | ||
| P/tB | 3.46 | ||
| EV/EBITDA | 5.87 |
EPS(TTM)5.24
EY7.88%
EPS(NY)5.82
Fwd EY8.75%
FCF(TTM)5.55
FCFY8.34%
OCF(TTM)7.19
OCFY10.82%
SpS55.7
BVpS38.59
TBVpS19.24
PEG (NY)1.34
PEG (5Y)1.16
Graham Number67.4521 (1.4%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.72% | ||
| ROE | 13.25% | ||
| ROCE | 12.57% | ||
| ROIC | 9.45% | ||
| ROICexc | 13.88% | ||
| ROICexgc | 26.79% | ||
| OM | 13.31% | ||
| PM (TTM) | 9.18% | ||
| GM | 88.16% | ||
| FCFM | 9.96% |
ROA(3y)5.51%
ROA(5y)5.88%
ROE(3y)11.68%
ROE(5y)12.77%
ROIC(3y)9.27%
ROIC(5y)9.69%
ROICexc(3y)14.32%
ROICexc(5y)15.61%
ROICexgc(3y)33.58%
ROICexgc(5y)35.79%
ROCE(3y)12.34%
ROCE(5y)12.9%
ROICexgc growth 3Y-17.99%
ROICexgc growth 5Y3.52%
ROICexc growth 3Y-16.94%
ROICexc growth 5Y2.44%
OM growth 3Y-10.91%
OM growth 5Y1.62%
PM growth 3Y-10.01%
PM growth 5Y10.87%
GM growth 3Y-2.33%
GM growth 5Y-1.06%
F-Score7
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.38 | ||
| Debt/EBITDA | 0.83 | ||
| Cap/Depr | 87.31% | ||
| Cap/Sales | 2.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.36% | ||
| Profit Quality | 108.53% | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 3 |
F-Score7
WACC8.58%
ROIC/WACC1.1
Cap/Depr(3y)83.88%
Cap/Depr(5y)75.95%
Cap/Sales(3y)2.23%
Cap/Sales(5y)2.05%
Profit Quality(3y)131.86%
Profit Quality(5y)146.92%
High Growth Momentum
Growth
EPS 1Y (TTM)8.26%
EPS 3Y-7.74%
EPS 5Y10.91%
EPS Q2Q%7.56%
EPS Next Y9.5%
EPS Next 2Y8.98%
EPS Next 3Y9.56%
EPS Next 5YN/A
Revenue 1Y (TTM)5.44%
Revenue growth 3Y1.46%
Revenue growth 5Y6.91%
Sales Q2Q%7.28%
Revenue Next Year6.73%
Revenue Next 2Y4.98%
Revenue Next 3Y4.98%
Revenue Next 5YN/A
EBIT growth 1Y14.45%
EBIT growth 3Y-9.61%
EBIT growth 5Y8.64%
EBIT Next Year44.11%
EBIT Next 3Y17.14%
EBIT Next 5YN/A
FCF growth 1Y34.86%
FCF growth 3Y-12.61%
FCF growth 5Y9.16%
OCF growth 1Y36.65%
OCF growth 3Y-10.11%
OCF growth 5Y9.05%
KORN FERRY / KFY Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for KORN FERRY?
ChartMill assigns a fundamental rating of 7 / 10 to KFY.
What is the valuation status for KFY stock?
ChartMill assigns a valuation rating of 6 / 10 to KORN FERRY (KFY). This can be considered as Fairly Valued.
How profitable is KORN FERRY (KFY) stock?
KORN FERRY (KFY) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for KFY stock?
The Price/Earnings (PE) ratio for KORN FERRY (KFY) is 12.69 and the Price/Book (PB) ratio is 1.72.
What is the expected EPS growth for KORN FERRY (KFY) stock?
The Earnings per Share (EPS) of KORN FERRY (KFY) is expected to grow by 9.5% in the next year.