KODIAK GAS SERVICES INC (KGS) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:KGS • US50012A1088
41.54 USD
-0.47 (-1.12%)
At close: Feb 2, 2026
41.54 USD
0 (0%)
After Hours: 2/2/2026, 4:04:26 PM
KGS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 61 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of KGS while its profitability can be described as average. KGS is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
- KGS had positive earnings in the past year.
- In the past year KGS had a positive cash flow from operations.
- KGS had positive earnings in 4 of the past 5 years.
- KGS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 1.68%, KGS perfoms like the industry average, outperforming 40.98% of the companies in the same industry.
- KGS has a Return On Equity (5.88%) which is in line with its industry peers.
- KGS's Return On Invested Capital of 6.09% is fine compared to the rest of the industry. KGS outperforms 60.66% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for KGS is significantly below the industry average of 12.88%.
- The 3 year average ROIC (4.60%) for KGS is below the current ROIC(6.09%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.68% | ||
| ROE | 5.88% | ||
| ROIC | 6.09% |
ROA(3y)1.69%
ROA(5y)2.2%
ROE(3y)17.27%
ROE(5y)14.08%
ROIC(3y)4.6%
ROIC(5y)5.21%
1.3 Margins
- KGS has a Profit Margin of 5.72%. This is comparable to the rest of the industry: KGS outperforms 57.38% of its industry peers.
- KGS's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 30.92%, KGS belongs to the best of the industry, outperforming 95.08% of the companies in the same industry.
- KGS's Operating Margin has declined in the last couple of years.
- With an excellent Gross Margin value of 62.78%, KGS belongs to the best of the industry, outperforming 95.08% of the companies in the same industry.
- In the last couple of years the Gross Margin of KGS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.92% | ||
| PM (TTM) | 5.72% | ||
| GM | 62.78% |
OM growth 3Y-8.68%
OM growth 5YN/A
PM growth 3Y-47.56%
PM growth 5YN/A
GM growth 3Y-2.55%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- KGS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for KGS has been increased compared to 1 year ago.
- The debt/assets ratio for KGS is higher compared to a year ago.
2.2 Solvency
- KGS has an Altman-Z score of 1.30. This is a bad value and indicates that KGS is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.30, KGS is doing worse than 65.57% of the companies in the same industry.
- The Debt to FCF ratio of KGS is 13.95, which is on the high side as it means it would take KGS, 13.95 years of fcf income to pay off all of its debts.
- KGS has a Debt to FCF ratio (13.95) which is comparable to the rest of the industry.
- A Debt/Equity ratio of 2.09 is on the high side and indicates that KGS has dependencies on debt financing.
- KGS has a worse Debt to Equity ratio (2.09) than 85.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.09 | ||
| Debt/FCF | 13.95 | ||
| Altman-Z | 1.3 |
ROIC/WACC0.77
WACC7.93%
2.3 Liquidity
- KGS has a Current Ratio of 0.98. This is a bad value and indicates that KGS is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.98, KGS is doing worse than 90.16% of the companies in the same industry.
- A Quick Ratio of 0.69 indicates that KGS may have some problems paying its short term obligations.
- The Quick ratio of KGS (0.69) is worse than 90.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
- KGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 200.00%, which is quite impressive.
- Measured over the past years, KGS shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -37.59% on average per year.
- KGS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.43%.
- Measured over the past years, KGS shows a very strong growth in Revenue. The Revenue has been growing by 24.11% on average per year.
EPS 1Y (TTM)200%
EPS 3Y-37.59%
EPS 5YN/A
EPS Q2Q%620%
Revenue 1Y (TTM)19.43%
Revenue growth 3Y24.11%
Revenue growth 5YN/A
Sales Q2Q%-0.59%
3.2 Future
- The Earnings Per Share is expected to grow by 47.55% on average over the next years. This is a very strong growth
- KGS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.20% yearly.
EPS Next Y66.9%
EPS Next 2Y70.81%
EPS Next 3Y54.31%
EPS Next 5Y47.55%
Revenue Next Year11.56%
Revenue Next 2Y9.27%
Revenue Next 3Y8.44%
Revenue Next 5Y10.2%
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.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 27.15, KGS can be considered very expensive at the moment.
- KGS's Price/Earnings ratio is in line with the industry average.
- KGS's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.32.
- With a Price/Forward Earnings ratio of 17.80, KGS is valued on the expensive side.
- 62.30% of the companies in the same industry are more expensive than KGS, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of KGS to the average of the S&P500 Index (25.57), we can say KGS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.15 | ||
| Fwd PE | 17.8 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, KGS is valued a bit more expensive than 63.93% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of KGS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.21 | ||
| EV/EBITDA | 9.33 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- KGS's earnings are expected to grow with 54.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.41
PEG (5Y)N/A
EPS Next 2Y70.81%
EPS Next 3Y54.31%
5. Dividend
5.1 Amount
- KGS has a Yearly Dividend Yield of 4.58%, which is a nice return.
- Compared to an average industry Dividend Yield of 1.12, KGS pays a better dividend. On top of this KGS pays more dividend than 95.08% of the companies listed in the same industry.
- KGS's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
5.2 History
- KGS has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 49.51% of the earnings are spent on dividend by KGS. This is a bit on the high side, but may be sustainable.
DP49.51%
EPS Next 2Y70.81%
EPS Next 3Y54.31%
KODIAK GAS SERVICES INC / KGS FAQ
What is the fundamental rating for KGS stock?
ChartMill assigns a fundamental rating of 4 / 10 to KGS.
Can you provide the valuation status for KODIAK GAS SERVICES INC?
ChartMill assigns a valuation rating of 4 / 10 to KODIAK GAS SERVICES INC (KGS). This can be considered as Fairly Valued.
How profitable is KODIAK GAS SERVICES INC (KGS) stock?
KODIAK GAS SERVICES INC (KGS) has a profitability rating of 5 / 10.
What is the valuation of KODIAK GAS SERVICES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for KODIAK GAS SERVICES INC (KGS) is 27.15 and the Price/Book (PB) ratio is 2.88.
How financially healthy is KODIAK GAS SERVICES INC?
The financial health rating of KODIAK GAS SERVICES INC (KGS) is 0 / 10.