KINETIK HOLDINGS INC (KNTK) Stock Fundamental Analysis
NYSE:KNTK - New York Stock Exchange, Inc. - US02215L2097 - Common Stock - Currency: USD
Taking everything into account, KNTK scores 4 out of 10 in our fundamental rating. KNTK was compared to 211 industry peers in the Oil, Gas & Consumable Fuels industry. KNTK has a medium profitability rating, but doesn't score so well on its financial health evaluation. KNTK shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year KNTK was profitable.
KNTK had a positive operating cash flow in the past year.
In multiple years KNTK reported negative net income over the last 5 years.
KNTK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KNTK has a Return On Assets (4.54%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 2.99%, KNTK is doing worse than 72.55% of the companies in the same industry.
KNTK had an Average Return On Invested Capital over the past 3 years of 2.53%. This is significantly below the industry average of 28.75%.
The 3 year average ROIC (2.53%) for KNTK is below the current ROIC(2.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.54% | ||
| ROE | N/A | ||
| ROIC | 2.99% |
ROA(3y)1.47%
ROA(5y)-4.01%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.53%
ROIC(5y)2.24%
1.3 Margins
With a decent Profit Margin value of 17.42%, KNTK is doing good in the industry, outperforming 61.76% of the companies in the same industry.
In the last couple of years the Profit Margin of KNTK has grown nicely.
With a Operating Margin value of 14.00%, KNTK perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
KNTK's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 56.84%, KNTK is in the better half of the industry, outperforming 63.24% of the companies in the same industry.
In the last couple of years the Gross Margin of KNTK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14% | ||
| PM (TTM) | 17.42% | ||
| GM | 56.84% |
OM growth 3Y-30.63%
OM growth 5YN/A
PM growth 3Y125.56%
PM growth 5YN/A
GM growth 3Y-7.75%
GM growth 5Y14.03%
2. Health
2.1 Basic Checks
KNTK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
KNTK has more shares outstanding than it did 1 year ago.
The number of shares outstanding for KNTK has been increased compared to 5 years ago.
KNTK has a better debt/assets ratio than last year.
2.2 Solvency
KNTK has an Altman-Z score of 0.66. This is a bad value and indicates that KNTK is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of KNTK (0.66) is worse than 66.18% of its industry peers.
KNTK has a debt to FCF ratio of 7.79. This is a slightly negative value and a sign of low solvency as KNTK would need 7.79 years to pay back of all of its debts.
KNTK has a Debt to FCF ratio (7.79) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.79 | ||
| Altman-Z | 0.66 |
ROIC/WACC0.35
WACC8.43%
2.3 Liquidity
KNTK has a Current Ratio of 0.72. This is a bad value and indicates that KNTK is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.72, KNTK is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
KNTK has a Quick Ratio of 0.72. This is a bad value and indicates that KNTK is not financially healthy enough and could expect problems in meeting its short term obligations.
KNTK has a Quick ratio of 0.72. This is in the lower half of the industry: KNTK underperforms 68.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 234.57% over the past year.
Measured over the past years, KNTK shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -22.20% on average per year.
The Revenue has grown by 48.58% in the past year. This is a very strong growth!
The Revenue has been growing by 74.89% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)234.57%
EPS 3Y-22.2%
EPS 5YN/A
EPS Q2Q%66.67%
Revenue 1Y (TTM)48.58%
Revenue growth 3Y103.81%
Revenue growth 5Y74.89%
Sales Q2Q%20%
3.2 Future
KNTK is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -11.25% yearly.
The Revenue is expected to grow by 16.40% on average over the next years. This is quite good.
EPS Next Y-30.99%
EPS Next 2Y-6.62%
EPS Next 3Y3.88%
EPS Next 5Y-11.25%
Revenue Next Year20.6%
Revenue Next 2Y26.97%
Revenue Next 3Y27.49%
Revenue Next 5Y16.4%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.78, the valuation of KNTK can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of KNTK indicates a slightly more expensive valuation: KNTK is more expensive than 64.71% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.63, KNTK is valued a bit cheaper.
A Price/Forward Earnings ratio of 29.95 indicates a quite expensive valuation of KNTK.
Based on the Price/Forward Earnings ratio, KNTK is valued a bit more expensive than the industry average as 67.65% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of KNTK to the average of the S&P500 Index (22.68), we can say KNTK is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.78 | ||
| Fwd PE | 29.95 |
4.2 Price Multiples
KNTK's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. KNTK is more expensive than 74.51% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KNTK is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.13 | ||
| EV/EBITDA | 22.46 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-6.62%
EPS Next 3Y3.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.25%, KNTK is a good candidate for dividend investing.
KNTK's Dividend Yield is a higher than the industry average which is at 6.67.
KNTK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.25% |
5.2 History
KNTK has been paying a dividend for over 5 years, so it has already some track record.
KNTK has decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
KNTK pays out 95.21% of its income as dividend. This is not a sustainable payout ratio.
DP95.21%
EPS Next 2Y-6.62%
EPS Next 3Y3.88%
59.03
-0.41 (-0.69%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners67.31%
Inst Owner ChangeN/A
Ins Owners8.28%
Ins Owner Change0.51%
Market Cap9.30B
Analysts74.74
Price Target63.02 (6.76%)
Short Float %7.92%
Short Ratio4.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.25% |
Yearly Dividend0.56
Dividend Growth(5Y)N/A
DP95.21%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.99%
Min EPS beat(2)-23.13%
Max EPS beat(2)25.12%
EPS beat(4)2
Avg EPS beat(4)45.79%
Min EPS beat(4)-72.85%
Max EPS beat(4)254.02%
EPS beat(8)2
Avg EPS beat(8)-9.53%
EPS beat(12)4
Avg EPS beat(12)16.44%
EPS beat(16)5
Avg EPS beat(16)-33.14%
Revenue beat(2)2
Avg Revenue beat(2)10.89%
Min Revenue beat(2)4.45%
Max Revenue beat(2)17.33%
Revenue beat(4)3
Avg Revenue beat(4)8.1%
Min Revenue beat(4)-9.96%
Max Revenue beat(4)20.6%
Revenue beat(8)7
Avg Revenue beat(8)7.73%
Revenue beat(12)11
Avg Revenue beat(12)20.92%
Revenue beat(16)14
Avg Revenue beat(16)16.79%
PT rev (1m)12.29%
PT rev (3m)19.52%
EPS NQ rev (1m)-15.37%
EPS NQ rev (3m)-16.97%
EPS NY rev (1m)-2.29%
EPS NY rev (3m)4.74%
Revenue NQ rev (1m)0.59%
Revenue NQ rev (3m)0.59%
Revenue NY rev (1m)-0.71%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.78 | ||
| Fwd PE | 29.95 | ||
| P/S | 5.2 | ||
| P/FCF | 21.13 | ||
| P/OCF | 13.83 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.46 |
EPS(TTM)2.71
EY4.59%
EPS(NY)1.97
Fwd EY3.34%
FCF(TTM)2.79
FCFY4.73%
OCF(TTM)4.27
OCFY7.23%
SpS11.35
BVpS-10.92
TBVpS-16.53
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.54% | ||
| ROE | N/A | ||
| ROCE | 3.87% | ||
| ROIC | 2.99% | ||
| ROICexc | 3% | ||
| ROICexgc | 3.46% | ||
| OM | 14% | ||
| PM (TTM) | 17.42% | ||
| GM | 56.84% | ||
| FCFM | 24.62% |
ROA(3y)1.47%
ROA(5y)-4.01%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.53%
ROIC(5y)2.24%
ROICexc(3y)2.62%
ROICexc(5y)2.31%
ROICexgc(3y)2.81%
ROICexgc(5y)2.42%
ROCE(3y)3.21%
ROCE(5y)2.84%
ROICexcg growth 3Y-4.39%
ROICexcg growth 5YN/A
ROICexc growth 3Y-7.54%
ROICexc growth 5YN/A
OM growth 3Y-30.63%
OM growth 5YN/A
PM growth 3Y125.56%
PM growth 5YN/A
GM growth 3Y-7.75%
GM growth 5Y14.03%
F-Score6
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.79 | ||
| Debt/EBITDA | 6.13 | ||
| Cap/Depr | 75.16% | ||
| Cap/Sales | 12.99% | ||
| Interest Coverage | 1.2 | ||
| Cash Conversion | 120.21% | ||
| Profit Quality | 141.35% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 0.66 |
F-Score6
WACC8.43%
ROIC/WACC0.35
Cap/Depr(3y)76.94%
Cap/Depr(5y)249.06%
Cap/Sales(3y)15.79%
Cap/Sales(5y)63.99%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)234.57%
EPS 3Y-22.2%
EPS 5YN/A
EPS Q2Q%66.67%
EPS Next Y-30.99%
EPS Next 2Y-6.62%
EPS Next 3Y3.88%
EPS Next 5Y-11.25%
Revenue 1Y (TTM)48.58%
Revenue growth 3Y103.81%
Revenue growth 5Y74.89%
Sales Q2Q%20%
Revenue Next Year20.6%
Revenue Next 2Y26.97%
Revenue Next 3Y27.49%
Revenue Next 5Y16.4%
EBIT growth 1Y53.27%
EBIT growth 3Y41.4%
EBIT growth 5YN/A
EBIT Next Year280.16%
EBIT Next 3Y69.9%
EBIT Next 5Y43.62%
FCF growth 1Y33.59%
FCF growth 3Y23.82%
FCF growth 5YN/A
OCF growth 1Y33.25%
OCF growth 3Y52.65%
OCF growth 5Y284%