Karora Resources Inc (KRR.CA) Stock Fundamental Analysis

Canada • Toronto Stock Exchange • TSX:KRR • CA48575L2066

6.7 CAD
+0.16 (+2.45%)
Last: Aug 2, 2024, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

7

Taking everything into account, KRR scores 7 out of 10 in our fundamental rating. KRR was compared to 812 industry peers in the Metals & Mining industry. KRR scores excellent points on both the profitability and health parts. This is a solid base for a good stock. KRR is evaluated to be cheap and growing strongly. This does not happen too often! These ratings could make KRR a good candidate for value and growth and quality investing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • KRR had positive earnings in the past year.
  • In the past year KRR had a positive cash flow from operations.
  • KRR had positive earnings in 4 of the past 5 years.
  • In the past 5 years KRR always reported a positive cash flow from operatings.
KRR.CA Yearly Net Income VS EBIT VS OCF VS FCFKRR.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 50M -50M 100M

1.2 Ratios

  • The Return On Assets of KRR (2.29%) is better than 89.24% of its industry peers.
  • With an excellent Return On Equity value of 3.78%, KRR belongs to the best of the industry, outperforming 89.86% of the companies in the same industry.
  • KRR has a better Return On Invested Capital (5.99%) than 94.49% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for KRR is significantly below the industry average of 12.05%.
  • The 3 year average ROIC (5.90%) for KRR is below the current ROIC(5.99%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 2.29%
ROE 3.78%
ROIC 5.99%
ROA(3y)3.18%
ROA(5y)6.17%
ROE(3y)5.4%
ROE(5y)10.25%
ROIC(3y)5.9%
ROIC(5y)6.85%
KRR.CA Yearly ROA, ROE, ROICKRR.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 0 -2K -4K -6K -8K

1.3 Margins

  • The Profit Margin of KRR (3.22%) is better than 92.12% of its industry peers.
  • KRR's Profit Margin has declined in the last couple of years.
  • KRR has a Operating Margin of 14.25%. This is amongst the best in the industry. KRR outperforms 92.62% of its industry peers.
  • In the last couple of years the Operating Margin of KRR has grown nicely.
  • Looking at the Gross Margin, with a value of 40.26%, KRR belongs to the top of the industry, outperforming 94.87% of the companies in the same industry.
  • KRR's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 14.25%
PM (TTM) 3.22%
GM 40.26%
OM growth 3Y-21.9%
OM growth 5Y4.75%
PM growth 3Y-61.26%
PM growth 5YN/A
GM growth 3Y-5.96%
GM growth 5Y7.74%
KRR.CA Yearly Profit, Operating, Gross MarginsKRR.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 0 -50 -100

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • KRR 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 KRR has been increased compared to 1 year ago.
  • Compared to 1 year ago, KRR has a worse debt to assets ratio.
KRR.CA Yearly Shares OutstandingKRR.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M 150M
KRR.CA Yearly Total Debt VS Total AssetsKRR.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M

2.2 Solvency

  • An Altman-Z score of 4.00 indicates that KRR is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 4.00, KRR is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
  • KRR has a debt to FCF ratio of 1.63. This is a very positive value and a sign of high solvency as it would only need 1.63 years to pay back of all of its debts.
  • KRR has a better Debt to FCF ratio (1.63) than 94.87% of its industry peers.
  • KRR has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
  • KRR's Debt to Equity ratio of 0.15 is on the low side compared to the rest of the industry. KRR is outperformed by 68.96% of its industry peers.
  • Even though the debt/equity ratio score it not favorable for KRR, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 1.63
Altman-Z 4
ROIC/WACC0.76
WACC7.85%
KRR.CA Yearly LT Debt VS Equity VS FCFKRR.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 100M 200M 300M

2.3 Liquidity

  • A Current Ratio of 1.79 indicates that KRR should not have too much problems paying its short term obligations.
  • KRR's Current ratio of 1.79 is in line compared to the rest of the industry. KRR outperforms 46.81% of its industry peers.
  • A Quick Ratio of 1.33 indicates that KRR should not have too much problems paying its short term obligations.
  • KRR has a Quick ratio (1.33) which is comparable to the rest of the industry.
  • The current and quick ratio evaluation for KRR is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.79
Quick Ratio 1.33
KRR.CA Yearly Current Assets VS Current LiabilitesKRR.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 20M 40M 60M 80M 100M

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 66.67% over the past year.
  • KRR shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -56.65% yearly.
  • The Revenue has grown by 24.81% in the past year. This is a very strong growth!
  • Measured over the past years, KRR shows a very strong growth in Revenue. The Revenue has been growing by 26.45% on average per year.
EPS 1Y (TTM)66.67%
EPS 3Y-56.65%
EPS 5YN/A
EPS Q2Q%133.33%
Revenue 1Y (TTM)24.81%
Revenue growth 3Y20.3%
Revenue growth 5Y26.45%
Sales Q2Q%19.35%

3.2 Future

  • Based on estimates for the next years, KRR will show a very strong growth in Earnings Per Share. The EPS will grow by 60.52% on average per year.
  • The Revenue is expected to grow by 19.87% on average over the next years. This is quite good.
EPS Next Y193.38%
EPS Next 2Y102.98%
EPS Next 3Y60.52%
EPS Next 5YN/A
Revenue Next Year38.22%
Revenue Next 2Y24.68%
Revenue Next 3Y19.87%
Revenue Next 5YN/A

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.
KRR.CA Yearly Revenue VS EstimatesKRR.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M
KRR.CA Yearly EPS VS EstimatesKRR.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2019 2020 2021 2022 2023 2024 2025 2026 0 0.2 -0.2 0.4 0.6 0.8

More info and screens

Find the best growth stocksShow best growing peers

9

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 26.80, the valuation of KRR can be described as expensive.
  • 89.99% of the companies in the same industry are more expensive than KRR, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 28.06, KRR is valued at the same level.
  • A Price/Forward Earnings ratio of 7.74 indicates a rather cheap valuation of KRR.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of KRR indicates a rather cheap valuation: KRR is cheaper than 93.49% of the companies listed in the same industry.
  • KRR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.86.
Industry RankSector Rank
PE 26.8
Fwd PE 7.74
KRR.CA Price Earnings VS Forward Price EarningsKRR.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KRR indicates a rather cheap valuation: KRR is cheaper than 91.24% of the companies listed in the same industry.
  • KRR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. KRR is cheaper than 93.37% of the companies in the same industry.
Industry RankSector Rank
P/FCF 30.36
EV/EBITDA 8.95
KRR.CA Per share dataKRR.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0.5 1 1.5 2

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.
  • The excellent profitability rating of KRR may justify a higher PE ratio.
  • KRR's earnings are expected to grow with 60.52% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.14
PEG (5Y)N/A
EPS Next 2Y102.98%
EPS Next 3Y60.52%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • KRR does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

Karora Resources Inc

TSX:KRR (8/2/2024, 7:00:00 PM)

6.7

+0.16 (+2.45%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)05-13
Earnings (Next)08-12
Inst Owners17.39%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.20B
Revenue(TTM)435.05M
Net Income(TTM)14.00M
Analysts75.56
Price Target6.36 (-5.07%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)94.48%
Min EPS beat(2)-57.57%
Max EPS beat(2)246.54%
EPS beat(4)2
Avg EPS beat(4)51.36%
Min EPS beat(4)-57.57%
Max EPS beat(4)246.54%
EPS beat(8)2
Avg EPS beat(8)5.83%
EPS beat(12)2
Avg EPS beat(12)-5.08%
EPS beat(16)5
Avg EPS beat(16)7.49%
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%
PT rev (3m)1.06%
EPS NQ rev (1m)400%
EPS NQ rev (3m)0%
EPS NY rev (1m)22%
EPS NY rev (3m)101.99%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)17.47%
Valuation
Industry RankSector Rank
PE 26.8
Fwd PE 7.74
P/S 2.76
P/FCF 30.36
P/OCF 7.76
P/B 3.23
P/tB 3.23
EV/EBITDA 8.95
EPS(TTM)0.25
EY3.73%
EPS(NY)0.87
Fwd EY12.91%
FCF(TTM)0.22
FCFY3.29%
OCF(TTM)0.86
OCFY12.89%
SpS2.43
BVpS2.07
TBVpS2.07
PEG (NY)0.14
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 2.29%
ROE 3.78%
ROCE 11.55%
ROIC 5.99%
ROICexc 7.19%
ROICexgc 7.19%
OM 14.25%
PM (TTM) 3.22%
GM 40.26%
FCFM 9.07%
ROA(3y)3.18%
ROA(5y)6.17%
ROE(3y)5.4%
ROE(5y)10.25%
ROIC(3y)5.9%
ROIC(5y)6.85%
ROICexc(3y)7.5%
ROICexc(5y)9.01%
ROICexgc(3y)7.5%
ROICexgc(5y)9.01%
ROCE(3y)11.36%
ROCE(5y)13.19%
ROICexgc growth 3Y-26.23%
ROICexgc growth 5Y-24.41%
ROICexc growth 3Y-26.23%
ROICexc growth 5Y-24.41%
OM growth 3Y-21.9%
OM growth 5Y4.75%
PM growth 3Y-61.26%
PM growth 5YN/A
GM growth 3Y-5.96%
GM growth 5Y7.74%
F-Score7
Asset Turnover0.71
Health
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 1.63
Debt/EBITDA 0.41
Cap/Depr 166.97%
Cap/Sales 26.43%
Interest Coverage 14.17
Cash Conversion 118.04%
Profit Quality 282.01%
Current Ratio 1.79
Quick Ratio 1.33
Altman-Z 4
F-Score7
WACC7.85%
ROIC/WACC0.76
Cap/Depr(3y)256.17%
Cap/Depr(5y)245.72%
Cap/Sales(3y)37.86%
Cap/Sales(5y)30.56%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)66.67%
EPS 3Y-56.65%
EPS 5YN/A
EPS Q2Q%133.33%
EPS Next Y193.38%
EPS Next 2Y102.98%
EPS Next 3Y60.52%
EPS Next 5YN/A
Revenue 1Y (TTM)24.81%
Revenue growth 3Y20.3%
Revenue growth 5Y26.45%
Sales Q2Q%19.35%
Revenue Next Year38.22%
Revenue Next 2Y24.68%
Revenue Next 3Y19.87%
Revenue Next 5YN/A
EBIT growth 1Y58.24%
EBIT growth 3Y-6.04%
EBIT growth 5Y32.45%
EBIT Next Year524.63%
EBIT Next 3Y106.32%
EBIT Next 5YN/A
FCF growth 1Y2845.97%
FCF growth 3Y-12.98%
FCF growth 5YN/A
OCF growth 1Y54.53%
OCF growth 3Y13.34%
OCF growth 5YN/A

Karora Resources Inc / KRR.CA FAQ

What is the fundamental rating for KRR stock?

ChartMill assigns a fundamental rating of 7 / 10 to KRR.CA.


Can you provide the valuation status for Karora Resources Inc?

ChartMill assigns a valuation rating of 9 / 10 to Karora Resources Inc (KRR.CA). This can be considered as Undervalued.


Can you provide the profitability details for Karora Resources Inc?

Karora Resources Inc (KRR.CA) has a profitability rating of 8 / 10.


Can you provide the financial health for KRR stock?

The financial health rating of Karora Resources Inc (KRR.CA) is 7 / 10.