KENNEDY-WILSON HOLDINGS INC (KW) Stock Fundamental Analysis
NYSE:KW - New York Stock Exchange, Inc. - US4893981070 - Common Stock
Taking everything into account, KW scores 2 out of 10 in our fundamental rating. KW was compared to 65 industry peers in the Real Estate Management & Development industry. KW has a medium profitability rating, but doesn't score so well on its financial health evaluation. KW has a expensive valuation and it also scores bad on growth. Finally KW also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year KW has reported negative net income.
In the past year KW had a positive cash flow from operations.
Of the past 5 years KW 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: KW reported negative operating cash flow in multiple years.
1.2 Ratios
KW has a Return On Assets (-4.80%) which is comparable to the rest of the industry.
KW has a Return On Equity (-22.15%) which is in line with its industry peers.
The Return On Invested Capital of KW (0.79%) is better than 60.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.8% | ||
| ROE | -22.15% | ||
| ROIC | 0.79% |
ROA(3y)0.11%
ROA(5y)0.93%
ROE(3y)0.48%
ROE(5y)4.09%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
KW's Operating Margin of 13.63% is amongst the best of the industry. KW outperforms 80.33% of its industry peers.
In the last couple of years the Operating Margin of KW has grown nicely.
KW's Gross Margin of 68.39% is amongst the best of the industry. KW outperforms 85.25% of its industry peers.
KW's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.63% | ||
| PM (TTM) | N/A | ||
| GM | 68.39% |
OM growth 3YN/A
OM growth 5Y60.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-12.67%
GM growth 5Y-6.63%
2. Health
2.1 Basic Checks
KW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, KW has more shares outstanding
Compared to 5 years ago, KW has less shares outstanding
The debt/assets ratio for KW is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.12, we must say that KW is in the distress zone and has some risk of bankruptcy.
KW's Altman-Z score of 0.12 is on the low side compared to the rest of the industry. KW is outperformed by 68.85% of its industry peers.
KW has a Debt/Equity ratio of 3.24. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.24, KW is doing worse than 83.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.24 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.12 |
ROIC/WACC0.13
WACC5.83%
2.3 Liquidity
KW has a Current Ratio of 0.77. This is a bad value and indicates that KW is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.77, KW is not doing good in the industry: 75.41% of the companies in the same industry are doing better.
A Quick Ratio of 0.77 indicates that KW may have some problems paying its short term obligations.
KW has a Quick ratio of 0.77. This is in the lower half of the industry: KW underperforms 70.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
KW shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -396.15%.
KW shows a decrease in Revenue. In the last year, the revenue decreased by -3.77%.
Measured over the past years, KW shows a decrease in Revenue. The Revenue has been decreasing by -6.17% on average per year.
EPS 1Y (TTM)-396.15%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%15.15%
Revenue 1Y (TTM)-3.77%
Revenue growth 3Y7.41%
Revenue growth 5Y-6.17%
Sales Q2Q%-9.7%
3.2 Future
Based on estimates for the next years, KW will show a very strong growth in Earnings Per Share. The EPS will grow by 24.58% on average per year.
The Revenue is expected to decrease by -9.49% on average over the next years.
EPS Next Y45.57%
EPS Next 2Y24.58%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-16.32%
Revenue Next 2Y-9.49%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
KW reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year KW is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KW indicates a somewhat cheap valuation: KW is cheaper than 65.57% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 27.23 |
4.3 Compensation for Growth
A more expensive valuation may be justified as KW's earnings are expected to grow with 24.58% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y24.58%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.37%, KW is a good candidate for dividend investing.
KW's Dividend Yield is rather good when compared to the industry average which is at 4.56. KW pays more dividend than 95.08% of the companies in the same industry.
KW's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
5.2 History
The dividend of KW is nicely growing with an annual growth rate of 10.46%!
KW has paid a dividend for at least 10 years, which is a reliable track record.
KW has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.46%
Div Incr Years0
Div Non Decr Years12
5.3 Sustainability
The earnings of KW are negative and hence is the payout ratio. KW will probably not be able to sustain this dividend level.
The dividend of KW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-45.24%
EPS Next 2Y24.58%
EPS Next 3YN/A
KENNEDY-WILSON HOLDINGS INC
NYSE:KW (1/21/2025, 8:11:05 PM)
After market: 9.22 0 (0%)9.22
+0.02 (+0.22%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners92.13%
Inst Owner Change0.06%
Ins Owners13.59%
Ins Owner Change0.1%
Market Cap1.27B
Analysts40
Price Target10.1 (9.54%)
Short Float %2.99%
Short Ratio6.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
Yearly Dividend1.24
Dividend Growth(5Y)10.46%
DP-45.24%
Div Incr Years0
Div Non Decr Years12
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.76%
Min EPS beat(2)-2.58%
Max EPS beat(2)24.1%
EPS beat(4)2
Avg EPS beat(4)-77.58%
Min EPS beat(4)-457.47%
Max EPS beat(4)125.62%
EPS beat(8)4
Avg EPS beat(8)-116.68%
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)2
Avg Revenue beat(2)27%
Min Revenue beat(2)26.69%
Max Revenue beat(2)27.31%
Revenue beat(4)4
Avg Revenue beat(4)20.7%
Min Revenue beat(4)10.27%
Max Revenue beat(4)27.31%
Revenue beat(8)7
Avg Revenue beat(8)11.78%
Revenue beat(12)11
Avg Revenue beat(12)10.16%
Revenue beat(16)13
Avg Revenue beat(16)7.76%
PT rev (1m)0%
PT rev (3m)17.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.93%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.09%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 2.35 | ||
| P/FCF | N/A | ||
| P/OCF | 16.43 | ||
| P/B | 0.79 | ||
| P/tB | 0.8 | ||
| EV/EBITDA | 27.23 |
EPS(TTM)-2.58
EYN/A
EPS(NY)-1.1
Fwd EYN/A
FCF(TTM)-1.95
FCFYN/A
OCF(TTM)0.56
OCFY6.09%
SpS3.92
BVpS11.74
TBVpS11.56
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.8% | ||
| ROE | -22.15% | ||
| ROCE | 1.07% | ||
| ROIC | 0.79% | ||
| ROICexc | 0.83% | ||
| ROICexgc | 0.85% | ||
| OM | 13.63% | ||
| PM (TTM) | N/A | ||
| GM | 68.39% | ||
| FCFM | N/A |
ROA(3y)0.11%
ROA(5y)0.93%
ROE(3y)0.48%
ROE(5y)4.09%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y47.8%
ROICexc growth 3YN/A
ROICexc growth 5Y48.27%
OM growth 3YN/A
OM growth 5Y60.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-12.67%
GM growth 5Y-6.63%
F-Score5
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.24 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 23.25 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.27 | ||
| Cash Conversion | 34.25% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 0.12 |
F-Score5
WACC5.83%
ROIC/WACC0.13
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-396.15%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%15.15%
EPS Next Y45.57%
EPS Next 2Y24.58%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3.77%
Revenue growth 3Y7.41%
Revenue growth 5Y-6.17%
Sales Q2Q%-9.7%
Revenue Next Year-16.32%
Revenue Next 2Y-9.49%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y41.15%
EBIT growth 3YN/A
EBIT growth 5Y50.21%
EBIT Next Year55.15%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-638.23%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y55.13%
OCF growth 3YN/A
OCF growth 5Y-12.08%