KINAXIS INC (KXS.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:KXS • CA49448Q1090
137.5 CAD
-4 (-2.83%)
Last: Jan 30, 2026, 07:00 PM
KXS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 66 industry peers in the Software industry. While KXS has a great health rating, its profitability is only average at the moment. KXS is growing strongly while it is still valued neutral. This is a good combination! With these ratings, KXS could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
- In the past year KXS was profitable.
- KXS had a positive operating cash flow in the past year.
- KXS had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years KXS had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of KXS (4.86%) is better than 78.79% of its industry peers.
- Looking at the Return On Equity, with a value of 7.80%, KXS is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 8.32%, KXS is in the better half of the industry, outperforming 71.21% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for KXS is significantly below the industry average of 12.50%.
- The last Return On Invested Capital (8.32%) for KXS is above the 3 year average (3.06%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 7.8% | ||
| ROIC | 8.32% |
ROA(3y)1.52%
ROA(5y)1.51%
ROE(3y)2.41%
ROE(5y)2.35%
ROIC(3y)3.06%
ROIC(5y)N/A
1.3 Margins
- KXS has a better Profit Margin (6.61%) than 74.24% of its industry peers.
- KXS's Profit Margin has declined in the last couple of years.
- The Operating Margin of KXS (10.84%) is better than 72.73% of its industry peers.
- KXS's Operating Margin has declined in the last couple of years.
- With a decent Gross Margin value of 64.23%, KXS is doing good in the industry, outperforming 66.67% of the companies in the same industry.
- KXS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.84% | ||
| PM (TTM) | 6.61% | ||
| GM | 64.23% |
OM growth 3YN/A
OM growth 5Y-26.78%
PM growth 3YN/A
PM growth 5Y-75.12%
GM growth 3Y-0.26%
GM growth 5Y-2.99%
2. Health
2.1 Basic Checks
- KXS 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 KXS has been reduced compared to 1 year ago.
- KXS has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, KXS has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 7.98 indicates that KXS is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 7.98, KXS belongs to the top of the industry, outperforming 84.85% of the companies in the same industry.
- The Debt to FCF ratio of KXS is 0.47, which is an excellent value as it means it would take KXS, only 0.47 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.47, KXS belongs to the top of the industry, outperforming 84.85% of the companies in the same industry.
- KXS has a Debt/Equity ratio of 0.10. This is a healthy value indicating a solid balance between debt and equity.
- KXS has a better Debt to Equity ratio (0.10) than 60.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.47 | ||
| Altman-Z | 7.98 |
ROIC/WACC0.81
WACC10.22%
2.3 Liquidity
- KXS has a Current Ratio of 2.24. This indicates that KXS is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.24, KXS is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
- A Quick Ratio of 2.24 indicates that KXS has no problem at all paying its short term obligations.
- With a decent Quick ratio value of 2.24, KXS is doing good in the industry, outperforming 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.24 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 36.13% over the past year.
- The Earnings Per Share has been growing by 12.01% on average over the past years. This is quite good.
- KXS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.01%.
- KXS shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.33% yearly.
EPS 1Y (TTM)36.13%
EPS 3Y61.03%
EPS 5Y12.01%
EPS Q2Q%17.72%
Revenue 1Y (TTM)12.01%
Revenue growth 3Y24.44%
Revenue growth 5Y20.33%
Sales Q2Q%10.75%
3.2 Future
- The Earnings Per Share is expected to grow by 26.93% on average over the next years. This is a very strong growth
- KXS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.74% yearly.
EPS Next Y58.31%
EPS Next 2Y33.65%
EPS Next 3Y26.93%
EPS Next 5YN/A
Revenue Next Year12.14%
Revenue Next 2Y13.31%
Revenue Next 3Y12.88%
Revenue Next 5Y17.74%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- KXS is valuated quite expensively with a Price/Earnings ratio of 31.39.
- 72.73% of the companies in the same industry are more expensive than KXS, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 28.32, KXS is valued at the same level.
- KXS is valuated rather expensively with a Price/Forward Earnings ratio of 23.92.
- Based on the Price/Forward Earnings ratio, KXS is valued a bit cheaper than the industry average as 65.15% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. KXS is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.39 | ||
| Fwd PE | 23.92 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as KXS.
- KXS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. KXS is cheaper than 68.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.25 | ||
| EV/EBITDA | 30.05 |
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 decent profitability rating of KXS may justify a higher PE ratio.
- A more expensive valuation may be justified as KXS's earnings are expected to grow with 26.93% in the coming years.
PEG (NY)0.54
PEG (5Y)2.61
EPS Next 2Y33.65%
EPS Next 3Y26.93%
5. Dividend
5.1 Amount
- KXS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
KINAXIS INC / KXS.CA FAQ
What is the ChartMill fundamental rating of KINAXIS INC (KXS.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to KXS.CA.
What is the valuation status for KXS stock?
ChartMill assigns a valuation rating of 5 / 10 to KINAXIS INC (KXS.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for KINAXIS INC?
KINAXIS INC (KXS.CA) has a profitability rating of 6 / 10.
What is the valuation of KINAXIS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for KINAXIS INC (KXS.CA) is 31.39 and the Price/Book (PB) ratio is 6.38.
What is the earnings growth outlook for KINAXIS INC?
The Earnings per Share (EPS) of KINAXIS INC (KXS.CA) is expected to grow by 58.31% in the next year.