Kaiser Reef Limited
Kaiser Reef Limited Fundamental Analysis
Kaiser Reef Limited (KAU.AX) shows weak financial fundamentals with a PE ratio of 83.75, profit margin of 1.82%, and ROE of 2.67%. The company generates $0.1B in annual revenue with strong year-over-year growth of 46.74%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 49.3/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze KAU.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakKAU.AX struggles to generate sufficient returns from assets.
Valuation Score
ModerateKAU.AX shows balanced valuation metrics.
Growth Score
ModerateKAU.AX shows steady but slowing expansion.
Financial Health Score
ExcellentKAU.AX maintains a strong and stable balance sheet.
Profitability Score
ModerateKAU.AX maintains healthy but balanced margins.
Key Financial Metrics
Is KAU.AX Expensive or Cheap?
P/E Ratio
KAU.AX trades at 83.75 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, KAU.AX's PEG of 0.61 indicates potential undervaluation.
Price to Book
The market values Kaiser Reef Limited at 2.10 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.02 times EBITDA. This is generally considered low.
How Well Does KAU.AX Make Money?
Net Profit Margin
For every $100 in sales, Kaiser Reef Limited keeps $1.82 as profit after all expenses.
Operating Margin
Core operations generate 15.15 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.67 in profit for every $100 of shareholder equity.
ROA
Kaiser Reef Limited generates $1.43 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kaiser Reef Limited generates strong operating cash flow of $36.03M, reflecting robust business health.
Free Cash Flow
Kaiser Reef Limited generates strong free cash flow of $17.87M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.03 in free cash annually.
FCF Yield
KAU.AX converts 10.53% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
83.75
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.61
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.55
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.18
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.41
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.17
vs 25 benchmark
How KAU.AX Stacks Against Its Sector Peers
| Metric | KAU.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 83.75 | 24.08 | Worse (Expensive) |
| ROE | 2.67% | 921.00% | Weak |
| Net Margin | 1.82% | -113338.00% (disorted) | Weak |
| Debt/Equity | 0.18 | 0.53 | Strong (Low Leverage) |
| Current Ratio | 1.41 | 5.09 | Neutral |
| ROA | 1.43% | -9816.00% (disorted) | Weak |
KAU.AX outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kaiser Reef Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
0.00%
Industry Style: Cyclical, Commodity, Value
DecliningEPS CAGR
-4.08%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
129.10%
Industry Style: Cyclical, Commodity, Value
High Growth