KONE Oyj
KONE Oyj Fundamental Analysis
KONE Oyj (KC4.DE) shows moderate financial fundamentals with a PE ratio of 28.06, profit margin of 8.67%, and ROE of 39.95%. The company generates $11.2B in annual revenue with weak year-over-year growth of 1.33%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze KC4.DE's fundamental strength across five key dimensions:
Efficiency Score
ExcellentKC4.DE demonstrates superior asset utilization.
Valuation Score
WeakKC4.DE trades at a premium to fair value.
Growth Score
WeakKC4.DE faces weak or negative growth trends.
Financial Health Score
ModerateKC4.DE shows balanced financial health with some risks.
Profitability Score
ModerateKC4.DE maintains healthy but balanced margins.
Key Financial Metrics
Is KC4.DE Expensive or Cheap?
P/E Ratio
KC4.DE trades at 28.06 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, KC4.DE's PEG of 17.40 indicates potential overvaluation.
Price to Book
The market values KONE Oyj at 12.19 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 16.05 times EBITDA. This signals the market has high growth expectations.
How Well Does KC4.DE Make Money?
Net Profit Margin
For every $100 in sales, KONE Oyj keeps $8.67 as profit after all expenses.
Operating Margin
Core operations generate 11.36 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $39.95 in profit for every $100 of shareholder equity.
ROA
KONE Oyj generates $11.40 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
KONE Oyj produces operating cash flow of $1.33B, showing steady but balanced cash generation.
Free Cash Flow
KONE Oyj produces free cash flow of $606.63M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.17 in free cash annually.
FCF Yield
KC4.DE converts 2.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
28.06
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
17.40
vs 25 benchmark
P/B Ratio
Price to book value ratio
12.19
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.43
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.37
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.98
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.40
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.40
vs 25 benchmark
How KC4.DE Stacks Against Its Sector Peers
| Metric | KC4.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 28.06 | 25.84 | Neutral |
| ROE | 39.95% | 1279.00% | Weak |
| Net Margin | 8.67% | -43714.00% (disorted) | Weak |
| Debt/Equity | 0.37 | 0.80 | Strong (Low Leverage) |
| Current Ratio | 0.98 | 10.62 | Weak Liquidity |
| ROA | 11.40% | -1537441.00% (disorted) | Strong |
KC4.DE outperforms its industry in 2 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews KONE Oyj's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
11.07%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
2.04%
Industry Style: Cyclical, Value, Infrastructure
GrowingFCF CAGR
-1.71%
Industry Style: Cyclical, Value, Infrastructure
Declining