Kewaunee Scientific Corporation
Kewaunee Scientific Corporation Fundamental Analysis
Kewaunee Scientific Corporation (KEQU) shows moderate financial fundamentals with a PE ratio of 10.35, profit margin of 4.11%, and ROE of 17.91%. The company generates $0.3B in annual revenue with weak year-over-year growth of -7.17%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 43.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze KEQU's fundamental strength across five key dimensions:
Efficiency Score
WeakKEQU struggles to generate sufficient returns from assets.
Valuation Score
ExcellentKEQU trades at attractive valuation levels.
Growth Score
ModerateKEQU shows steady but slowing expansion.
Financial Health Score
ExcellentKEQU maintains a strong and stable balance sheet.
Profitability Score
ModerateKEQU maintains healthy but balanced margins.
Key Financial Metrics
Is KEQU Expensive or Cheap?
P/E Ratio
KEQU trades at 10.35 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, KEQU's PEG of -2.23 indicates potential undervaluation.
Price to Book
The market values Kewaunee Scientific Corporation at 1.74 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.21 times EBITDA. This is generally considered low.
How Well Does KEQU Make Money?
Net Profit Margin
For every $100 in sales, Kewaunee Scientific Corporation keeps $4.11 as profit after all expenses.
Operating Margin
Core operations generate 6.89 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.91 in profit for every $100 of shareholder equity.
ROA
Kewaunee Scientific Corporation generates $6.21 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kewaunee Scientific Corporation generates limited operating cash flow of $8.69M, signaling weaker underlying cash strength.
Free Cash Flow
Kewaunee Scientific Corporation generates weak or negative free cash flow of $5.13M, restricting financial flexibility.
FCF Per Share
Each share generates $1.79 in free cash annually.
FCF Yield
KEQU converts 4.20% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.23
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.74
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.43
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.48
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.18
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How KEQU Stacks Against Its Sector Peers
| Metric | KEQU Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.35 | 24.84 | Better (Cheaper) |
| ROE | 17.91% | 1142.00% | Weak |
| Net Margin | 4.11% | 647.00% | Weak |
| Debt/Equity | 0.34 | 0.70 | Strong (Low Leverage) |
| Current Ratio | 2.48 | 3.93 | Strong Liquidity |
| ROA | 6.21% | -8853.00% (disorted) | Weak |
KEQU outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kewaunee Scientific Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
32.42%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
1068.12%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
648.31%
Industry Style: Cyclical, Growth, Discretionary
High Growth