Koninklijke KPN N.V.
Koninklijke KPN N.V. Fundamental Analysis
Koninklijke KPN N.V. (KKPNY) shows moderate financial fundamentals with a PE ratio of 21.81, profit margin of 15.21%, and ROE of 25.68%. The company generates $5.4B in annual revenue with moderate year-over-year growth of 3.02%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 38.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze KKPNY's fundamental strength across five key dimensions:
Efficiency Score
WeakKKPNY struggles to generate sufficient returns from assets.
Valuation Score
ModerateKKPNY shows balanced valuation metrics.
Growth Score
WeakKKPNY faces weak or negative growth trends.
Financial Health Score
WeakKKPNY carries high financial risk with limited liquidity.
Profitability Score
ExcellentKKPNY achieves industry-leading margins.
Key Financial Metrics
Is KKPNY Expensive or Cheap?
P/E Ratio
KKPNY trades at 21.81 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, KKPNY's PEG of 5.14 indicates potential overvaluation.
Price to Book
The market values Koninklijke KPN N.V. at 5.71 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 4.04 times EBITDA. This is generally considered low.
How Well Does KKPNY Make Money?
Net Profit Margin
For every $100 in sales, Koninklijke KPN N.V. keeps $15.21 as profit after all expenses.
Operating Margin
Core operations generate 36.87 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $25.68 in profit for every $100 of shareholder equity.
ROA
Koninklijke KPN N.V. generates $7.16 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Koninklijke KPN N.V. generates strong operating cash flow of $1.71B, reflecting robust business health.
Free Cash Flow
Koninklijke KPN N.V. generates strong free cash flow of $931.44M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.24 in free cash annually.
FCF Yield
KKPNY converts 5.68% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
21.81
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
5.14
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.71
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.05
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.06
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.72
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.26
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.20
vs 25 benchmark
How KKPNY Stacks Against Its Sector Peers
| Metric | KKPNY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 21.81 | 21.28 | Neutral |
| ROE | 25.68% | 1116.00% | Weak |
| Net Margin | 15.21% | -55475.00% (disorted) | Strong |
| Debt/Equity | 2.06 | 1.38 | Weak (High Leverage) |
| Current Ratio | 0.72 | 1.61 | Weak Liquidity |
| ROA | 7.16% | -204822.00% (disorted) | Weak |
KKPNY outperforms its industry in 1 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Koninklijke KPN N.V.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
9.70%
Industry Style: Growth, Technology, Streaming
GrowingEPS CAGR
45.84%
Industry Style: Growth, Technology, Streaming
High GrowthFCF CAGR
21.51%
Industry Style: Growth, Technology, Streaming
High Growth