Kontron AG
Kontron AG Fundamental Analysis
Kontron AG (KTN.DE) shows strong financial fundamentals with a PE ratio of 9.35, profit margin of 8.78%, and ROE of 20.45%. The company generates $1.7B in annual revenue with strong year-over-year growth of 37.43%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 68.5/100 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 KTN.DE's fundamental strength across five key dimensions:
Efficiency Score
WeakKTN.DE struggles to generate sufficient returns from assets.
Valuation Score
ExcellentKTN.DE trades at attractive valuation levels.
Growth Score
ExcellentKTN.DE delivers strong and consistent growth momentum.
Financial Health Score
ExcellentKTN.DE maintains a strong and stable balance sheet.
Profitability Score
ModerateKTN.DE maintains healthy but balanced margins.
Key Financial Metrics
Is KTN.DE Expensive or Cheap?
P/E Ratio
KTN.DE trades at 9.35 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, KTN.DE's PEG of 0.16 indicates potential undervaluation.
Price to Book
The market values Kontron AG at 1.78 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.64 times EBITDA. This is generally considered low.
How Well Does KTN.DE Make Money?
Net Profit Margin
For every $100 in sales, Kontron AG keeps $8.78 as profit after all expenses.
Operating Margin
Core operations generate 10.14 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $20.45 in profit for every $100 of shareholder equity.
ROA
Kontron AG generates $7.65 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kontron AG generates limited operating cash flow of $166.30M, signaling weaker underlying cash strength.
Free Cash Flow
Kontron AG produces free cash flow of $80.14M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.23 in free cash annually.
FCF Yield
KTN.DE converts 5.66% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.16
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.78
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.85
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.39
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.20
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How KTN.DE Stacks Against Its Sector Peers
| Metric | KTN.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.35 | 35.01 | Better (Cheaper) |
| ROE | 20.45% | 1039.00% | Weak |
| Net Margin | 8.78% | 5896831141.00% | Weak |
| Debt/Equity | 0.69 | 0.58 | Neutral |
| Current Ratio | 1.39 | 4.98 | Neutral |
| ROA | 7.65% | -293653.00% (disorted) | Weak |
KTN.DE outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kontron AG's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
60.52%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
97.56%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
26.98%
Industry Style: Growth, Innovation, High Beta
High Growth