ENXTBR:KIN

Stock Analysis Report

Executive Summary

Kinepolis Group NV operates cinema theatres in Belgium, France, Spain, the Netherlands, Luxembourg, Canada, Poland, and Switzerland.


Snowflake Analysis

Established dividend payer and good value.


Similar Companies

Share Price & News

How has Kinepolis Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KIN's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.3%

KIN

2.9%

BE Entertainment

2.3%

BE Market


1 Year Return

-39.3%

KIN

-19.4%

BE Entertainment

-28.9%

BE Market

Return vs Industry: KIN underperformed the Belgian Entertainment industry which returned -18.4% over the past year.

Return vs Market: KIN underperformed the Belgian Market which returned -28.3% over the past year.


Shareholder returns

KINIndustryMarket
7 Day-3.3%2.9%2.3%
30 Day-34.4%-14.3%-17.3%
90 Day-45.9%-20.8%-29.9%
1 Year-38.5%-39.3%-17.7%-19.4%-27.5%-28.9%
3 Year-31.1%-33.5%16.8%-1.5%-33.0%-37.4%
5 Year-3.9%-10.2%15.0%-10.7%-35.3%-42.7%

Price Volatility Vs. Market

How volatile is Kinepolis Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kinepolis Group undervalued compared to its fair value and its price relative to the market?

33.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KIN (€32) is trading below our estimate of fair value (€48.26)

Significantly Below Fair Value: KIN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KIN is good value based on its PE Ratio (15.8x) compared to the Entertainment industry average (27.8x).

PE vs Market: KIN is poor value based on its PE Ratio (15.8x) compared to the Belgian market (13.2x).


Price to Earnings Growth Ratio

PEG Ratio: KIN is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: KIN is overvalued based on its PB Ratio (4.1x) compared to the XE Entertainment industry average (2.3x).


Next Steps

Future Growth

How is Kinepolis Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

16.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KIN's forecast earnings growth (16.5% per year) is above the savings rate (0.7%).

Earnings vs Market: KIN's earnings (16.5% per year) are forecast to grow faster than the Belgian market (5.9% per year).

High Growth Earnings: KIN's earnings are forecast to grow, but not significantly.

Revenue vs Market: KIN's revenue (6.2% per year) is forecast to grow faster than the Belgian market (1.3% per year).

High Growth Revenue: KIN's revenue (6.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KIN's Return on Equity is forecast to be high in 3 years time (21.3%)


Next Steps

Past Performance

How has Kinepolis Group performed over the past 5 years?

10.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KIN has high quality earnings.

Growing Profit Margin: KIN's current net profit margins (9.9%) are lower than last year (10%).


Past Earnings Growth Analysis

Earnings Trend: KIN's earnings have grown by 10.3% per year over the past 5 years.

Accelerating Growth: KIN's earnings growth over the past year (14.9%) exceeds its 5-year average (10.3% per year).

Earnings vs Industry: KIN earnings growth over the past year (14.9%) exceeded the Entertainment industry 13.5%.


Return on Equity

High ROE: Whilst KIN's Return on Equity (25.75%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Kinepolis Group's financial position?


Financial Position Analysis

Short Term Liabilities: KIN's short term assets (€134.8M) do not cover its short term liabilities (€179.1M).

Long Term Liabilities: KIN's short term assets (€134.8M) do not cover its long term liabilities (€897.7M).


Debt to Equity History and Analysis

Debt Level: KIN's debt to equity ratio (231.9%) is considered high.

Reducing Debt: KIN's debt to equity ratio has increased from 116% to 231.9% over the past 5 years.

Debt Coverage: KIN's debt is well covered by operating cash flow (30.8%).

Interest Coverage: KIN's interest payments on its debt are well covered by EBIT (4.3x coverage).


Balance Sheet

Inventory Level: KIN has a high level of physical assets or inventory.

Debt Coverage by Assets: KIN's debt is not covered by short term assets (assets are 0.3x debt).


Next Steps

Dividend

What is Kinepolis Group's current dividend yield, its reliability and sustainability?

3.13%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KIN's dividend (3.13%) is higher than the bottom 25% of dividend payers in the Belgian market (2.73%).

High Dividend: KIN's dividend (3.13%) is low compared to the top 25% of dividend payers in the Belgian market (6.47%).


Stability and Growth of Payments

Stable Dividend: KIN's dividends per share have been stable in the past 10 years.

Growing Dividend: KIN's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.5%), KIN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KIN's dividends in 3 years are forecast to be covered by earnings (51.2% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.1yrs

Average management tenure


CEO

Eddy Duquenne (57yo)

12.25s

Tenure

€1,134,242

Compensation

Mr. Eddy Duquenne has been the Chief Executive Officer of Kinepolis Group NV since January 1, 2008. Mr. Duquenne gained substantial expertise in the general management of holiday villages. Mr. Duquenne ser ...


CEO Compensation Analysis

Compensation vs Market: Eddy's total compensation ($USD1.22M) is above average for companies of similar size in the Belgian market ($USD554.77K).

Compensation vs Earnings: Eddy's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Eddy Duquenne
CEO & Director12.25yrs€1.13mno data
Nicolas De Clercq
Chief Financial Officer8.08yrsno datano data
Tine Duyck
Executive Assistant CFO & IR Coordinatorno datano datano data
Nick Vanderplancke
International Human Resources Directorno datano datano data
Eric Berghe
Managing Director of Kinepolis Real Estate6.42yrsno datano data

8.1yrs

Average Tenure

Experienced Management: KIN's management team is seasoned and experienced (8.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Eddy Duquenne
CEO & Director12.25yrs€1.13mno data
Geert Vanderstappen
Director12.08yrsno datano data
Joost Bert
Chairman1.92yrs€352.67k1.83% 15.8m
Ignace Van Doorselaere
Independent Director2.92yrsno datano data
Philippe Ghekiere
Vice Chairman1.92yrsno datano data
Marion Debruyne
Director10.92yrsno datano data
Marleen Vaesen
Independent Director1.92yrsno datano data
Sonja Rottiers
Independent Director1.92yrsno datano data

2.4yrs

Average Tenure

57yo

Average Age

Experienced Board: KIN's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kinepolis Group NV's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kinepolis Group NV
  • Ticker: KIN
  • Exchange: ENXTBR
  • Founded:
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: €859.931m
  • Shares outstanding: 26.87m
  • Website: https://www.kinepolis.com

Number of Employees


Location

  • Kinepolis Group NV
  • Eeuwfeestlaan 20
  • Brussels
  • Brussels
  • 1020
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KINENXTBR (Euronext Brussels)YesRegistered SharesBEEURApr 1998
0QV7LSE (London Stock Exchange)YesRegistered SharesGBEURApr 1998
KINBBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEURApr 1998
KINNENXTBR (Euronext Brussels)NPVBEEURJul 2014

Biography

Kinepolis Group NV operates cinema theatres in Belgium, France, Spain, the Netherlands, Luxembourg, Canada, Poland, and Switzerland. The company sells cinema tickets, as well as events and cinema vouchers to businesses; and beverages and snacks in the cinemas, as well as offers the self-service shop and other in-theatre sales concepts. It is also involved in international and domestic movie distribution, event organization, screen advertising, and property management activities; and the provision of technological services to third parties. The company has a portfolio of 98 cinema complexes, including 45 own complexes comprising 886 screens and approximately 175,000 seats. Kinepolis Group NV is based in Brussels, Belgium. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/03 21:36
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.