Executive Summary
Kinaxis Inc. provides cloud-based subscription software for supply chain operations in the United States, Europe, Asia, and Canada.
Snowflake
Fundamentals
Flawless balance sheet with reasonable growth potential.
Similar Companies
Share Price & News
How has Kinaxis's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KXS's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
2.8%
KXS
3.2%
CA Software
0.5%
CA Market
1 Year Return
57.9%
KXS
30.9%
CA Software
7.9%
CA Market
Return vs Industry: KXS exceeded the Canadian Software industry which returned 30.9% over the past year.
Return vs Market: KXS exceeded the Canadian Market which returned 7.9% over the past year.
Shareholder returns
| KXS | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.8% | 3.2% | 0.5% |
| 30 Day | 25.7% | 5.6% | 3.2% |
| 90 Day | 29.5% | 1.6% | 3.9% |
| 1 Year | 57.9%57.9% | 33.2%30.9% | 11.5%7.9% |
| 3 Year | 60.0%60.0% | 71.4%67.2% | 17.1%6.6% |
| 5 Year | 460.9%460.9% | 156.1%148.1% | 27.7%9.0% |
Price Volatility Vs. Market
How volatile is Kinaxis's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Results: Kinaxis Inc. Exceeded Expectations And The Consensus Has Updated Its Estimates2 weeks ago | Simply Wall St
Shareholders Should Look Hard At Kinaxis Inc.’s (TSE:KXS) 10%Return On Capital1 month ago | Simply Wall St
Should Kinaxis Inc. (TSE:KXS) Focus On Improving This Fundamental Metric?Valuation
Is Kinaxis undervalued compared to its fair value and its price relative to the market?
110.1x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: KXS (CA$102.65) is trading above our estimate of fair value (CA$51.65)
Significantly Below Fair Value: KXS is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: KXS is poor value based on its PE Ratio (110.1x) compared to the Software industry average (22.7x).
PE vs Market: KXS is poor value based on its PE Ratio (110.1x) compared to the Canadian market (14.5x).
Price to Earnings Growth Ratio
PEG Ratio: KXS is poor value based on its PEG Ratio (5.3x)
Price to Book Ratio
PB vs Industry: KXS is overvalued based on its PB Ratio (9.5x) compared to the CA Software industry average (2x).
Next Steps
Future Growth
How is Kinaxis forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
20.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KXS's forecast earnings growth (20.8% per year) is above the savings rate (1.9%).
Earnings vs Market: KXS's earnings (20.8% per year) are forecast to grow faster than the Canadian market (9.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: KXS's revenue (15.9% per year) is forecast to grow faster than the Canadian market (4.7% per year).
High Growth Revenue: KXS's revenue (15.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KXS's Return on Equity is forecast to be low in 3 years time (11.5%).
Next Steps
Past Performance
How has Kinaxis performed over the past 5 years?
26.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KXS has a high level of non-cash earnings.
Growing Profit Margin: KXS's current net profit margins (10.6%) are lower than last year (11.6%).
Past Earnings Growth Analysis
Earnings Trend: KXS has become profitable over the past 5 years, growing earnings by 26.4% per year.
Accelerating Growth: KXS's earnings growth over the past year (8.6%) is below its 5-year average (26.4% per year).
Earnings vs Industry: KXS earnings growth over the past year (8.6%) underperformed the Software industry 19.4%.
Return on Equity
High ROE: KXS's Return on Equity (8.6%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Kinaxis's financial position?
Financial Position Analysis
Short Term Liabilities: KXS's short term assets ($251.1M) exceeds its short term liabilities ($75.2M)
Long Term Liabilities: KXS's short term assets ($251.1M) exceeds its long term liabilities (14.7M)
Debt to Equity History and Analysis
Debt Level: KXS is debt free.
Reducing Debt: KXS had no debt 5 years ago.
Debt Coverage: KXS has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: KXS has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: KXS has a low level of unsold assets or inventory.
Debt Coverage by Assets: Insufficient data to determine if KXS's debt is covered by short term assets.
Next Steps
Dividend
What is Kinaxis's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate KXS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate KXS's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if KXS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if KXS's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of KXS's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.
Next Steps
Management
What is the CEO of Kinaxis's salary, the management and board of directors tenure and is there insider trading?
3.8yrs
Average management tenure
CEO
John Sicard (56yo)
3.8yrs
Tenure
US$2,020,349
Compensation
Mr. John Ernest Sicard has been the Chief Executive Officer and President of Kinaxis Inc. since January 1, 2016. Mr. Sicard joined Kinaxis in 1994. He served as the Chief Products Officer of Kinaxis Inc. u ...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD2.02M) is about average for companies of similar size in the Canadian market ($USD2.15M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Management Age and Tenure
3.8yrs
Average Tenure
Experienced Management: KXS's management team is considered experienced (3.8 years average tenure).
Board Age and Tenure
2.9yrs
Average Tenure
58yo
Average Age
Experienced Board: KXS's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Senior Key Executive Chief Revenue Officer |
| Shares | 2,000 |
| Max Price | US$85.00 |
| Entity | Individual |
| Role | Chief Financial Officer CFO, VP of Corporate Services & Corporate Secretary |
| Shares | 3,000 |
| Max Price | US$83.71 |
| Entity | Individual |
| Role | Chief Executive Officer CEO, President & Director |
| Shares | 1,900 |
| Max Price | US$80.00 |
| Entity | Individual |
| Role | Chief Executive Officer CEO, President & Director |
| Shares | 5,000 |
| Max Price | US$80.00 |
| Entity | Individual |
| Role | Senior Key Executive Chief Revenue Officer |
| Shares | 1,500 |
| Max Price | US$73.71 |
| Entity | Individual |
| Role | Chief Financial Officer CFO, VP of Corporate Services & Corporate Secretary |
| Shares | 2,000 |
| Max Price | US$64.74 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Duncan Klett
Co-Founder
- Tenure: 35.8yrs
Richard Monkman
CFO, VP of Corporate Services & Corporate Secretary
- Tenure: 14.1yrs
- Compensation: US$2.13m
John Sicard (56yo)
CEO, President & Director
- Tenure: 3.8yrs
- Compensation: US$2.02m
Rick Wadsworth
Vice President Investor Relations
- Tenure: 0yrs
Paul Carreiro
Chief Revenue Officer
- Tenure: 2.1yrs
- Compensation: US$1.67m
Jay Muelhoefer (47yo)
Chief Marketing Officer
- Tenure: 1.7yrs
- Compensation: US$1.90m
David Kelly
Executive Vice President of Professional Services
- Tenure: 3.8yrs
- Compensation: US$827.59k
Megan Paterson
Chief Human Resources Officer
- Tenure: 4.8yrs
Andrew McDonald
Chief Product Officer
- Tenure: 1.1yrs
- Compensation: US$1.83m
Mike Mauger
Executive Vice President of Global Customer Care
- Tenure: 0.7yrs
Board Members
Andrew Gort (65yo)
Member of Strategic Advisory Council
- Tenure: 0yrs
Ian Giffen (62yo)
Independent Chairman of the Board
- Tenure: 1.4yrs
- Compensation: US$256.53k
Angel Mendez (58yo)
Independent Director
- Tenure: 3.8yrs
- Compensation: US$214.03k
Bob Courteau (63yo)
Independent Director
- Tenure: 2.9yrs
- Compensation: US$206.53k
Pamela Passman (57yo)
Independent Director
- Tenure: 1.3yrs
- Compensation: US$319.30k
John Sicard (56yo)
CEO, President & Director
- Tenure: 3.8yrs
- Compensation: US$2.02m
Jill Denham (58yo)
Independent Director
- Tenure: 3.3yrs
- Compensation: US$214.03k
Kelly Thomas (57yo)
Independent Director
- Tenure: 1.3yrs
- Compensation: US$319.30k
Company Information
Kinaxis Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Kinaxis Inc.
- Ticker: KXS
- Exchange: TSX
- Founded: 1984
- Industry: Application Software
- Sector: Software
- Market Cap: CA$2.692b
- Shares outstanding: 26.23m
- Website: https://www.kinaxis.com
Number of Employees
Location
- Kinaxis Inc.
- 700 Silver Seven Road
- Ottawa
- Ontario
- K2V 1C3
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| KXS | TSX (The Toronto Stock Exchange) | Yes | Common Shares | CA | CAD | Jun 2014 |
| KXSC.F | OTCPK (Pink Sheets LLC) | Yes | Common Shares | US | USD | Jun 2014 |
| 9KX | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jun 2014 |
Biography
Kinaxis Inc. provides cloud-based subscription software for supply chain operations in the United States, Europe, Asia, and Canada. The company offers RapidResponse, which provide supply chain planning and ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/19 00:44 |
| End of Day Share Price | 2019/11/18 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.