TSX:KXS

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Executive Summary

Kinaxis Inc. provides cloud-based subscription software for supply chain operations in the United States, Europe, Asia, and Canada. More Details


Snowflake Analysis

Flawless balance sheet with high 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 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.0%

KXS

-0.2%

CA Software

-1.2%

CA Market


1 Year Return

155.8%

KXS

35.6%

CA Software

-4.5%

CA Market

Return vs Industry: KXS exceeded the Canadian Software industry which returned 33.8% over the past year.

Return vs Market: KXS exceeded the Canadian Market which returned -3.8% over the past year.


Shareholder returns

KXSIndustryMarket
7 Day3.0%-0.2%-1.2%
30 Day16.1%8.0%-0.03%
90 Day7.8%3.4%0.9%
1 Year155.8%155.8%36.0%35.6%-1.0%-4.5%
3 Year213.6%213.6%67.2%63.7%6.4%-4.0%
5 Year412.1%412.1%149.7%140.9%34.5%13.8%

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

Valuation

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

156.47x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KXS (CA$210.47) is trading above our estimate of fair value (CA$74.82)

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 (156.5x) compared to the CA Software industry average (43.4x).

PE vs Market: KXS is poor value based on its PE Ratio (156.5x) compared to the Canadian market (16.3x).


Price to Earnings Growth Ratio

PEG Ratio: KXS is poor value based on its PEG Ratio (4.4x)


Price to Book Ratio

PB vs Industry: KXS is overvalued based on its PB Ratio (16.3x) compared to the CA Software industry average (4x).


Next Steps

Future Growth

How is Kinaxis forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

35.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KXS's forecast earnings growth (35.7% per year) is above the savings rate (1.7%).

Earnings vs Market: KXS's earnings (35.7% per year) are forecast to grow faster than the Canadian market (22.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: KXS's revenue (20.5% per year) is forecast to grow faster than the Canadian market (5.8% per year).

High Growth Revenue: KXS's revenue (20.5% per year) is forecast to grow faster 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 (10.1%).


Next Steps

Past Performance

How has Kinaxis performed over the past 5 years?

15.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KXS has high quality earnings.

Growing Profit Margin: KXS's current net profit margins (12.4%) are higher than last year (10.2%).


Past Earnings Growth Analysis

Earnings Trend: KXS's earnings have grown by 15.6% per year over the past 5 years.

Accelerating Growth: KXS's earnings growth over the past year (62.6%) exceeds its 5-year average (15.6% per year).

Earnings vs Industry: KXS earnings growth over the past year (62.6%) exceeded the Software industry 41.3%.


Return on Equity

High ROE: KXS's Return on Equity (10.2%) is considered low.


Next Steps

Financial Health

How is Kinaxis's financial position?


Financial Position Analysis

Short Term Liabilities: KXS's short term assets ($324.1M) exceed its short term liabilities ($112.0M).

Long Term Liabilities: KXS's short term assets ($324.1M) exceed its long term liabilities ($18.6M).


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


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate KXS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate KXS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent 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

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

3.9yrs

Average management tenure


CEO

John Sicard (57 yo)

4.75yrs

Tenure

US$2,976,807

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 ($USD2.98M) is about average for companies of similar size in the Canadian market ($USD3.01M).

Compensation vs Earnings: John's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
John Sicard
CEO, President & Director4.75yrsUS$2.98m0.83%
$ 47.2m
Richard Monkman
CFO & VP of Corporate Services15yrsUS$2.21m0.097%
$ 5.5m
Jay Muelhoefer
Chief Marketing Officer2.58yrsUS$1.45m0.00010%
$ 5.7k
Paul Carreiro
Chief Commercial Officer3yrsUS$1.77m0.0074%
$ 422.1k
Anne Robinson
Chief Strategy Officer1.75yrsUS$2.47m0.0047%
$ 267.2k
Duncan Klett
Co-Founder36.75yrsno datano data
Rick Wadsworth
Vice President Investor Relationsno datano datano data
Jamie Hollingworth
Chief Legal Officer & Corporate Secretaryno datano datano data
Megan Paterson
Chief Human Resources Officer5.75yrsno data0.0041%
$ 231.5k
David Kelly
Executive Vice President of Professional Services4.75yrsUS$827.59kno data
Michael Mauger
Chief Customer Success Officer1.58yrsno datano data
Andrew McDonald
Chief Product Officer2yrsUS$1.83mno data

3.9yrs

Average Tenure

Experienced Management: KXS's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Sicard
CEO, President & Director4.75yrsUS$2.98m0.83%
$ 47.2m
Andrew Gort
Member of Strategic Advisory Councilno datano datano data
John Giffen
Independent Chairman of the Board2.33yrsUS$315.00k0.076%
$ 4.3m
Elizabeth Rafael
Independent Director0.67yrno datano data
Angel Mendez
Independent Director4.75yrsUS$230.00kno data
Robert Courteau
Independent Director3.83yrsUS$215.00kno data
Pamela Passman
Independent Director2.17yrsUS$215.00kno data
Gillian Denham
Independent Director4.17yrsUS$230.00kno data
Kelly Thomas
Independent Director2.17yrsUS$215.00kno data

3.1yrs

Average Tenure

59yo

Average Age

Experienced Board: KXS's board of directors are considered experienced (3.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: KXS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3%.


Top Shareholders

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$5.673b
  • Shares outstanding: 26.95m
  • Website: https://www.kinaxis.com

Number of Employees


Location

  • Kinaxis Inc.
  • 700 Silver Seven Road
  • Ottawa
  • Ontario
  • K2V 1C3
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KXSTSX (The Toronto Stock Exchange)YesCommon SharesCACADJun 2014
KXSC.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJun 2014
9KXDB (Deutsche Boerse AG)YesCommon SharesDEEURJun 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

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/20 00:53
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
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.