Should You Investigate Kuehne + Nagel International AG (VTX:KNIN) At CHF199?

Today we're going to take a look at the well-established Kuehne + Nagel International AG (VTX:KNIN). The company's stock saw significant share price movement during recent months on the SWX, rising to highs of CHF255 and falling to the lows of CHF199. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Kuehne + Nagel International's current trading price of CHF199 reflective of the actual value of the large-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at Kuehne + Nagel International’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

Check out the opportunities and risks within the XX Shipping industry.

What's The Opportunity In Kuehne + Nagel International?

Great news for investors – Kuehne + Nagel International is still trading at a fairly cheap price. My valuation model shows that the intrinsic value for the stock is CHF265.74, but it is currently trading at CHF199 on the share market, meaning that there is still an opportunity to buy now. However, given that Kuehne + Nagel International’s share is fairly volatile (i.e. its price movements are magnified relative to the rest of the market) this could mean the price can sink lower, giving us another chance to buy in the future. This is based on its high beta, which is a good indicator for share price volatility.

What does the future of Kuehne + Nagel International look like?

Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. Though in the case of Kuehne + Nagel International, it is expected to deliver a highly negative earnings growth in the next few years, which doesn’t help build up its investment thesis. It appears that risk of future uncertainty is high, at least in the near term.

What This Means For You

Are you a shareholder? Although KNIN is currently undervalued, the negative outlook does bring on some uncertainty, which equates to higher risk. Consider whether you want to increase your portfolio exposure to KNIN, or whether diversifying into another stock may be a better move for your total risk and return.

Are you a potential investor? If you’ve been keeping an eye on KNIN for a while, but hesitant on making the leap, I recommend you research further into the stock. Given its current undervaluation, now is a great time to make a decision. But keep in mind the risks that come with negative growth prospects in the future.

Keep in mind, when it comes to analysing a stock it's worth noting the risks involved. Our analysis shows 2 warning signs for Kuehne + Nagel International (1 is a bit concerning!) and we strongly recommend you look at these before investing.

If you are no longer interested in Kuehne + Nagel International, you can use our free platform to see our list of over 50 other stocks with a high growth potential.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.