When Should You Buy Kuehne + Nagel International AG (VTX:KNIN)?

Kuehne + Nagel International AG (VTX:KNIN) saw a decent share price growth in the teens level on the SWX over the last few months. As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock. But what if there is still an 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 the opportunity still exists.

View our latest analysis for Kuehne + Nagel International

Is Kuehne + Nagel International Still Cheap?

According to my valuation model, Kuehne + Nagel International seems to be fairly priced at around 1.77% above my intrinsic value, which means if you buy Kuehne + Nagel International today, you’d be paying a relatively reasonable price for it. And if you believe the company’s true value is CHF268.74, there’s only an insignificant downside when the price falls to its real value. In addition to this, Kuehne + Nagel International has a low beta, which suggests its share price is less volatile than the wider market.

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? KNIN seems fairly priced right now, but given the uncertainty from negative returns in the future, this could be the right time to de-risk your portfolio. Is your current exposure to the stock optimal for your total portfolio? And is the opportunity cost of holding a negative-outlook stock too high? Before you make a decision on the stock, take a look at whether its fundamentals have changed.

Are you a potential investor? If you’ve been keeping an eye on KNIN for a while, now may not be the most optimal time to buy, given it is trading around its fair value. The price seems to be trading at fair value, which means there’s less benefit from mispricing. Furthermore, the negative growth outlook increases the risk of holding the stock. However, there are also other important factors we haven’t considered today, which can help gel your views on KNIN should the price fluctuate below its true value.

Keep in mind, when it comes to analysing a stock it's worth noting the risks involved. To help with this, we've discovered 2 warning signs (1 is potentially serious!) that you ought to be aware of before buying any shares in Kuehne + Nagel International.

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.