Executive Summary
KPS AG provides management consulting services in the areas of business transformation and process optimization in retail and consumer goods sectors in Germany and Europe. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with excellent balance sheet and pays a dividend.
Share Price & News
How has KPS's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KSC is not significantly more volatile than the rest of German stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: KSC's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
-1.4%
KSC
4.6%
DE IT
0.4%
DE Market
1 Year Return
-30.3%
KSC
23.0%
DE IT
4.9%
DE Market
Return vs Industry: KSC underperformed the German IT industry which returned 23% over the past year.
Return vs Market: KSC underperformed the German Market which returned 4.9% over the past year.
Shareholder returns
| KSC | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.4% | 4.6% | 0.4% |
| 30 Day | 10.3% | 5.4% | 4.8% |
| 90 Day | 12.5% | -9.3% | 12.2% |
| 1 Year | -25.8%-30.3% | 27.7%23.0% | 8.2%4.9% |
| 3 Year | -51.7%-58.0% | 82.7%69.7% | 6.5%-2.8% |
| 5 Year | 0.5%-17.1% | 57.5%51.1% | 45.0%24.7% |
Long-Term Price Volatility Vs. Market
How volatile is KPS's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 year ago | Simply Wall St
Is There An Opportunity With KPS AG's (FRA:KSC) 37% Undervaluation?1 year ago | Simply Wall St
KPS AG (FRA:KSC): Is Growth Priced In?1 year ago | Simply Wall St
We Think KPS (FRA:KSC) Can Stay On Top Of Its DebtValuation
Is KPS undervalued compared to its fair value and its price relative to the market?
48.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: KSC (€6) is trading below our estimate of fair value (€11.67)
Significantly Below Fair Value: KSC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: KSC is good value based on its PE Ratio (23.7x) compared to the DE IT industry average (31.1x).
PE vs Market: KSC is good value based on its PE Ratio (23.7x) compared to the German market (24.6x).
Price to Earnings Growth Ratio
PEG Ratio: KSC is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: KSC is good value based on its PB Ratio (3.1x) compared to the DE IT industry average (3.6x).
Next Steps
Future Growth
How is KPS forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
20.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KSC's forecast earnings growth (20.1% per year) is above the savings rate (0.07%).
Earnings vs Market: KSC's earnings (20.1% per year) are forecast to grow slower than the German market (25.1% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: KSC's revenue (6.8% per year) is forecast to grow faster than the German market (6% per year).
High Growth Revenue: KSC's revenue (6.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KSC's Return on Equity is forecast to be low in 3 years time (18.3%).
Next Steps
Past Performance
How has KPS performed over the past 5 years?
-14.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KSC has a large one-off gain of €3.8M impacting its June 30 2020 financial results.
Growing Profit Margin: KSC's current net profit margins (5.4%) are lower than last year (6.9%).
Past Earnings Growth Analysis
Earnings Trend: KSC's earnings have declined by 14.2% per year over the past 5 years.
Accelerating Growth: KSC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: KSC had negative earnings growth (-23.6%) over the past year, making it difficult to compare to the IT industry average (9.1%).
Return on Equity
High ROE: KSC's Return on Equity (13.5%) is considered low.
Next Steps
Financial Health
How is KPS's financial position?
Financial Position Analysis
Short Term Liabilities: KSC's short term assets (€60.0M) exceed its short term liabilities (€59.3M).
Long Term Liabilities: KSC's short term assets (€60.0M) exceed its long term liabilities (€42.6M).
Debt to Equity History and Analysis
Debt Level: KSC's debt to equity ratio (30.5%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if KSC's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: KSC's debt is well covered by operating cash flow (82.2%).
Interest Coverage: KSC's interest payments on its debt are well covered by EBIT (6.3x coverage).
Balance Sheet
Next Steps
Dividend
What is KPS current dividend yield, its reliability and sustainability?
2.90%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: KSC's dividend (2.9%) is higher than the bottom 25% of dividend payers in the German market (0.97%).
High Dividend: KSC's dividend (2.9%) is low compared to the top 25% of dividend payers in the German market (3.47%).
Stability and Growth of Payments
Stable Dividend: KSC's dividend payments have been volatile in the past 10 years.
Growing Dividend: KSC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (68.6%), KSC's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: KSC's dividends in 3 years are forecast to be covered by earnings (75.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
12.7yrs
Average board tenure
CEO
Leonardo Musso
no data
Tenure
Mr. Leonardo Musso has been Member of Executive Board at KPS AG since October 1, 2015. Mr. Musso has been Founder, Chief Executive Officer and Managing Director of KPS AG. Mr. Musso began his career at BMW...
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Chairman of Supervisory Board | 13yrs | no data | 24.3% € 49.5m | |
| Independent Vice Chairman of Supervisory Board | 1.83yrs | no data | no data | |
| Supervisory Board Member | 12.67yrs | no data | 10.8% € 22.0m |
12.7yrs
Average Tenure
Experienced Board: KSC's board of directors are seasoned and experienced ( 12.7 years average tenure).
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
KPS AG's company bio, employee growth, exchange listings and data sources
Key Information
- Name: KPS AG
- Ticker: KSC
- Exchange: DB
- Founded: 1998
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: €203.522m
- Shares outstanding: 37.41m
- Website: https://www.kps.com
Number of Employees
Location
- KPS AG
- Beta-Str. 10 H
- Unterföhring
- Bavaria
- 85774
- Germany
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| KSC | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jul 1999 |
| KSC | XTRA (XETRA Trading Platform) | Yes | Ordinary Shares | DE | EUR | Jul 1999 |
| 0M2T | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Jul 1999 |
| KSCd | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | EUR | Jul 1999 |
Biography
KPS AG provides management consulting services in the areas of business transformation and process optimization in retail and consumer goods sectors in Germany and Europe. It offers advisory services on st...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/22 20:22 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/09/30 |
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.