LSE:KGF

Stock Analysis Report

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Executive Summary

Kingfisher plc, together with its subsidiaries, supplies home improvement products and services primarily in the United Kingdom, Ireland, France, and internationally. More Details


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Kingfisher's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KGF has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.2%

KGF

-1.4%

GB Specialty Retail

-0.4%

GB Market


1 Year Return

32.6%

KGF

3.5%

GB Specialty Retail

-14.3%

GB Market

Return vs Industry: KGF exceeded the UK Specialty Retail industry which returned 3.5% over the past year.

Return vs Market: KGF exceeded the UK Market which returned -14.3% over the past year.


Shareholder returns

KGFIndustryMarket
7 Day-3.2%-1.4%-0.4%
30 Day-3.2%4.8%0.06%
90 Day24.2%12.6%-2.5%
1 Year34.9%32.6%4.7%3.5%-10.8%-14.3%
3 Year-0.9%-10.5%3.1%-5.1%-5.2%-16.7%
5 Year-10.7%-23.9%-5.4%-18.5%24.5%-3.6%

Price Volatility Vs. Market

How volatile is Kingfisher's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

695.3x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KGF (£2.65) is trading above our estimate of fair value (£0.96)

Significantly Below Fair Value: KGF is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: KGF is poor value based on its PE Ratio (695.3x) compared to the GB Specialty Retail industry average (21.4x).

PE vs Market: KGF is poor value based on its PE Ratio (695.3x) compared to the UK market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: KGF is poor value based on its PEG Ratio (15.4x)


Price to Book Ratio

PB vs Industry: KGF's PB Ratio (1x) is in line with the GB Specialty Retail industry average.


Next Steps

Future Growth

How is Kingfisher forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

45.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KGF's forecast earnings growth (45.1% per year) is above the savings rate (1.2%).

Earnings vs Market: KGF's earnings (45.1% per year) are forecast to grow faster than the UK market (23.7% per year).

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

Revenue vs Market: KGF's revenue (1.9% per year) is forecast to grow slower than the UK market (6.3% per year).

High Growth Revenue: KGF's revenue (1.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KGF's Return on Equity is forecast to be low in 3 years time (7.1%).


Next Steps

Past Performance

How has Kingfisher performed over the past 5 years?

-22.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KGF has a large one-off loss of £441.0M impacting its January 31 2020 financial results.

Growing Profit Margin: KGF's current net profit margins (0.07%) are lower than last year (1.7%).


Past Earnings Growth Analysis

Earnings Trend: KGF's earnings have declined by 22.9% per year over the past 5 years.

Accelerating Growth: KGF's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: KGF had negative earnings growth (-95.9%) over the past year, making it difficult to compare to the Specialty Retail industry average (-32.6%).


Return on Equity

High ROE: KGF's Return on Equity (0.1%) is considered low.


Next Steps

Financial Health

How is Kingfisher's financial position?


Financial Position Analysis

Short Term Liabilities: KGF's short term assets (£3.2B) exceed its short term liabilities (£2.8B).

Long Term Liabilities: KGF's short term assets (£3.2B) exceed its long term liabilities (£2.7B).


Debt to Equity History and Analysis

Debt Level: KGF's debt to equity ratio (2.3%) is considered satisfactory.

Reducing Debt: KGF's debt to equity ratio has reduced from 4.6% to 2.3% over the past 5 years.

Debt Coverage: KGF's debt is well covered by operating cash flow (659.6%).

Interest Coverage: KGF's interest payments on its debt are well covered by EBIT (4x coverage).


Balance Sheet


Next Steps

Dividend

What is Kingfisher current dividend yield, its reliability and sustainability?

2.76%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate KGF'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 KGF's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if KGF's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: KGF is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of KGF's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

0.9yrs

Average management tenure


CEO

Thierry Dominique Garnier (54 yo)

1

Tenure

UK£952,746

Compensation

Mr. Thierry Dominique Gerard Garnier Serves as Vice Chairman of the Board at Koctas Yapi Marketleri Ticaret A.S. since July 2020. He serves as Chief Executive Officer and Executive Director at Kingfisher p ...


CEO Compensation Analysis

Compensation vs Market: Thierry Dominique's total compensation ($USD1.23M) is below average for companies of similar size in the UK market ($USD3.25M).

Compensation vs Earnings: Insufficient data to compare Thierry Dominique's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Thierry Dominique Garnier
CEO & Executive Director1yrUK£952.75k0.0029%
£ 158.6k
Bernard Bot
CFO & Director0.92yrUK£600.95k0.0024%
£ 132.4k
Christian Cowley
Head of Investor Relationsno datano datano data
Kate Seljeflot
Chief People Officer0.58yrno datano data
Nigel Cope
Head of Media Relationsno datano datano data
Yi Liu
Head of B&Q Taiwan Operationsno datano datano data
Henri Solère
Chief Offer & Sourcing Officer2yrsno datano data
John Wartig
Chief Transformation & Development Officer0.92yrno data0.0019%
£ 104.1k
Martin Lee
Chief Supply Chain Officer0.58yrno datano data
Jean-Jacques Van Oosten
Chief Customer & Digital Officer0.67yrno datano data
Paul Moore
Group Company Secretary4.17yrsno datano data
Graham Bell
CEO of B&Q UK & Ireland1.92yrsno datano data

0.9yrs

Average Tenure

Experienced Management: KGF's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Thierry Dominique Garnier
CEO & Executive Director1yrUK£952.75k0.0029%
£ 158.6k
Bernard Bot
CFO & Director0.92yrUK£600.95k0.0024%
£ 132.4k
Mark Seligman
Senior Independent Director8.67yrsUK£85.00k0.0012%
£ 66.2k
Jeffrey Carr
Independent Non-Executive Director2.25yrsUK£85.00k0.00048%
£ 26.7k
Andrew Cosslett
Independent Chairman3.25yrsUK£496.10k0.014%
£ 769.7k
Sophie Gasperment
Independent Non-Executive Director1.75yrsUK£65.00k0.00048%
£ 26.7k
Claudia Arney
Independent Non-Executive Director1.83yrsUK£65.00k0.0013%
£ 72.9k
Rakhi Goss-Custard
Independent Non-Executive Director4.58yrsUK£65.00k0.00029%
£ 16.1k
Sally Uren
Chair of Advisory Councilno datano datano data

2.0yrs

Average Tenure

55yo

Average Age

Experienced Board: KGF's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kingfisher plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kingfisher plc
  • Ticker: KGF
  • Exchange: LSE
  • Founded: 1982
  • Industry: Home Improvement Retail
  • Sector: Retail
  • Market Cap: UK£5.565b
  • Shares outstanding: 2.10b
  • Website: https://www.kingfisher.com

Number of Employees


Location

  • Kingfisher plc
  • 3 Sheldon Square
  • Paddington
  • London
  • Greater London
  • W2 6PX
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KGFLSE (London Stock Exchange)YesOrdinary SharesGBGBPDec 1982
KFI1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 1982
KFI1XTRA (XETRA Trading Platform)YesOrdinary SharesDEEURDec 1982
KGFH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 1982
KGFLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPDec 1982
KGF NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNDec 1982
KGFH.YOTCPK (Pink Sheets LLC)SPON ADR PARUSUSDSep 1995

Biography

Kingfisher plc, together with its subsidiaries, supplies home improvement products and services primarily in the United Kingdom, Ireland, France, and internationally. The company also offers property inves ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/22 03:41
End of Day Share Price2020/09/21 00:00
Earnings2020/01/31
Annual Earnings2020/01/31


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.