ISE:KRX

Stock Analysis Report

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Executive Summary

Kingspan Group plc, together with its subsidiaries, provides building solutions for the construction sector in the Republic of Ireland, the United Kingdom, rest of Europe, the Americas, and internationally. More Details


Snowflake Analysis

Excellent balance sheet with questionable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: KRX is not significantly more volatile than the rest of Irish stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: KRX's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-4.4%

KRX

-1.8%

IE Building

4.1%

IE Market


1 Year Return

35.3%

KRX

8.5%

IE Building

9.4%

IE Market

Return vs Industry: KRX exceeded the Irish Building industry which returned 8.5% over the past year.

Return vs Market: KRX exceeded the Irish Market which returned 9.4% over the past year.


Shareholder returns

KRXIndustryMarket
7 Day-4.4%-1.8%4.1%
30 Day-16.6%1.2%11.3%
90 Day2.2%6.9%19.5%
1 Year35.3%35.3%10.0%8.5%10.8%9.4%
3 Year99.4%95.2%25.5%17.7%22.4%16.8%
5 Year190.6%178.0%57.1%41.7%33.4%23.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

36.11x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KRX (€68.8) is trading above our estimate of fair value (€19.85)

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


Price To Earnings Ratio

PE vs Industry: KRX is poor value based on its PE Ratio (36.1x) compared to the XE Building industry average (21.4x).

PE vs Market: KRX is poor value based on its PE Ratio (36.1x) compared to the Irish market (24.1x).


Price to Earnings Growth Ratio

PEG Ratio: KRX is poor value based on its PEG Ratio (4.8x)


Price to Book Ratio

PB vs Industry: KRX is overvalued based on its PB Ratio (5.8x) compared to the XE Building industry average (1.8x).


Next Steps

Future Growth

How is Kingspan Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

7.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KRX's forecast earnings growth (7.6% per year) is above the savings rate (0.7%).

Earnings vs Market: KRX's earnings (7.6% per year) are forecast to grow slower than the Irish market (40.7% per year).

High Growth Earnings: KRX's earnings are forecast to grow, but not significantly.

Revenue vs Market: KRX's revenue (7% per year) is forecast to grow slower than the Irish market (10.5% per year).

High Growth Revenue: KRX's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KRX's Return on Equity is forecast to be low in 3 years time (13.9%).


Next Steps

Past Performance

How has Kingspan Group performed over the past 5 years?

15.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KRX has high quality earnings.

Growing Profit Margin: KRX's current net profit margins (7.7%) are lower than last year (7.7%).


Past Earnings Growth Analysis

Earnings Trend: KRX's earnings have grown by 15% per year over the past 5 years.

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

Earnings vs Industry: KRX had negative earnings growth (-3.1%) over the past year, making it difficult to compare to the Building industry average (5.9%).


Return on Equity

High ROE: KRX's Return on Equity (16%) is considered low.


Next Steps

Financial Health

How is Kingspan Group's financial position?


Financial Position Analysis

Short Term Liabilities: KRX's short term assets (€1.8B) exceed its short term liabilities (€1.2B).

Long Term Liabilities: KRX's short term assets (€1.8B) exceed its long term liabilities (€1.4B).


Debt to Equity History and Analysis

Debt Level: KRX's debt to equity ratio (41.1%) is considered high.

Reducing Debt: KRX's debt to equity ratio has reduced from 52.9% to 41.1% over the past 5 years.

Debt Coverage: KRX's debt is well covered by operating cash flow (76.6%).

Interest Coverage: KRX's interest payments on its debt are well covered by EBIT (20.5x coverage).


Balance Sheet


Next Steps

Dividend

What is Kingspan Group current dividend yield, its reliability and sustainability?

0.59%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: KRX is not paying a notable dividend for the Irish market.


Future Payout to Shareholders

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


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Gene Murtagh (48 yo)

15.92yrs

Tenure

€1,986,000

Compensation

Mr. Gene M. Murtagh has been the Chief Executive Officer of Kingspan Group PLC since January 2005. Mr. Murtagh served as the Chief Operating Officer of Kingspan Group plc from 2003 to 2004. He served as th...


CEO Compensation Analysis

Compensation vs Market: Gene's total compensation ($USD2.41M) is below average for companies of similar size in the Irish market ($USD4.32M).

Compensation vs Earnings: Gene's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Gene Murtagh
CEO & Executive Director15.92yrs€1.99m0.59%
€ 74.2m
Geoff Doherty
Group CFO & Executive Director9.92yrs€1.33m0.12%
€ 14.7m
Peter Wilson
Managing Director of Insulation Business & Executive Director17.83yrs€1.19m0.21%
€ 26.8m
Gilbert McCarthy
MD - Insulated Panel Activities-UK9.25yrs€1.16m0.14%
€ 17.6m
Siobhan O'Dwyer
Global Head of Marketing & Public Affairs1.75yrsno datano data
Marie Maguire
Group People & Leadership Development Manager1.5yrsno datano data
Paul O'Gorman
Managing Director of Joris Ide Insulated Panels4.33yrsno datano data
Pat Freeman
Managing Director of Water & Energy Divisionno datano datano data
Liam McDaniel
Divisional Managing Director of Light & Airno datano datano data
David McMahon
Managing Director of Group's Insulated Panel Activities - Central & Eastern Europe and Russia3yrsno datano data
Bianca Wong
Global Head of Sustainability1.92yrsno datano data
Lorcan Dowd
Group Company Secretary15.42yrsno data0.0016%
€ 201.2k

4.3yrs

Average Tenure

48yo

Average Age

Experienced Management: KRX's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Gene Murtagh
CEO & Executive Director15.92yrs€1.99m0.59%
€ 74.2m
Geoff Doherty
Group CFO & Executive Director9.92yrs€1.33m0.12%
€ 14.7m
Peter Wilson
Managing Director of Insulation Business & Executive Director17.83yrs€1.19m0.21%
€ 26.8m
Gilbert McCarthy
MD - Insulated Panel Activities-UK9.25yrs€1.16m0.14%
€ 17.6m
Eugene Murtagh
Non-Executive Chairmanno data€191.00k14.88%
€ 1.9b
Michael Cawley
Independent Non-Executive Director6.58yrs€85.00k0.017%
€ 2.1m
Russell Shiels
Executive Director24yrs€1.30m0.11%
€ 13.8m
Anne Heraty
Director1.33yrs€31.00kno data
Bruce McLennan
Independent Non-Executive Director5.5yrs€75.00k0.0055%
€ 688.5k
Jost Massenberg
Non-Executive Director2.83yrs€75.00kno data
Linda Hickey
Independent Non-Executive Director7.5yrs€82.00k0.0027%
€ 343.6k
John Cronin
Independent Non-Executive Director6.58yrs€75.00k0.0044%
€ 551.0k

7.5yrs

Average Tenure

59yo

Average Age

Experienced Board: KRX's board of directors are considered experienced (7.5 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Kingspan Group plc
  • Ticker: KRX
  • Exchange: ISE
  • Founded: 1965
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: €12.495b
  • Shares outstanding: 181.61m
  • Website: https://www.kingspan.com

Number of Employees


Location

  • Kingspan Group plc
  • Dublin Road
  • Kingscourt
  • Co. Cavan
  • A82 XY31
  • Ireland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KGPLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
KRXDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
KRXISE (Irish Stock Exchange)YesOrdinary SharesIEEURJan 1992
KGSP.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
KRXIBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992
KGPLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992
KGSP.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDOct 2008

Biography

Kingspan Group plc, together with its subsidiaries, provides building solutions for the construction sector in the Republic of Ireland, the United Kingdom, rest of Europe, the Americas, and internationally...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/05 19:28
End of Day Share Price2020/12/04 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.