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KCEL

KcellKAS:KCEL Stock Report

Market Cap

₸324.2b

7D

8.6%

1Y

-40.0%

Updated

23 Oct, 2021

Data

Company Financials +
KCEL fundamental analysis
Snowflake Score
Valuation4/6
Future Growth4/6
Past Performance5/6
Financial Health4/6
Dividends3/6

KCEL Overview

Kcell Joint Stock Company, together with its subsidiaries, provides mobile telecommunication services in the Republic of Kazakhstan.

Price History & Performance

Summary of all time highs, changes and price drops for Kcell
Historical stock prices
Current Share Price₸1,621.00
52 Week High₸1,120.00
52 Week Low₸2,900.00
Beta0.093
1 Month Change24.62%
3 Month Change-8.32%
1 Year Change-39.96%
3 Year Change-1.82%
5 Year Change39.50%
Change since IPO-6.84%

Recent News & Updates

Shareholder Returns

KCELKZ Wireless TelecomKZ Market
7D8.6%0.7%4.2%
1Y-40.0%10.0%109.2%

Return vs Industry: KCEL underperformed the KZ Wireless Telecom industry which returned 10% over the past year.

Return vs Market: KCEL underperformed the KZ Market which returned 108.8% over the past year.

Price Volatility

Is KCEL's price volatile compared to industry and market?
KCEL volatility
KCEL Beta0.093
Industry Beta0.62
Market Beta1

Stable Share Price: KCEL is more volatile than 75% of KZ stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: KCEL's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of KZ stocks.

About the Company

FoundedEmployeesCEOWebsite
19982,258Yuri Kharlamovhttps://www.kcell.kz

Kcell Joint Stock Company, together with its subsidiaries, provides mobile telecommunication services in the Republic of Kazakhstan. It offers voice and messaging services; and value-added services, including multimedia and mobile content services, as well as data transmission services, such as Internet access. The company provides its services under the Kcell and Activ brands primarily to corporate subscribers comprising government subscribers, as well as mass market subscribers.

Kcell Fundamentals Summary

How do Kcell's earnings and revenue compare to its market cap?
KCEL fundamental statistics
Market Cap₸324.20b
Earnings (TTM)₸24.67b
Revenue (TTM)₸186.16b

13.1x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
KCEL income statement (TTM)
Revenue₸186.16b
Cost of Revenue₸121.58b
Gross Profit₸64.58b
Expenses₸39.92b
Earnings₸24.67b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 29, 2021

Earnings per share (EPS)123.34
Gross Margin34.69%
Net Profit Margin13.25%
Debt/Equity Ratio76.2%

How did KCEL perform over the long term?

See historical performance and comparison

Dividends

5.4%

Current Dividend Yield

71%

Payout Ratio

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KCEL (KZT1621) is trading below our estimate of fair value (KZT4619.98)

Significantly Below Fair Value: KCEL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KCEL is good value based on its PE Ratio (13.1x) compared to the Asian Wireless Telecom industry average (20.6x).

PE vs Market: KCEL is poor value based on its PE Ratio (13.1x) compared to the KZ market (7.8x).


Price to Earnings Growth Ratio

PEG Ratio: KCEL is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: KCEL is overvalued based on its PB Ratio (4x) compared to the XA Wireless Telecom industry average (2.1x).


Future Growth

How is Kcell forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

17.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KCEL's forecast earnings growth (17.3% per year) is above the savings rate (3.6%).

Earnings vs Market: KCEL's earnings (17.3% per year) are forecast to grow faster than the KZ market (16.4% per year).

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

Revenue vs Market: KCEL's revenue (6.5% per year) is forecast to grow faster than the KZ market (5.4% per year).

High Growth Revenue: KCEL's revenue (6.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KCEL's Return on Equity is forecast to be high in 3 years time (29%)


Past Performance

How has Kcell performed over the past 5 years?

1.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KCEL has a large one-off loss of KZT9.4B impacting its June 30 2021 financial results.

Growing Profit Margin: KCEL's current net profit margins (13.3%) are higher than last year (12%).


Past Earnings Growth Analysis

Earnings Trend: KCEL's earnings have grown by 1.7% per year over the past 5 years.

Accelerating Growth: KCEL's earnings growth over the past year (27%) exceeds its 5-year average (1.7% per year).

Earnings vs Industry: KCEL earnings growth over the past year (27%) exceeded the Wireless Telecom industry 5.5%.


Return on Equity

High ROE: KCEL's Return on Equity (30.8%) is considered high.


Financial Health

How is Kcell's financial position?


Financial Position Analysis

Short Term Liabilities: KCEL's short term assets (KZT61.4B) exceed its short term liabilities (KZT33.1B).

Long Term Liabilities: KCEL's short term assets (KZT61.4B) do not cover its long term liabilities (KZT81.8B).


Debt to Equity History and Analysis

Debt Level: KCEL's debt to equity ratio (76.2%) is considered high.

Reducing Debt: KCEL's debt to equity ratio has reduced from 84% to 76.2% over the past 5 years.

Debt Coverage: KCEL's debt is well covered by operating cash flow (108.2%).

Interest Coverage: KCEL's interest payments on its debt are well covered by EBIT (5.5x coverage).


Balance Sheet


Dividend

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

5.42%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KCEL's dividend (5.42%) is higher than the bottom 25% of dividend payers in the KZ market (2.8%).

High Dividend: KCEL's dividend (5.42%) is low compared to the top 25% of dividend payers in the KZ market (9.61%).


Stability and Growth of Payments

Stable Dividend: KCEL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: KCEL has only been paying a dividend for 7 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (71.3%), KCEL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KCEL's dividends in 3 years are forecast to be covered by earnings (75.6% payout ratio).


Next Steps

Management

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

4.0yrs

Average management tenure


CEO

Yuri Kharlamov

0.75

Tenure

Mr. Yuri Kharlamov serves as Member of Management Board of Kcell Joint Stock Company and June 19, 2020 and served as its Chief Financial Officer since March 2020 until April 9, 2021. He serves as Chief Exe...


Leadership Team

Experienced Management: KCEL's management team is considered experienced (4 years average tenure).


Board Members

Experienced Board: KCEL's board of directors are not considered experienced ( 2.8 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Kcell Joint Stock Company's employee growth, exchange listings and data sources


Key Information

  • Name: Kcell Joint Stock Company
  • Ticker: KCEL
  • Exchange: KAS
  • Founded: 1998
  • Industry: Wireless Telecommunication Services
  • Sector: Telecom
  • Market Cap: ₸324.200b
  • Shares outstanding: 200.00m
  • Website: https://www.kcell.kz

Number of Employees


Location

  • Kcell Joint Stock Company
  • Samal-2, 100
  • Almaty
  • Kazakhstan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/23 13:01
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.