company background image
KPN

Koninklijke KPN ENXTAM:KPN Stock Report

Last Price

€3.13

Market Cap

€12.7b

7D

-2.5%

1Y

14.1%

Updated

14 Aug, 2022

Data

Company Financials +
KPN fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance2/6
Financial Health3/6
Dividends3/6

KPN Stock Overview

Koninklijke KPN N.V. provides telecommunications and information technology (IT) services in the Netherlands.

Koninklijke KPN Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Koninklijke KPN
Historical stock prices
Current Share Price€3.13
52 Week High€3.48
52 Week Low€2.56
Beta0.16
1 Month Change-7.26%
3 Month Change-5.41%
1 Year Change14.10%
3 Year Change12.91%
5 Year Change3.16%
Change since IPO-72.73%

Recent News & Updates

Jun 09
Is Now The Time To Put Koninklijke KPN (AMS:KPN) On Your Watchlist?

Is Now The Time To Put Koninklijke KPN (AMS:KPN) On Your Watchlist?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

May 26
Koninklijke KPN (AMS:KPN) Is Doing The Right Things To Multiply Its Share Price

Koninklijke KPN (AMS:KPN) Is Doing The Right Things To Multiply Its Share Price

If you're looking for a multi-bagger, there's a few things to keep an eye out for. Firstly, we'd want to identify a...

May 12
We Think Koninklijke KPN (AMS:KPN) Can Stay On Top Of Its Debt

We Think Koninklijke KPN (AMS:KPN) Can Stay On Top Of Its Debt

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

KPNNL TelecomNL Market
7D-2.5%-0.2%0.8%
1Y14.1%-8.2%-14.8%

Return vs Industry: KPN exceeded the Dutch Telecom industry which returned -8.2% over the past year.

Return vs Market: KPN exceeded the Dutch Market which returned -14.8% over the past year.

Price Volatility

Is KPN's price volatile compared to industry and market?
KPN volatility
KPN Average Weekly Movement2.0%
Telecom Industry Average Movement4.1%
Market Average Movement5.0%
10% most volatile stocks in NL Market8.1%
10% least volatile stocks in NL Market3.0%

Stable Share Price: KPN is less volatile than 75% of Dutch stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: KPN's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18819,492Joost F. Farwerckhttps://www.kpn.com

Koninklijke KPN N.V. provides telecommunications and information technology (IT) services in the Netherlands. It operates through Consumer; Business; Wholesale; and Network, Operations & IT segments. The company offers fixed and mobile telephony, fixed and mobile broadband internet, and television services to retail consumers; infrastructure and network related IT solutions to business customers; and wholesale network services to third parties.

Koninklijke KPN Fundamentals Summary

How do Koninklijke KPN's earnings and revenue compare to its market cap?
KPN fundamental statistics
Market Cap€12.70b
Earnings (TTM)€698.00m
Revenue (TTM)€5.31b

18.2x

P/E Ratio

2.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
KPN income statement (TTM)
Revenue€5.31b
Cost of Revenue€2.48b
Gross Profit€2.83b
Other Expenses€2.13b
Earnings€698.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 26, 2022

Earnings per share (EPS)0.17
Gross Margin53.33%
Net Profit Margin13.15%
Debt/Equity Ratio201.6%

How did KPN perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

82%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is KPN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for KPN?

Other financial metrics that can be useful for relative valuation.

KPN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue3.6x
Enterprise Value/EBITDA9x
PEG Ratio2.5x

Price to Earnings Ratio vs Peers

How does KPN's PE Ratio compare to its peers?

KPN PE Ratio vs Peers
The above table shows the PE ratio for KPN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average28.2x
VTWR Vantage Towers
39.9x10.7%€14.2b
TELIA Telia Company
29.4x11.0%kr151.2b
VIVT3 Telefônica Brasil
14x15.6%R$76.9b
IAM Itissalat Al-Maghrib (IAM)
29.6x7.7%د.م106.4b
KPN Koninklijke KPN
18.2x7.2%€12.7b

Price-To-Earnings vs Peers: KPN is good value based on its Price-To-Earnings Ratio (18.2x) compared to the peer average (28.2x).


Price to Earnings Ratio vs Industry

How does KPN's PE Ratio compare vs other companies in the European Telecom Industry?

Price-To-Earnings vs Industry: KPN is expensive based on its Price-To-Earnings Ratio (18.2x) compared to the European Telecom industry average (18x)


Price to Earnings Ratio vs Fair Ratio

What is KPN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

KPN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate KPN's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of KPN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: KPN (€3.13) is trading below our estimate of fair value (€10.49)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Future Growth

How is Koninklijke KPN forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


7.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KPN's forecast earnings growth (7.2% per year) is above the savings rate (0.1%).

Earnings vs Market: KPN's earnings (7.2% per year) are forecast to grow faster than the Dutch market (4.6% per year).

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

Revenue vs Market: KPN's revenue (0.8% per year) is forecast to grow slower than the Dutch market (7% per year).

High Growth Revenue: KPN's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KPN's Return on Equity is forecast to be high in 3 years time (25.2%)


Discover growth companies

Past Performance

How has Koninklijke KPN performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


29.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: KPN has high quality earnings.

Growing Profit Margin: KPN's current net profit margins (13.1%) are lower than last year (23.5%).


Past Earnings Growth Analysis

Earnings Trend: KPN's earnings have grown significantly by 29.5% per year over the past 5 years.

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

Earnings vs Industry: KPN had negative earnings growth (-43.5%) over the past year, making it difficult to compare to the Telecom industry average (20.7%).


Return on Equity

High ROE: Whilst KPN's Return on Equity (22.23%) is high, this metric is skewed due to their high level of debt.


Discover strong past performing companies

Financial Health

How is Koninklijke KPN's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: KPN's short term assets (€1.6B) do not cover its short term liabilities (€2.3B).

Long Term Liabilities: KPN's short term assets (€1.6B) do not cover its long term liabilities (€6.7B).


Debt to Equity History and Analysis

Debt Level: KPN's net debt to equity ratio (180.6%) is considered high.

Reducing Debt: KPN's debt to equity ratio has reduced from 211.4% to 201.6% over the past 5 years.

Debt Coverage: KPN's debt is well covered by operating cash flow (33.7%).

Interest Coverage: KPN's interest payments on its debt are well covered by EBIT (5.1x coverage).


Balance Sheet


Discover healthy companies

Dividend

What is Koninklijke KPN current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


4.44%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: KPN's dividend (4.44%) is higher than the bottom 25% of dividend payers in the Dutch market (2.17%).

High Dividend: KPN's dividend (4.44%) is low compared to the top 25% of dividend payers in the Dutch market (5.93%).


Stability and Growth of Payments

Stable Dividend: KPN's dividend payments have been volatile in the past 10 years.

Growing Dividend: KPN's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (82.4%), KPN's payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (55.8%), KPN's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

3.2yrs

Average management tenure


CEO

Joost F. Farwerck (57 yo)

9.33yrs

Tenure

€3,026,625

Compensation

Mr. Joost F. E. Farwerck has been the Chairman of Board of Management at Koninklijke KPN N.V. since October 1, 2019 and has been its Chief Executive Officer since 1 December 2019. He has been a Member of B...


CEO Compensation Analysis

Compensation vs Market: Joost F.'s total compensation ($USD3.10M) is about average for companies of similar size in the Dutch market ($USD3.30M).

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


Leadership Team

Experienced Management: KPN's management team is considered experienced (3.2 years average tenure).


Board Members

Experienced Board: KPN's board of directors are not considered experienced ( 2.1 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

Koninklijke KPN N.V.'s employee growth, exchange listings and data sources


Key Information

  • Name: Koninklijke KPN N.V.
  • Ticker: KPN
  • Exchange: ENXTAM
  • Founded: 1881
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Implied Market Cap: €12.705b
  • Shares outstanding: 4.06b
  • Website: https://www.kpn.com

Number of Employees


Location

  • Koninklijke KPN N.V.
  • Wilhelminakade 123
  • Rotterdam
  • Zuid-Holland
  • 3072 AP
  • Netherlands

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/14 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.