OTCPK:KXSC.F

Stock Analysis Report

Executive Summary

Kinaxis Inc. provides cloud-based subscription software for supply chain operations in the United States, Europe, Asia, and Canada.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-3.2%

KXSC.F

-2.7%

US Software

1.0%

US Market


1 Year Return

n/a

KXSC.F

19.2%

US Software

8.0%

US Market

Return vs Industry: Insufficient data to determine how KXSC.F performed against the US Software industry.

Return vs Market: Insufficient data to determine how KXSC.F performed against the US Market.


Shareholder returns

KXSC.FIndustryMarket
7 Day-3.2%-2.7%1.0%
30 Day-0.5%-2.7%-0.07%
90 Day0.1%-7.0%-1.0%
1 Yearn/a21.0%19.2%10.4%8.0%
3 Year25.8%25.8%111.2%102.7%46.2%36.7%
5 Year341.9%341.9%164.9%145.8%64.3%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

99.41x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KXSC.F ($62.91) is trading above our estimate of fair value ($28.83)

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


Price To Earnings Ratio

PE vs Industry: KXSC.F is poor value based on its PE Ratio (99.4x) compared to the Software industry average (45.8x).

PE vs Market: KXSC.F is poor value based on its PE Ratio (99.4x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

PEG Ratio: KXSC.F is poor value based on its PEG Ratio (5.7x)


Price to Book Ratio

PB vs Industry: KXSC.F is overvalued based on its PB Ratio (8.1x) compared to the US Software industry average (5.3x).


Next Steps

Future Growth

How is Kinaxis forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

17.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KXSC.F's forecast earnings growth (17.5% per year) is above the savings rate (2.7%).

Earnings vs Market: KXSC.F's earnings (17.5% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: KXSC.F's revenue (15.8% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: KXSC.F's revenue (15.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KXSC.F's Return on Equity is forecast to be low in 3 years time (10.7%).


Next Steps

Past Performance

How has Kinaxis performed over the past 5 years?

33.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: KXSC.F has become profitable over the past 5 years, growing earnings by 33.2% per year.

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

Earnings vs Industry: KXSC.F had negative earnings growth (-18.6%) over the past year, making it difficult to compare to the Software industry average (19.1%).


Return on Equity

High ROE: KXSC.F's Return on Equity (8.1%) is considered low.


Return on Assets

ROA vs Industry: KXSC.F's Return on Assets is below or equal to the Software industry average last year.


Return on Capital Employed

ROCE Improving: KXSC.F's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Kinaxis's financial position?


Financial Position Analysis

Short Term Liabilities: KXSC.F's short term assets ($251.3M) exceeds its short term liabilities ($84.7M)

Long Term Liabilities: KXSC.F's short term assets (251.3M) exceeds its long term liabilities (14.9M)


Debt to Equity History and Analysis

Debt Level: KXSC.F is debt free.

Reducing Debt: KXSC.F had no debt 5 years ago.

Debt Coverage: KXSC.F has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: KXSC.F has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: KXSC.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: KXSC.F's debt is covered by short term assets (assets are 141480582293840186.525590x debt).


Next Steps

Dividend

What is Kinaxis's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate KXSC.F's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if KXSC.F's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Kinaxis's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

John Sicard (56yo)

3.8yrs

Tenure

US$2,020,349

Compensation

Mr. John Ernest Sicard has been the Chief Executive Officer and President of Kinaxis Inc. since January 1, 2016. Mr. Sicard joined Kinaxis in 1994. He served as the Chief Products Officer of Kinaxis Inc. u ...


CEO Compensation Analysis

Compensation vs. Market: John's total compensation ($USD2.02M) is about average for companies of similar size in the US market ($USD4.07M).

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


Management Age and Tenure

3.8yrs

Average Tenure

Experienced Management: KXSC.F's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

2.8yrs

Average Tenure

58yo

Average Age

Experienced Board: KXSC.F's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$126,80018 Jun 19
Paul Carreiro
EntityIndividual
Role
Senior Key Executive
Chief Revenue Officer
Shares2,000
Max PriceUS$63.42
SellUS$188,42714 Jun 19
Richard Monkman
EntityIndividual
Role
Chief Financial Officer
CFO, VP of Corporate Services & Corporate Secretary
Shares3,000
Max PriceUS$62.81
SellUS$112,79630 May 19
John Sicard
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares1,900
Max PriceUS$59.37
SellUS$298,64622 Mar 19
John Sicard
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares5,000
Max PriceUS$59.73
SellUS$82,29712 Mar 19
Paul Carreiro
EntityIndividual
Role
Senior Key Executive
Chief Revenue Officer
Shares1,500
Max PriceUS$54.86
SellUS$95,52021 Dec 18
Richard Monkman
EntityIndividual
Role
Chief Financial Officer
CFO, VP of Corporate Services & Corporate Secretary
Shares2,000
Max PriceUS$47.76
BuyUS$56,19919 Nov 18
Paul Carreiro
EntityIndividual
Role
Senior Key Executive
Chief Revenue Officer
Shares1,100
Max PriceUS$51.09
BuyUS$147,58115 Nov 18
John Giffen
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares3,000
Max PriceUS$49.19
BuyUS$74,53515 Nov 18
Paul Carreiro
EntityIndividual
Role
Senior Key Executive
Chief Revenue Officer
Shares1,500
Max PriceUS$49.69
BuyUS$255,96713 Nov 18
John Sicard
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares5,000
Max PriceUS$51.21
BuyUS$164,29113 Nov 18
Richard Monkman
EntityIndividual
Role
Chief Financial Officer
CFO, VP of Corporate Services & Corporate Secretary
Shares3,155
Max PriceUS$52.07

Ownership Breakdown


Management Team

  • Duncan Klett

    Co-Founder

    • Tenure: 35.8yrs
  • Richard Monkman

    CFO, VP of Corporate Services & Corporate Secretary

    • Tenure: 14yrs
    • Compensation: US$2.13m
  • John Sicard (56yo)

    CEO, President & Director

    • Tenure: 3.8yrs
    • Compensation: US$2.02m
  • Rick Wadsworth

    Vice President Investor Relations

    • Tenure: 0yrs
  • Paul Carreiro

    Chief Revenue Officer

    • Tenure: 2yrs
    • Compensation: US$1.67m
  • Jay Muelhoefer (47yo)

    Chief Marketing Officer

    • Tenure: 1.6yrs
    • Compensation: US$1.90m
  • David Kelly

    Executive Vice President of Professional Services

    • Tenure: 3.8yrs
    • Compensation: US$827.59k
  • Megan Paterson

    Chief Human Resources Officer

    • Tenure: 4.8yrs
  • Andrew McDonald

    Chief Product Officer

    • Tenure: 1yrs
    • Compensation: US$1.83m
  • Mike Mauger

    Executive Vice President of Global Customer Care

    • Tenure: 0.6yrs

Board Members

  • Andrew Gort (65yo)

    Member of Strategic Advisory Council

    • Tenure: 0yrs
  • Ian Giffen (62yo)

    Independent Chairman of the Board

    • Tenure: 1.3yrs
    • Compensation: US$256.53k
  • Angel Mendez (58yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$214.03k
  • Bob Courteau (63yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$206.53k
  • Pamela Passman (57yo)

    Independent Director

    • Tenure: 1.2yrs
    • Compensation: US$319.30k
  • John Sicard (56yo)

    CEO, President & Director

    • Tenure: 3.8yrs
    • Compensation: US$2.02m
  • Jill Denham (58yo)

    Independent Director

    • Tenure: 3.2yrs
    • Compensation: US$214.03k
  • Kelly Thomas (57yo)

    Independent Director

    • Tenure: 1.2yrs
    • Compensation: US$319.30k

Company Information

Kinaxis Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kinaxis Inc.
  • Ticker: KXSC.F
  • Exchange: OTCPK
  • Founded: 1984
  • Industry: Application Software
  • Sector: Software
  • Market Cap: CA$2.166b
  • Listing Market Cap: CA$1.653b
  • Shares outstanding: 26.17m
  • Website: https://www.kinaxis.com

Number of Employees


Location

  • Kinaxis Inc.
  • 700 Silver Seven Road
  • Ottawa
  • Ontario
  • K2V 1C3
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KXSTSX (The Toronto Stock Exchange)YesCommon SharesCACADJun 2014
KXSC.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJun 2014
9KXDB (Deutsche Boerse AG)YesCommon SharesDEEURJun 2014

Biography

Kinaxis Inc. provides cloud-based subscription software for supply chain operations in the United States, Europe, Asia, and Canada. The company offers RapidResponse, which provide supply chain planning and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 00:32
End of Day Share Price2019/10/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.