KONE Oyj Class B KNEBV

Morningstar Rating
€50.92 +0.40 (0.79%)
View Full Chart

Company Report

We See a Modernisatio-Driven Growth Resurgence for Kone

Kone is one of the four largest global elevator and escalator companies operating in a mature, consolidated, and structurally attractive industry. The company derives approximately 65% of its revenue—and the bulk of its profit—from its service segment, which benefits from a large installed base generating high margins, recurring revenue, and stable cash flows.

Price vs Fair Value

KNEBV is trading at a LOCK|$pgSnL premium.
Price
€50.92
Fair Value
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Uncertainty
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1-Star Price
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5-Star Price
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Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Kone’s leading position in China positions it to capitalize as the market transitions from new equipment to higher-margin services.

Bears

A sharper and more persistent slowdown in China’s new equipment market may be a bigger headwind than expected, offsetting profitable growth elsewhere in its portfolio.

News

Trading Information

Previous Close Price
€50.52
Day Range
€50.64–51.70
52-Week Range
€46.22–64.42
Bid/Ask
€50.88 / €50.94
Shares Outstanding
518.28M
Market Cap
€26.39B
Volume/Avg
397,504 / 637,396

Key Statistics

Price/Earnings (Normalized)
23.69
Price/Sales
2.31
Dividend Yield (Trailing)
3.54%
Dividend Yield (Forward)
3.54%
Dividend Payment Schedule
Mar
Total Yield
3.56%

Company Profile

Kone is a global top-four supplier of elevators and escalators. Kone began producing elevators in Finland in 1918 and today generates revenue in three ways: selling new elevators and escalators, modernizing old equipment, and servicing its installed base. Most of the company's profit comes from the last activity, where contracts are rolled over annually with built-in price increases. The bulk of Kone's business is in elevators, which are more numerous globally than escalators. Its business model is similar to closest competitors Otis, Schindler, and TK Elevator.
Sector
Industrials
Industry
Specialty Industrial Machinery
Stock Style Box
Large Core
Total Number of Employees
64,907

Competitors

Valuation

Metric
KNEBV
SCHN
OTIS
Price/Earnings (Normalized)
23.6925.3816.20
Price/Book Value
11.385.80—
Price/Sales
2.312.481.68
Price/Cash Flow
21.6517.8714.89
Price/Earnings
KNEBV
SCHN
OTIS

Financial Strength

Metric
KNEBV
SCHN
OTIS
Quick Ratio
0.561.170.68
Current Ratio
0.991.380.83
Interest Coverage
19.52138.2010.88
Quick Ratio
KNEBV
SCHN
OTIS

Profitability

Metric
KNEBV
SCHN
OTIS
Return on Assets (Normalized)
10.77%9.37%14.46%
Return on Equity (Normalized)
39.93%22.97%—
Return on Invested Capital (Normalized)
30.40%20.91%55.06%
Return on Assets
KNEBV
SCHN
OTIS

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LOCK|vYRvVG!#LOCK|&^r$36B

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