Collins Foods (CKF) AI Stock Analysis

• Market Cap: AU$1.24B
• Dividend Yield: 2.42%
• Average Volume (3M): 276.87K
• Price to Earnings (P/E): 140.3
• Beta (1Y): 0.51
• Revenue Growth: 2.06%
• EPS Growth: -84.35%
• Country: AU
• Employees: 15,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 0.23
• Shares Outstanding: 118,019,230
• 10 Day Avg. Volume: 200,679
• 30 Day Avg. Volume: 276,874
• PEG Ratio: -0.83
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 0.41
• P/FCF Ratio: 5.37
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$11.23
• Price Target Upside: 4.52% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: AU$10.00 ▼(-6.89% Downside)

Collins Foods' stock score is primarily influenced by its strong technical momentum and solid cash flow management. However, the high P/E ratio indicates potential overvaluation, and rising debt levels pose financial risks. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Revenue Growth

Sustained revenue growth indicates strong market demand and effective business strategies, supporting long-term business expansion and stability.

Cash Flow Management

Effective cash flow management enhances financial flexibility, enabling reinvestment and potential shareholder returns, crucial for long-term growth.

Cost Management

Efficient cost management through strong gross margins supports profitability, allowing the company to maintain competitive pricing and invest in growth.

Negative Factors

Rising Debt Levels

Increased leverage poses financial risks, potentially straining cash flow and limiting financial flexibility, which could impact long-term stability.

Profitability Challenges

Weakening profitability metrics suggest challenges in operational efficiency, which may hinder the company's ability to sustain long-term profit growth.

Operational Efficiency

Operational inefficiencies can erode profit margins and competitiveness, affecting the company's ability to invest in growth and innovation over time.

Collins Foods Business Overview & Revenue Model

Company Description

Collins Foods Limited (CKF) is a prominent Australian company specializing in the quick-service restaurant sector. The company operates primarily as a franchisee of KFC in Australia and has expanded its portfolio to include other restaurant brands. CKF focuses on delivering quality food and exceptional customer service while maintaining operational efficiency across its restaurant operations. Its core offerings include fried chicken, burgers, and other fast-food items, catering to a diverse customer base across various locations.

How the Company Makes Money

Collins Foods generates revenue primarily through its franchise operations, particularly its KFC restaurants, which constitute a significant portion of its business model. The company earns money by operating these outlets, where it sells food and beverages directly to consumers. Additional revenue streams include franchise fees and royalties from its KFC franchise operations. The company benefits from significant partnerships with suppliers for inventory, ensuring a steady flow of quality ingredients at competitive prices. Furthermore, CKF leverages marketing initiatives and promotions to drive sales, and its focus on customer experience helps in maintaining a loyal customer base, contributing to its overall earnings.

Collins Foods Financial Statement Overview

Summary

Collins Foods exhibits commendable revenue growth and cash flow management, albeit with challenges in maintaining profitability and managing rising debt levels. The company should focus on improving operational efficiency and managing leverage to ensure long-term financial stability.

Income Statement

Collins Foods has shown a strong revenue growth trend over the past few years, but recent profitability metrics such as EBIT and net profit margins have weakened, likely impacting overall profitability. The gross profit margin remains strong, indicating efficient cost management, yet the declining EBIT margin suggests challenges in operational efficiency.

Balance Sheet

The company has maintained a stable equity base, but the rising debt levels have increased the debt-to-equity ratio, posing potential financial risks. The equity ratio is fair, but the high leverage could impact financial stability if not managed carefully.

Cash Flow

Collins Foods has demonstrated strong operating cash flow, which is a positive indicator of cash-generating ability relative to net income. Free cash flow growth has been positive, supporting potential for reinvestment and shareholder returns, despite some fluctuations in capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.50B	1.52B	1.49B	1.35B	1.18B	1.07B
Gross Profit	754.99M	776.42M	750.95M	676.27M	619.34M	559.91M
EBITDA	186.24M	186.24M	227.85M	146.26M	203.99M	174.32M
Net Income	8.83M	8.83M	76.72M	12.75M	54.80M	32.95M
Balance Sheet
Total Assets	1.48B	1.48B	1.42B	1.54B	1.41B	1.27B
Cash, Cash Equivalents and Short-Term Investments	119.12M	119.12M	83.82M	80.24M	97.22M	95.72M
Total Debt	890.83M	890.83M	834.54M	843.37M	748.38M	669.30M
Total Liabilities	1.08B	1.08B	991.78M	1.16B	889.44M	790.87M
Stockholders Equity	405.32M	405.32M	426.44M	384.50M	393.53M	362.60M
Cash Flow
Free Cash Flow	115.69M	115.69M	93.64M	70.59M	83.12M	81.35M
Operating Cash Flow	181.44M	181.44M	176.39M	146.22M	156.33M	128.25M
Investing Cash Flow	-67.91M	-67.91M	-53.55M	-93.54M	-97.31M	-50.92M
Financing Cash Flow	-77.97M	-77.97M	-118.90M	-65.94M	-61.95M	-93.03M

Collins Foods Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CKF, the sentiment is Positive. The current price of 10.74 is below the 20-day moving average (MA) of 10.76, above the 50-day MA of 10.64, and above the 200-day MA of 8.94, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 52.07 is Neutral, neither overbought nor oversold. The STOCH value of 41.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:CKF.

Collins Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CKF	63 Neutral	AU$1.24B	140.27	2.40%	2.42%	2.06%	-84.35%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DMP	59 Neutral	AU$1.79B	-405.81	-0.70%	4.08%	-3.09%	-104.37%
GYG	55 Neutral	AU$2.66B	180.58	3.94%	0.51%	27.40%	―
RFG	53 Neutral	$93.77M	―	-6.95%	―	10.13%	-353.94%
AMA	50 Neutral	AU$4.45B	-547.06	-4.58%	―	13.54%	66.33%
OLI	41 Neutral	AU$5.41M	―	―	―	-6.32%	-9.62%

Collins Foods Corporate Events

State Street Corporation Ceases Substantial Holding in Collins Foods

Collins Foods Limited has announced a change in substantial holding, with State Street Corporation and its subsidiaries ceasing to be substantial holders as of October 17, 2025. This change in holding may impact Collins Foods’ shareholder structure and could influence future voting outcomes and strategic decisions within the company.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.23 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Hosts Investor Day to Strengthen Market Position

Collins Foods Limited announced the holding of an Investor Day on October 21, 2025, aimed at engaging with investors and presenting the company’s strategic direction. The event is expected to impact Collins Foods’ operations by potentially strengthening investor relations and enhancing its market positioning.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.23 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

State Street Corporation Ceases Substantial Holding in Collins Foods

Collins Foods Limited has announced that State Street Corporation and its subsidiaries have ceased to be substantial holders in the company. This change in substantial holding may impact the company’s shareholder structure and could have implications for its market positioning and stakeholder relationships.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.23 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Completes Refinancing of Debt Facilities

Collins Foods Limited, a company listed on the Australian Securities Exchange, has successfully completed the financial close of its refinanced syndicated debt facilities. This development marks a significant step in the company’s financial strategy, potentially enhancing its operational flexibility and market positioning.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.23 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Issues Unquoted Securities Under Employee Incentive Scheme

Collins Foods Limited announced the issuance of unquoted securities under its employee incentive scheme, with a total of 1,542 ownership share plan rights being allocated. This move is part of the company’s strategy to incentivize employees and align their interests with the company’s growth objectives, potentially strengthening its position in the competitive food service industry.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.20 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Issues Unquoted Securities to Boost Employee Engagement

Collins Foods Limited announced the issuance of 55,320 unquoted securities under its employee incentive scheme, which are not intended to be quoted on the ASX. This move is part of the company’s strategy to align employee interests with its growth objectives, potentially enhancing its operational efficiency and market competitiveness.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.20 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Secures New Debt Refinancing to Fuel Growth

Collins Foods Limited has successfully negotiated a refinancing of its syndicated debt facilities, transitioning from existing facilities of $180 million and €145 million to new revolving facilities amounting to $120 million and €200 million. This refinancing, with maturities extending to 2028 and 2030, underscores the company’s strong banking relationships and credit quality, and is expected to support its strategic growth plans in Australia and internationally.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.20 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Updates Cessation of Securities Notification

Collins Foods Limited announced an update to a previous notification regarding the cessation of securities. The update involves an amendment to the number of Performance Rights that lapsed, specifically reducing the count by 2,085, which were previously included in an earlier announcement. This adjustment reflects the company’s ongoing management of its issued capital and may have implications for its financial reporting and stakeholder communications.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$12.20 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods AGM Resolutions Passed with Strong Support

Collins Foods Limited announced that all resolutions proposed at its Annual General Meeting on September 2, 2025, were passed with the required majority. This outcome reflects strong shareholder support for the company’s strategic direction and governance, potentially reinforcing its stable position within the industry and signaling confidence to stakeholders.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$10.13 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Reports Transformative Year with Strategic Focus on KFC Expansion

Collins Foods Limited reported a transformative year in FY25, focusing on the profitable expansion of KFC in Australia and Germany under the leadership of new CEO Xavier Simonet. The company achieved a record revenue of over $1.5 billion despite challenging conditions, with strategic decisions including exiting the Taco Bell business and moderating development in the Netherlands to improve profitability. The appointment of Xavier Simonet as CEO is expected to drive further growth and profitability, supported by a strong executive team. The company declared a final dividend of 15.0 cents per share, reflecting its commitment to delivering shareholder value.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$10.60 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Announces Cessation of Performance Rights

Collins Foods Limited announced the cessation of 227,628 performance rights due to unmet conditions, as detailed in their recent securities update. This development may affect the company’s capital structure and could have implications for stakeholders, reflecting challenges in meeting performance criteria.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$10.60 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Issues Unquoted Securities Under Employee Incentive Scheme

Collins Foods Limited has announced the issuance of 330 unquoted securities under its employee incentive scheme, which are not intended to be quoted on the ASX. This move is part of the company’s strategy to incentivize employees and align their interests with the company’s growth objectives, potentially impacting its operational efficiency and stakeholder engagement positively.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$11.00 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Announces Cessation of Certain Securities

Collins Foods Limited has announced the cessation of certain securities due to unmet conditions. Specifically, 6,473 performance rights and 3,964 ownership share plan rights have lapsed as the conditions for these securities were not satisfied by August 8, 2025. This announcement may impact the company’s capital structure and could have implications for stakeholders, particularly those involved in these specific securities.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$11.00 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Director’s Interest Update

Collins Foods Limited announced a change in the director’s interest, specifically regarding Nicki Anderson’s indirect interest in the company. The change involved the acquisition of 135 ordinary fully paid shares through a Dividend Reinvestment Plan, increasing her total holdings to 8,192 shares. This update reflects ongoing adjustments in the company’s governance and financial strategies, potentially impacting shareholder perceptions and market positioning.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$11.00 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Limited Issues New Securities on ASX

Collins Foods Limited has announced the issuance of 75,934 fully paid ordinary securities, which will be quoted on the Australian Securities Exchange (ASX) under the code CKF. This move is part of a dividend or distribution plan, potentially impacting the company’s financial structure and providing value to shareholders.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$11.00 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Announces 2025 AGM with Hybrid Participation

Collins Foods Limited has announced its 2025 Annual General Meeting (AGM), scheduled for September 2, 2025, in Brisbane, with options for shareholders to participate both in person and online. The hybrid meeting format allows for real-time voting and questioning, emphasizing shareholder engagement and accessibility, which could enhance stakeholder relations and operational transparency.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$11.00 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.

Collins Foods Updates Dividend Distribution with DRP Price

Collins Foods Limited has announced an update regarding its dividend distribution, specifically noting the availability of the Dividend Reinvestment Plan (DRP) price. This update pertains to the dividend for the period ending April 27, 2025, and reflects the company’s ongoing commitment to shareholder returns, potentially impacting investor decisions and market perception.

The most recent analyst rating on (AU:CKF) stock is a Buy with a A$11.00 price target. To see the full list of analyst forecasts on Collins Foods stock, see the AU:CKF Stock Forecast page.