KION GROUP AG (KGX) AI Stock Analysis

• Market Cap: €7.74B
• Dividend Yield: 1.39%
• Average Volume (3M): 349.86K
• Price to Earnings (P/E): 33.6
• Beta (1Y): 1.95
• Revenue Growth: -2.50%
• EPS Growth: -32.31%
• Country: DE
• Employees: 42,518
• Sector: Industrials
• Sector Strength: 78
• Industry: Agricultural - Machinery
• EPS (TTM): 0.72
• Shares Outstanding: 131,198,650
• 10 Day Avg. Volume: 246,937
• 30 Day Avg. Volume: 349,856
• PEG Ratio: 0.64
• Price to Book (P/B): 0.67
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 3.57
• 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: €58.58
• Price Target Upside: -0.71% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12

• Rating: 65 Neutral
• Price Target: €57.00 ▼(-3.39% Downside)

The overall stock score reflects a mixed financial performance with strong cash flow generation and leverage management. Technical analysis indicates bullish momentum, but the valuation suggests the stock is relatively expensive. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Efficiency Programme

KION implementing an efficiency programme to support longer-term profitability from a position of strength after delivering solid FY24 results.

Stock Valuation

A meaningful upside potential of 47% is implied despite the price target reduction to €50.00.

Negative Factors

Stock Price Reaction

Stock-price reaction to the efficiency programme announcement resulted in a net -2% change since before the announcement.

KION GROUP AG Business Overview & Revenue Model

Company Description

Kion Group AG provides industrial trucks, warehouse technology, supply chain solutions, and related services worldwide. The company operates through Industrial Trucks & Services, and Supply Chain Solutions segments. It develops, manufactures, and sells forklift and warehouse trucks, such as counterbalance trucks with electric drive and internal combustion engine, ride-on and hand-operated industrial trucks, and towing vehicles under the Linde, Fenwick, STILL, Baoli, and OM brand names. The company also manufactures and sells spare parts; leases industrial trucks and related items; offers maintenance and repair, and fleet management services, as well as provides finance solutions. In addition, it provides integrated technology and software solutions, including conveyors, sorters, storage and retrieval systems, picking equipment, palletizers, and automated guided vehicle systems under the Dematic brand. The company was formerly known as KION Holding 1 GmbH. KION GROUP AG was founded in 2006 and is based in Frankfurt am Main, Germany.

How the Company Makes Money

KION GROUP AG generates revenue primarily through the sale of industrial trucks and related services, which include maintenance and spare parts. The company also earns significant income from its software solutions, which enhance warehouse and supply chain management. Key revenue streams include the sale of new equipment, the provision of financing solutions, and long-term service contracts. Additionally, KION has developed strategic partnerships with other firms to enhance its logistics offerings, which further contribute to its earnings. The company's strong focus on innovation and automation in the logistics sector positions it well to capitalize on the growing demand for efficient supply chain solutions.

KION GROUP AG Financial Statement Overview

Summary

KION GROUP AG demonstrates solid financial performance with strengths in cash flow and operational efficiency. However, leverage is a key risk area that needs monitoring. Overall, the financials reflect a stable position with potential for growth, provided debt levels are managed prudently.

Income Statement

The company shows a stable gross profit margin over recent years, indicating efficient production and cost management. However, the net profit margin has fluctuated, with a recent decline due to lower net income in the TTM period. Revenue growth is modest, with slight fluctuations but no major risks identified.

Balance Sheet

The debt-to-equity ratio is relatively high, signaling significant leverage, which could pose risks if not managed carefully. However, the return on equity is reasonable, reflecting decent profitability for shareholders. The equity ratio indicates a balanced asset structure, but the high debt levels are a concern.

Cash Flow

The company has shown strong free cash flow generation, particularly in the TTM period, which is a positive indicator of financial health. The operating cash flow to net income ratio suggests effective conversion of earnings into cash. The consistency in free cash flow growth is a strength.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.26B	11.50B	11.43B	11.14B	10.29B	8.34B
Gross Profit	3.01B	3.09B	2.78B	2.12B	2.52B	2.04B
EBITDA	1.88B	2.02B	1.82B	1.27B	1.79B	1.34B
Net Income	229.90M	360.30M	305.80M	98.00M	568.30M	215.30M
Balance Sheet
Total Assets	18.43B	18.81B	17.39B	16.53B	15.85B	14.06B
Cash, Cash Equivalents and Short-Term Investments	748.50M	787.00M	354.50M	355.90M	517.60M	359.80M
Total Debt	5.39B	7.66B	6.58B	5.98B	5.12B	4.93B
Total Liabilities	12.55B	12.60B	11.62B	10.92B	10.68B	9.78B
Stockholders Equity	5.87B	6.19B	5.77B	5.61B	5.18B	4.28B
Cash Flow
Free Cash Flow	1.06B	1.17B	651.10M	-728.60M	547.90M	243.30M
Operating Cash Flow	1.15B	1.17B	1.14B	-345.90M	881.70M	527.10M
Investing Cash Flow	-490.30M	-468.60M	-428.80M	-369.70M	-337.80M	-406.30M
Financing Cash Flow	-291.70M	-224.70M	-721.70M	562.80M	-386.10M	-4.50M

KION GROUP AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 59.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:KGX, the sentiment is Positive. The current price of 59 is above the 20-day moving average (MA) of 54.53, above the 50-day MA of 50.19, and above the 200-day MA of 39.82, indicating a bullish trend. The MACD of 2.42 indicates Negative momentum. The RSI at 70.83 is Negative, neither overbought nor oversold. The STOCH value of 94.38 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:KGX.

KION GROUP AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8TRA	73 Outperform	€15.99B	7.34	12.80%	5.32%	-2.98%	-14.55%
DTG	70 Neutral	€32.84B	13.50	11.21%	4.59%	-6.83%	-32.20%
KGX	65 Neutral	€7.74B	33.65	3.89%	1.39%	-2.50%	-32.31%
SHA0	65 Neutral	€4.80B	22.28	-24.27%	4.94%	32.82%	-362.06%
JUN3	65 Neutral	€3.39B	11.92	11.92%	2.43%	-1.50%	2.01%
Sector *	59 Neutral	AU$1.63B	11.13	-5.90%	3.58%	9.76%	6.86%
TKA	43 Neutral	€5.53B	―	-9.83%	1.81%	-4.07%	56.41%