Kingspan Group (KGSPY) AI Stock Analysis

• Market Cap: $14.99B
• Dividend Yield: 0.75%
• Average Volume (3M): 785.00
• Price to Earnings (P/E): 21.0
• Beta (1Y): 0.86
• Revenue Growth: 6.45%
• EPS Growth: 3.66%
• Country: US
• Employees: 24,802
• Sector: Industrials
• Sector Strength: 93
• Industry: Construction
• EPS (TTM): 2.15
• Shares Outstanding: 182,061,230
• 10 Day Avg. Volume: 927
• 30 Day Avg. Volume: 785
• PEG Ratio: -19.40
• Price to Book (P/B): 3.04
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 32.99
• 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: $96.00
• Price Target Upside: 16.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: $94.00 ▲(13.72%Upside)

Kingspan Group's strong financial performance is the primary driver of its overall score, supported by consistent revenue and profit growth. However, technical analysis indicates mixed signals with potential medium-term challenges. The valuation is less attractive, with a high P/E ratio and low dividend yield, which slightly dampens the overall score.

Kingspan Group Business Overview & Revenue Model

Company Description

Kingspan Group plc is a global leader in high-performance insulation and building envelope solutions. The company operates across several sectors including insulation, light and air, water and energy, data and flooring technologies, and industrialized building systems. Kingspan's core products include advanced insulation systems, architectural facades, and raised access floors, all designed to enhance building performance and sustainability.

How the Company Makes Money

Kingspan Group generates revenue primarily through the manufacture and sale of its high-performance building products and solutions. The company's key revenue streams include sales of insulation panels, structural products, and integrated building systems to industrial, commercial, and residential sectors. Kingspan's earnings are bolstered by its commitment to innovation and sustainability, driving demand for products that improve energy efficiency and reduce carbon footprints. The company also benefits from strategic acquisitions and partnerships that expand its market reach and product offerings, as well as its strong presence in various international markets, which mitigates regional economic fluctuations and enhances revenue stability.

Kingspan Group Financial Statement Overview

Summary

Kingspan Group exhibits strong financial performance with consistent revenue and profit growth. The income statement reflects efficient operations and profitability, while the balance sheet shows a solid financial foundation with stable leverage and strong ROE. Despite a slight dip in operating cash flow, the company's cash flow position remains healthy, supporting ongoing investments and financial flexibility.

Income Statement

Kingspan Group has demonstrated strong revenue growth with a notable increase from €4,576M in 2020 to €8,608M in 2024. Gross profit margin is healthy at 29.6% for 2024, indicating efficient cost management. Net profit margin has improved to 7.7% in 2024 from 8.1% in 2023, showing enhanced profitability. EBIT and EBITDA margins are stable, reflecting robust operating performance.

Balance Sheet

The balance sheet exhibits a solid equity position with an equity ratio of 43.7% in 2024. The debt-to-equity ratio is manageable at 0.66, indicating a balanced approach to leverage. ROE is strong at 15.5%, showcasing effective utilization of equity for generating profits. The increased total assets and shareholder equity reflect growth and financial stability.

Cash Flow

Operating cash flow remains strong at €894.5M in 2024, albeit a decrease from €1,162M in 2023. Free cash flow is €527.8M, reflecting the company's ability to generate cash after capital expenditures. The operating cash flow to net income ratio is robust at 1.34, indicating efficient cash generation relative to earnings. However, free cash flow growth rate has declined compared to previous years.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.61B	8.09B	8.34B	6.50B	4.58B
Gross Profit	2.55B	2.34B	2.22B	1.86B	1.39B
EBITDA	1.18B	1.09B	983.50M	893.10M	629.30M
Net Income	665.50M	640.30M	598.00M	554.10M	373.60M
Balance Sheet
Total Assets	9.82B	8.00B	7.68B	6.39B	5.34B
Cash, Cash Equivalents and Short-Term Investments	1.01B	938.70M	649.30M	641.40M	1.33B
Total Debt	2.82B	2.14B	2.39B	1.56B	1.70B
Total Liabilities	5.23B	4.05B	4.29B	3.43B	2.94B
Stockholders Equity	4.29B	3.85B	3.32B	2.89B	2.35B
Cash Flow
Free Cash Flow	527.80M	924.50M	422.80M	160.40M	506.70M
Operating Cash Flow	894.50M	1.16B	692.00M	329.20M	638.50M
Investing Cash Flow	-1.11B	-458.30M	-1.30B	-708.70M	-171.20M
Financing Cash Flow	254.60M	-416.30M	630.80M	-351.70M	712.90M

Kingspan Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 82.66
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KGSPY, the sentiment is Negative. The current price of 82.66 is below the 20-day moving average (MA) of 84.42, below the 50-day MA of 85.66, and above the 200-day MA of 81.24, indicating a neutral trend. The MACD of -0.50 indicates Positive momentum. The RSI at 44.24 is Neutral, neither overbought nor oversold. The STOCH value of 54.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KGSPY.

Kingspan Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LII	75 Outperform	$21.44B	26.93	131.48%	0.86%	7.78%	30.10%
CSL	74 Outperform	$17.24B	23.03	33.11%	1.00%	-0.14%	11.31%
KGSPY	73 Outperform	$14.99B	20.97	16.56%	0.75%	6.45%	3.66%
BLDR	72 Outperform	$14.48B	16.16	19.62%	―	-5.49%	-33.51%
OC	71 Outperform	$12.27B	51.81	11.93%	1.91%	16.16%	-77.11%
MAS	66 Neutral	$13.90B	18.02	-118.61%	1.92%	-2.67%	-10.72%
Sector *	65 Neutral	$10.90B	15.41	5.26%	1.89%	3.11%	-26.85%