World Kinect (WKC) AI Stock Analysis

• Market Cap: $1.49B
• Dividend Yield: 2.65%
• Average Volume (3M): 595.66K
• Price to Earnings (P/E): 119.1
• Beta (1Y): 1.04
• Revenue Growth: -16.09%
• EPS Growth: -436.27%
• Country: US
• Employees: 4,745
• Sector: Energy
• Sector Strength: 53
• Industry: Oil & Gas Refining & Marketing
• EPS (TTM): 0.59
• Shares Outstanding: 55,544,560
• 10 Day Avg. Volume: 585,558
• 30 Day Avg. Volume: 595,661
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.35
• Enterprise Value/Revenue: 0.05
• Enterprise Value/Gross Profit: 2.03
• Enterprise Value/Ebitda: -7.83
• 1Y Price Target: $28.33
• Price Target Upside: 5.83% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3

• Rating: 48 Neutral
• Price Target: $26.00 ▼(-2.88% Downside)

World Kinect's overall stock score is primarily impacted by weak financial performance and bearish technical indicators. The negative P/E ratio and moderate dividend yield further reflect market concerns. While the earnings call highlighted some positive aspects, significant challenges remain.

Positive Factors

Dividend Growth

World Kinect increased its quarterly dividend 21%, from $0.14/sh to $0.17/sh, as the company has posted a 14% dividend CAGR from 2020 to 2023.

Share Repurchase Program

World Kinect Corporation (WKC) added $200 mil to its share repurchase authorization, resulting in a total ~$308 mil potential buyback.

Negative Factors

Financial Performance

Financial results did not meet consensus expectations, impacting the investment outlook.

World Kinect Business Overview & Revenue Model

Company Description

World Kinect (WKC) is a leading global provider of energy solutions, specializing in the supply and management of fuels, energy logistics, and related services. Operating across various sectors including commercial, industrial, and governmental markets, WKC delivers innovative energy products such as natural gas, heating oil, propane, and electricity. The company is committed to sustainability and offers customers tailored solutions that enhance efficiency and reduce environmental impact.

How the Company Makes Money

World Kinect generates revenue primarily through the sale of energy products and services, including fuel supply contracts, energy management solutions, and logistics services. Key revenue streams include direct sales of natural gas, propane, and heating oil, as well as long-term contracts with businesses and government entities for energy procurement. Additionally, WKC earns revenue from value-added services like energy consulting and sustainability solutions. Significant partnerships with energy producers and logistics providers enhance WKC's market reach and operational efficiency, contributing to its earnings. The company's focus on sustainable practices also positions it favorably in a market increasingly driven by environmental considerations.

World Kinect Financial Statement Overview

Summary

World Kinect faces a challenging financial environment, with declining revenues and profitability impacting its financial health. The income statement shows significant weaknesses, with negative net income and EBIT margin. The balance sheet reflects a moderate position with manageable leverage, but negative trends in income and cash flow metrics indicate potential risks.

Income Statement

World Kinect's income statement shows significant weaknesses, with a negative net income and EBIT margin in the TTM period. Revenue has decreased from previous years, with a sharp decline of 8.1% from 2024 to TTM. The gross profit margin is relatively low at 2.55%, indicating potential inefficiencies in cost management or declining market conditions.

Balance Sheet

The balance sheet reflects a moderate financial position with a debt-to-equity ratio of 0.51, suggesting manageable leverage. However, the return on equity is negative due to net losses, which is a concern for long-term sustainability. The equity ratio stands at 26.4%, providing a stable capital structure despite recent challenges.

Cash Flow

Cash flow analysis highlights a decline in operating cash flow compared to previous years, with a drop of 13.6% from 2024. The free cash flow to net income ratio is negative, reflecting insufficient cash generation relative to reported losses. While the company maintains positive free cash flow, the growth rate has declined substantially.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.75B	42.17B	47.71B	59.04B	31.34B	20.36B
Gross Profit	989.80M	1.03B	1.06B	1.09B	788.20M	851.80M
EBITDA	-256.60M	332.40M	306.70M	366.10M	226.80M	295.60M
Net Income	-428.70M	67.40M	52.90M	114.10M	73.70M	109.60M
Balance Sheet
Total Assets	6.05B	6.73B	7.38B	8.16B	5.94B	4.50B
Cash, Cash Equivalents and Short-Term Investments	403.20M	382.90M	304.30M	298.40M	652.20M	658.80M
Total Debt	818.40M	880.80M	1.08B	1.05B	508.70M	682.20M
Total Liabilities	4.45B	4.78B	5.43B	6.17B	4.03B	2.59B
Stockholders Equity	1.60B	1.95B	1.94B	1.98B	1.91B	1.91B
Cash Flow
Free Cash Flow	158.30M	191.70M	183.70M	59.90M	134.00M	552.80M
Operating Cash Flow	224.50M	259.90M	271.30M	138.50M	173.20M	604.10M
Investing Cash Flow	-104.10M	64.50M	-101.10M	-724.90M	-58.30M	72.80M
Financing Cash Flow	-246.90M	-230.60M	-152.40M	237.30M	-113.60M	-213.00M

World Kinect Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 26.77
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WKC, the sentiment is Neutral. The current price of 26.77 is above the 20-day moving average (MA) of 26.01, below the 50-day MA of 27.48, and below the 200-day MA of 27.27, indicating a neutral trend. The MACD of -0.45 indicates Negative momentum. The RSI at 53.51 is Neutral, neither overbought nor oversold. The STOCH value of 83.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for WKC.

World Kinect Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	57 Neutral	HK$79.55B	1.46	9.82%	5.38%	0.58%	-47.38%
CAPL	54 Neutral	$803.91M	19.10	666.62%	9.96%	-10.51%	101.44%
PARR	52 Neutral	$1.59B	3.02	-1.59%	―	-13.09%	-103.24%
DK	51 Neutral	$1.36B	―	-200.75%	4.17%	-29.94%	-723.41%
PBF	51 Neutral	$2.81B	―	-17.30%	4.52%	-18.73%	-236.79%
CVI	49 Neutral	$2.74B	268.82	-50.65%	10.12%	-15.98%	-160.88%
WKC	48 Neutral	$1.49B	119.08	-23.62%	2.65%	-16.09%	-436.27%

World Kinect Corporate Events

World Kinect Appoints Gregory Piper to Board

On July 17, 2025, World Kinect Corporation appointed Gregory F. Piper to its Board of Directors, where he will also serve on the Compensation Committee. Mr. Piper brings over 35 years of experience in the global energy, commodity, and agriculture sectors, which is expected to be a strategic asset for the company. His extensive background includes leadership roles at CP Energy and Gavilon Energy, where he managed significant strategic initiatives and transactions. This appointment is anticipated to strengthen World Kinect’s industry positioning and operational expertise.

World Kinect Approves 2025 Omnibus Plan at Shareholder Meeting

On June 5, 2025, World Kinect Corporation held its Annual Meeting of Shareholders, where the 2025 Omnibus Plan was approved. This plan aims to attract and retain key personnel by offering equity-based and cash-based incentives. The plan replaces previous plans and allows for performance-based awards, with a total of 1,850,000 shares available for grants. Additionally, the shareholders elected directors for the upcoming term, approved executive compensation, and ratified the appointment of PricewaterhouseCoopers LLP as the independent auditor for 2025.