KME Group SpA (IKG) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

KME Group SpA

Why is KME Group SpA ?

Weak Long Term Fundamental Strength as the company has not declared results in the last 6 months

Poor long term growth as Net Sales has grown by an annual rate of -61.60% and Operating profit at -4.64%

Flat results in Jun 25

ROCE(HY) Lowest at -29.25%
DEBT-EQUITY RATIO (HY) Highest at 316.8 %
RAW MATERIAL COST(Y) Grown by 10.86% (YoY)

With ROE of 2.88%, it has a Very Expensive valuation with a 1.26 Price to Book Value

Over the past year, while the stock has generated a return of -1.86%, its profits have risen by 103.8% ; the PEG ratio of the company is 0.4

Underperformed the market in the last 1 year

Even though the market (Italy FTSE MIB) has generated returns of 16.45% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -1.86% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Minerals & Mining)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is KME Group SpA for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

KME Group SpA

-1.86%

6.51

25.92%

Italy FTSE MIB

16.45%

0.84

19.51%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-61.60%

EBIT Growth (5y)

-4.64%

EBIT to Interest (avg)

0.91

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.06

Tax Ratio

12.98%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.75%

ROE (avg)

1.30%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.26

EV to EBIT

15.51

EV to EBITDA

14.08

EV to Capital Employed

1.58

EV to Sales

5.93

PEG Ratio

0.42

Dividend Yield

ROCE (Latest)

10.22%

ROE (Latest)

2.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

NET PROFIT(HY)

Higher at EUR -28.87 MM

NET SALES(Q)

At EUR 1,036.74 MM has Grown at 29.17%

-6What is not working for the Company

ROCE(HY)

Lowest at -29.25%

DEBT-EQUITY RATIO (HY)

Highest at 316.8 %

RAW MATERIAL COST(Y)

Grown by 10.86% (YoY

CASH AND EQV(HY)

Lowest at EUR 105.96 MM

Here's what is working for KME Group SpA

Net Profit

Higher at EUR -28.87 MM

than preceding 12 month period ended Jun 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (EUR MM)

Net Sales

At EUR 1,036.74 MM has Grown at 29.17%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (EUR MM)

Depreciation

At EUR 27.33 MM has Grown at 28.38%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (EUR MM)

Here's what is not working for KME Group SpA

Debt-Equity Ratio

Highest at 316.8 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Cash and Eqv

Lowest at EUR 105.96 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 10.86% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales