Analyzing Kemet Corporation (KEM) and Its Rivals

Kemet Corporation (NYSE: KEM) is one of 32 publicly-traded companies in the “Electronic Component” industry, but how does it compare to its rivals? We will compare Kemet Corporation to similar businesses based on the strength of its valuation, analyst recommendations, dividends, earnings, profitability, risk and institutional ownership.

Earnings & Valuation

This table compares Kemet Corporation and its rivals gross revenue, earnings per share and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Kemet Corporation $846.86 million $110.10 million 4.16
Kemet Corporation Competitors $895.26 million $186.21 million 10.31

Kemet Corporation’s rivals have higher revenue and earnings than Kemet Corporation. Kemet Corporation is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Risk & Volatility

Kemet Corporation has a beta of 3.55, indicating that its stock price is 255% more volatile than the S&P 500. Comparatively, Kemet Corporation’s rivals have a beta of 1.02, indicating that their average stock price is 2% more volatile than the S&P 500.

Profitability

This table compares Kemet Corporation and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Kemet Corporation 33.25% 20.21% 4.53%
Kemet Corporation Competitors 2.04% -1.99% 0.66%

Institutional & Insider Ownership

67.3% of Kemet Corporation shares are owned by institutional investors. Comparatively, 56.1% of shares of all “Electronic Component” companies are owned by institutional investors. 3.9% of Kemet Corporation shares are owned by insiders. Comparatively, 9.1% of shares of all “Electronic Component” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and target prices for Kemet Corporation and its rivals, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Kemet Corporation 0 1 1 0 2.50
Kemet Corporation Competitors 98 350 506 6 2.44

Kemet Corporation currently has a consensus target price of $18.13, suggesting a potential downside of 10.67%. As a group, “Electronic Component” companies have a potential downside of 1.95%. Given Kemet Corporation’s rivals higher probable upside, analysts clearly believe Kemet Corporation has less favorable growth aspects than its rivals.

Summary

Kemet Corporation beats its rivals on 7 of the 13 factors compared.

Kemet Corporation Company Profile

KEMET Corporation (KEMET) is a manufacturer of passive electronic components. The Company operates in two segments: Solid Capacitors, and Film and Electrolytic. The Solid Capacitors segment primarily produces tantalum, aluminum, polymer and ceramic capacitors. Solid Capacitors also produces tantalum powder used in the production of tantalum capacitors. The Film and Electrolytic Business Group produces film, paper and wet aluminum electrolytic capacitors. It also designs and produces EMI Filters. The Company’s product offerings include surface mount, which are attached directly to the circuit board; leaded capacitors, which are attached to the circuit board using lead wires, and chassis-mount and other pin-through-hole board-mount capacitors, which utilize attachment methods, such as screw terminal and snap-in. The Company sells its products to a range of original equipment manufacturers (OEMs) and electronics manufacturing services (EMS) providers.

Receive News & Ratings for Kemet Corporation Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Kemet Corporation and related companies with MarketBeat.com's FREE daily email newsletter.

Latest News

Leave a Reply