-0.91%
4.54%
-0.52%
6.02%
8.84%
-12.62%
-14.18%

Company Description

KONE Oyj, together with its subsidiaries, engages in the elevator and escalator business worldwide.It offers elevators, escalators, and automatic building doors.The company also provides maintenance services; modernization solutions; and various residential solutions.


In addition, it offers KONE Office Flow, a connected solution that allows for personalized user experiences and touch-free access; health and well-being solutions for elevators, escalators, and doors; KONE Residential Flow, a smarter building solution for the movement of people, goods, and information; KONE Access, an access control system, which is integrated with elevator system and building doors; KONE Destination, a destination control system that reduce waiting and travel times; KONE infotainment, a communication channel for building tenants and visitors; and monitoring solutions that enable real-time inspection of elevators and escalators.Further, the company provides people flow planning and consulting services; and solutions for special buildings and large projects.KONE Oyj was founded in 1908 and is based in Espoo, Finland.

Market Data

Last Price 50
Change Percentage -0.91%
Open 50.5
Previous Close 50.46
Market Cap ( Millions) 26299
Volume 1295510
Year High 54.78
Year Low 41.33
M A 50 47.82
M A 200 48.24

Financial Ratios

FCF Yield 2.94%
Dividend Yield 3.50%
ROE 40.47%
Debt / Equity 23.48%
Net Debt / EBIDTA 11.06%
Price To Book 10.03
Price Earnings Ratio 26.18
Price To FCF 34.07
Price To sales 2.41
EV / EBITDA 16.65

Business Breakdown

Expected Mid-Term Growth

Segment n°1 -> New Building Solutions

Expected Growth : 3.5 %

What the company do ?

New Building Solutions from KONE Oyj offers comprehensive elevator and escalator solutions for new construction projects, ensuring efficient people flow and sustainable building operations.

Why we expect these perspectives ?

KONE Oyj's New Building Solutions segment growth of 3.5% is driven by increasing urbanization, demand for energy-efficient and sustainable buildings, and adoption of digital technologies such as IoT and AI in building management. Additionally, growing construction activities in emerging markets and government initiatives for infrastructure development also contribute to the segment's growth.

Segment n°2 -> Service

Expected Growth : 2.8 %

What the company do ?

KONE Oyj's service provides innovative and eco-efficient solutions for elevators, escalators, and autowalks, enhancing people flow in buildings.

Why we expect these perspectives ?

KONE Oyj's 2.8% growth in service segment is driven by increasing urbanization, growing demand for elevator modernization, and expansion in emerging markets. Additionally, the company's focus on digitalization, energy-efficient solutions, and maintenance services also contribute to its growth. Furthermore, KONE's strong brand reputation and long-term customer relationships support its steady growth in the service segment.

Segment n°3 -> Modernization

Expected Growth : 3.2 %

What the company do ?

KONE Oyj's modernization involves upgrading old elevators with new technology, improving energy efficiency, safety, and accessibility, while minimizing downtime and environmental impact.

Why we expect these perspectives ?

KONE Oyj's 3.2% modernization growth driven by increasing urbanization, aging infrastructure, and rising demand for energy-efficient solutions. Growing need for elevator and escalator modernization in existing buildings, particularly in Asia and Europe, fuels growth. Additionally, technological advancements and innovative solutions, such as digitalization and IoT integration, contribute to the company's growth momentum.

Kone Oyj Products

Product Range What is it ?
Elevators KONE Oyj provides a wide range of elevator solutions for various building types, including residential, commercial, and industrial buildings.
Escalators KONE Oyj offers a variety of escalator solutions for shopping centers, airports, and other high-traffic areas.
Moving Walks KONE Oyj provides moving walk solutions for airports, shopping centers, and other high-traffic areas.
Autowalks KONE Oyj offers autowalk solutions for airports and other high-traffic areas.
Modernization Solutions KONE Oyj provides modernization solutions to upgrade and improve the performance of existing elevators and escalators.
Maintenance and Repairs KONE Oyj offers maintenance and repair services to ensure the smooth operation of elevators and escalators.
KONE Care KONE Oyj provides KONE Care, a comprehensive maintenance and repair service that ensures the optimal performance of elevators and escalators.

KONE Oyj's Porter Forces

KONE Oyj operates in the elevator and escalator industry, where substitutes are limited. However, the company faces competition from other manufacturers, which can be considered as substitutes.

KONE Oyj has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are often customized, making it difficult for customers to switch to alternative suppliers.

KONE Oyj relies on a network of suppliers for components and materials. While the company has some bargaining power due to its size, suppliers may still have some negotiating power, particularly for specialized components.

The elevator and escalator industry has high barriers to entry, including significant capital requirements and regulatory hurdles. This makes it difficult for new entrants to join the market.

The elevator and escalator industry is highly competitive, with several established players competing for market share. KONE Oyj faces intense competition from companies like Otis, Schindler, and ThyssenKrupp.

Capital Structure

Value
Debt Weight 16.72%
Debt Cost 5.93%
Equity Weight 83.28%
Equity Cost 6.90%
WACC 6.74%
Leverage 20.08%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
ETN Eaton Corporation plc operates as a power management company worldwide. The company's Electrical Americas and Electrical Global segment provides electrical components, industrial components, power distribution and assemblies, residential products, single …
SCHP.SW Schindler Holding AG engages in the production, installation, maintenance, and modernization of elevators, escalators, and moving walks worldwide. It also offers digital media services for providing information, communication, and entertainment …
ALFA.ST Alfa Laval AB (publ) provides heat transfer, separation, and fluid handling products and solutions worldwide. The company operates in three divisions: Energy, Food & Water, and Marine. It offers oil/gas-fired …
SAND.ST Sandvik AB (publ) operates as an engineering company in the areas of mining and rock excavation, rock processing, manufacturing and machining, and materials technology in Sweden and internationally. The company …
SIE.DE Siemens Aktiengesellschaft, a technology company, focuses in the areas of automation and digitalization in Europe, Commonwealth of Independent States, Africa, the Middle East, the Americas, Asia, and Australia. It operates …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
50.0$
Current Price
50$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

🥇

Schindler Logo
Schindler
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

🥈

KONE Logo
KONE
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

🥉

Siemens Logo
Siemens
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

4

Alfa Laval Logo
Alfa Laval
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

5

Sandvik Logo
Sandvik
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

6

Eaton Logo
Eaton
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->