Kaiser Aluminum Valuation

KALU Stock  USD 89.36  1.16  1.32%   
At this time, the firm appears to be overvalued. Kaiser Aluminum secures a last-minute Real Value of $80.47 per share. The latest price of the firm is $89.36. Our model forecasts the value of Kaiser Aluminum from analyzing the firm fundamentals such as Current Valuation of 2.36 B, profit margin of 0.02 %, and Return On Equity of 0.0736 as well as examining its technical indicators and probability of bankruptcy. In general, most investors recommend acquiring undervalued stocks and selling overvalued stocks since, at some point, asset prices and their ongoing real values will merge together.
Price Book
2.091
Enterprise Value
2.4 B
Enterprise Value Ebitda
11.3048
Price Sales
0.4472
Forward PE
25.5754
Overvalued
Today
89.36
Please note that Kaiser Aluminum's price fluctuation is very steady at this time. Calculation of the real value of Kaiser Aluminum is based on 3 months time horizon. Increasing Kaiser Aluminum's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Kaiser Aluminum is useful when determining the fair value of the Kaiser stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Kaiser Aluminum. Since Kaiser Aluminum is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Kaiser Stock. However, Kaiser Aluminum's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  89.36 Real  80.47 Target  74.5 Hype  89.1 Naive  87.46
The real value of Kaiser Stock, also known as its intrinsic value, is the underlying worth of Kaiser Aluminum Company, which is reflected in its stock price. It is based on Kaiser Aluminum's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Kaiser Aluminum's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Kaiser Aluminum's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
80.47
Real Value
97.02
Upside
Estimating the potential upside or downside of Kaiser Aluminum helps investors to forecast how Kaiser stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Kaiser Aluminum more accurately as focusing exclusively on Kaiser Aluminum's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.620.620.62
Details
Hype
Prediction
LowEstimatedHigh
86.6589.1091.55
Details
Potential
Annual Dividend
LowForecastedHigh
1.942.052.17
Details
4 Analysts
Consensus
LowTarget PriceHigh
67.8074.5082.70
Details

Kaiser Aluminum Investments

(151.15 Million)

Kaiser Aluminum Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Kaiser Aluminum's current stock value. Our valuation model uses many indicators to compare Kaiser Aluminum value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Kaiser Aluminum competition to find correlations between indicators driving Kaiser Aluminum's intrinsic value. More Info.
Kaiser Aluminum is currently regarded as number one stock in price to earning category among related companies. It is rated third overall in price to book category among related companies fabricating about  0.01  of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Kaiser Aluminum is roughly  142.12 . Price To Book Ratio is likely to gain to 1,849 in 2024. Comparative valuation analysis is a catch-all model that can be used if you cannot value Kaiser Aluminum by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Kaiser Aluminum's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Kaiser Aluminum's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Kaiser Aluminum's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Kaiser Aluminum and how it compares across the competition.

About Kaiser Aluminum Valuation

The stock valuation mechanism determines the current worth of Kaiser Aluminum on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Kaiser Aluminum. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Kaiser Aluminum based exclusively on its fundamental and basic technical indicators. By analyzing Kaiser Aluminum's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Kaiser Aluminum's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Kaiser Aluminum. We calculate exposure to Kaiser Aluminum's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Kaiser Aluminum's related companies.
Last ReportedProjected for 2024
Gross Profit223.5 M183.3 M
Pretax Profit Margin 0.02  0.02 
Operating Profit Margin 0.03  0.03 
Net Profit Margin 0.02  0.02 
Gross Profit Margin 0.07  0.07 

8 Steps to conduct Kaiser Aluminum's Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Kaiser Aluminum's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Kaiser Aluminum's valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain Kaiser Aluminum's financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine Kaiser Aluminum's revenue streams: Identify Kaiser Aluminum's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research Kaiser Aluminum's industry and market trends, including the size of the market, growth rate, and competition.
  • Establish Kaiser Aluminum's growth potential: Evaluate Kaiser Aluminum's management, business model, and growth potential.
  • Determine Kaiser Aluminum's financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Kaiser Aluminum's estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.
Kaiser Aluminum's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Kaiser Aluminum's value is low or high relative to the company's performance and growth projections. Determining the market value of Kaiser Aluminum can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Kaiser Aluminum represents a small ownership stake in the entity. As a stockholder of Kaiser, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Kaiser Aluminum Dividends Analysis For Valuation

Dividend Payout Ratio is likely to gain to 1.12 in 2024, despite the fact that Dividends Paid is likely to grow to (47.9 M). . At this time, Kaiser Aluminum's Retained Earnings are comparatively stable compared to the past year. Price Earnings Ratio is likely to gain to about 25.5 K in 2024, whereas Retained Earnings Total Equity is likely to drop slightly above 11.4 M in 2024.
Last ReportedProjected for 2024
Dividends Paid-50.4 M-47.9 M
Dividend Yield 0.000044  0.000042 
Dividend Payout Ratio 1.07  1.12 
Dividend Paid And Capex Coverage Ratio(2.28)(2.40)
There are various types of dividends Kaiser Aluminum can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Kaiser shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Kaiser Aluminum directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Kaiser pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Kaiser Aluminum by the value of the dividends paid out.

Kaiser Aluminum Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Kaiser Aluminum does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding16.1 B
Quarterly Earnings Growth Y O Y1.151
Forward Price Earnings25.5754

Kaiser Aluminum Current Valuation Indicators

Valuation refers to the process of determining the present value of Kaiser Aluminum and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Kaiser we look at many different elements of the entity such as Kaiser's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Kaiser Aluminum's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Kaiser Aluminum's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Kaiser Aluminum, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Kaiser Aluminum's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Kaiser Aluminum's worth.
When determining whether Kaiser Aluminum is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Kaiser Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Kaiser Aluminum Stock. Highlighted below are key reports to facilitate an investment decision about Kaiser Aluminum Stock:
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Kaiser Aluminum. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in bureau of economic analysis.
For more information on how to buy Kaiser Stock please use our How to Invest in Kaiser Aluminum guide.
You can also try the Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.

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Is Kaiser Aluminum's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Kaiser Aluminum. If investors know Kaiser will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Kaiser Aluminum listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
1.151
Dividend Share
3.08
Earnings Share
2.92
Revenue Per Share
193.046
Quarterly Revenue Growth
(0.07)
The market value of Kaiser Aluminum is measured differently than its book value, which is the value of Kaiser that is recorded on the company's balance sheet. Investors also form their own opinion of Kaiser Aluminum's value that differs from its market value or its book value, called intrinsic value, which is Kaiser Aluminum's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Kaiser Aluminum's market value can be influenced by many factors that don't directly affect Kaiser Aluminum's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Kaiser Aluminum's value and its price as these two are different measures arrived at by different means. Investors typically determine if Kaiser Aluminum is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Kaiser Aluminum's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.