Kingfisher plc (KGF.L) stock analysis
In our weekly check, Kingfisher plc is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 5, red flags: 4.
About Kingfisher plc
Kingfisher plc is a Consumer Cyclical company (Home Improvement) based in the United Kingdom, listed on LSE as KGF.L.
What our checks show for KGF.L
Red flags
- The net margin fell by 4.5 points over 5 years, to 1.9%: the company keeps less of each sale as profit.
- Revenue fell 0.3% a year over the last 3 years.
- The net margin is only 1.9%: little room if costs rise.
- The stock has fallen as much as 72% from a peak. Would you have held through that?
Warning signs
- Analysts expect only about 1.9% a year of growth in revenue.
- Earnings per share fell 16.4% a year over the last 3 years.
- Net profit fell 19.6% a year over the last 3 years.
- The stock is still below its previous peak.
- Return on capital (ROCE) is only 7.9%.
Strengths
- Net debt is only 1.4x a year of EBITDA: the balance sheet has room.
- Operating cash flow is 5.94x net profit: the profit arrives as real cash.
- Analysts expect earnings per share to grow about 31.6% a year over the next years.
- The share count fell by 8.8% in 2 years: the company buys back its own shares.
- Actively traded: about 5.4 million shares a day.
- Pay in shares is only 2.6% of free cash flow.
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Questions
What grade does Kingfisher plc (KGF.L) have?
In our weekly check, Kingfisher plc is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 5, red flags: 4. The grade is a risk check, not a buy or sell recommendation.
What are the main risks of KGF.L stock?
This week's biggest flags for Kingfisher plc: Margins falling, Weak revenue growth, Thin margins. In total 9 of 25 checks show a warning or a red flag.
What does Kingfisher plc do?
Kingfisher plc is a Consumer Cyclical company (Home Improvement) based in the United Kingdom, listed on LSE as KGF.L.
The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.
Updated 2026-10-24
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