(KALU) Kaiser Aluminum - Overview
Sector: Basic Materials | Industry: Aluminum | Exchange: NASDAQ (USA) | Market Cap: 2.766m USD | Total Return: 139.9% in 12m
Industry Rotation: -17.6
Avg Turnover: 43.4M
EPS Trend: 88.4%
Qual. Beats: 1
Rev. Trend: 60.2%
Qual. Beats: 1
Warnings
Below Avwap Earnings
Tailwinds
Leader, Confidence
Kaiser Aluminum Corporation (KALU) is a manufacturer of semi-fabricated specialty aluminum products, focusing on high-value applications across the aerospace, automotive, packaging, and general engineering sectors. The company’s portfolio includes flat-rolled plates, extruded shapes, and drawn tubes, serving a diverse customer base of manufacturers and metal service centers in North America and Western Europe.
The business model relies on a value-added strategy where the company passes through the volatile cost of raw aluminum to customers, focusing its profit margins on the fabrication and heat-treating processes. In the aerospace sector, high-strength 2000 and 7000-series alloys are critical for structural integrity, while the shift toward electric vehicles has increased demand for aluminum extrusions to reduce vehicle weight.
Kaiser operates as a key supplier in the defense and semiconductor industries, providing specialized armor plate and high-precision components for manufacturing cells. Investors may find ValueRay useful for deeper analysis of these industrial trends. Founded in 1946 and headquartered in Tennessee, the company maintains a vertically integrated supply chain including casting and fabrication services.
- Aerospace demand recovery drives demand for high-strength heat-treated plate products
- Aluminum scrap prices and energy costs impact manufacturing EBITDA margins
- Beverage packaging contract renewals influence long-term revenue and volume stability
- Automotive lightweighting trends accelerate demand for structural extrusion components
- Magnesium and silicon supply chain disruptions affect alloy production capacity costs
| Net Income: 153.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 2.02 > 1.0 |
| NWC/Revenue: 23.92% < 20% (prev 22.32%; Δ 1.60% < -1%) |
| CFO/TA 0.05 > 3% & CFO 142.3m > Net Income 153.4m |
| Net Debt (1.03b) to EBITDA (380.8m): 2.71 < 3 |
| Current Ratio: 2.47 > 1.5 & < 3 |
| Outstanding Shares: last quarter (16.8m) vs 12m ago 2.71% < -2% |
| Gross Margin: 10.24% > 18% (prev 0.12%; Δ 1.01k% > 0.5%) |
| Asset Turnover: 141.6% > 50% (prev 125.6%; Δ 16.01% > 0%) |
| Interest Coverage Ratio: 4.84 > 6 (EBITDA TTM 380.8m / Interest Expense TTM 53.3m) |
| A: 0.32 (Total Current Assets 1.49b - Total Current Liabilities 601.9m) / Total Assets 2.79b |
| B: 0.07 (Retained Earnings 191.4m / Total Assets 2.79b) |
| C: 0.10 (EBIT TTM 257.9m / Avg Total Assets 2.61b) |
| D: 0.12 (Book Value of Equity 223.6m / Total Liabilities 1.91b) |
| Altman-Z'' Score: 3.09 = A |
| DSRI: 1.09 (Receivables 604.5m/457.8m, Revenue 3.70b/3.06b) |
| GMI: 1.16 (GM 10.24% / 11.85%) |
| AQI: 0.94 (AQ_t 0.05 / AQ_t-1 0.05) |
| SGI: 1.21 (Revenue 3.70b / 3.06b) |
| TATA: 0.00 (NI 153.4m - CFO 142.3m) / TA 2.79b) |
| Beneish M-Score: -2.69 (Cap -4..+1) = A |
Over the past week, the price has changed by -5.84%, over one month by +11.67%, over three months by +31.56% and over the past year by +139.93%.
- StrongBuy: 1
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 165.3 | -2.2% |
P/E Forward = 27.7008
P/S = 0.7472
P/B = 3.3588
P/EG = 1.168
Revenue TTM = 3.70b USD
EBIT TTM = 257.9m USD
EBITDA TTM = 380.8m USD
Long Term Debt = 1.04b USD (from longTermDebt, last quarter)
Short Term Debt = 7.10m USD (from shortTermDebt, last fiscal year)
Debt = 1.06b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.03b USD (from netDebt column, last quarter)
Enterprise Value = 3.80b USD (2.77b + Debt 1.06b - CCE 30.0m)
Interest Coverage Ratio = 4.84 (Ebit TTM 257.9m / Interest Expense TTM 53.3m)
EV/FCF = 156.9x (Enterprise Value 3.80b / FCF TTM 24.2m)
FCF Yield = 0.64% (FCF TTM 24.2m / Enterprise Value 3.80b)
FCF Margin = 0.65% (FCF TTM 24.2m / Revenue TTM 3.70b)
Net Margin = 4.14% (Net Income TTM 153.4m / Revenue TTM 3.70b)
Gross Margin = 10.24% ((Revenue TTM 3.70b - Cost of Revenue TTM 3.32b) / Revenue TTM)
Gross Margin QoQ = 12.03% (prev 9.96%)
Tobins Q-Ratio = 1.36 (Enterprise Value 3.80b / Total Assets 2.79b)
Interest Expense / Debt = 1.36% (Interest Expense 14.4m / Debt 1.06b)
Taxrate = 24.15% (19.9m / 82.4m)
NOPAT = 195.6m (EBIT 257.9m * (1 - 24.15%))
Current Ratio = 2.47 (Total Current Assets 1.49b / Total Current Liabilities 601.9m)
Debt / Equity = 1.21 (Debt 1.06b / totalStockholderEquity, last quarter 877.3m)
Debt / EBITDA = 2.71 (Net Debt 1.03b / EBITDA 380.8m)
Debt / FCF = 42.57 (Net Debt 1.03b / FCF TTM 24.2m)
Total Stockholder Equity = 821.4m (last 4 quarters mean from totalStockholderEquity)
RoA = 5.87% (Net Income 153.4m / Total Assets 2.79b)
RoE = 18.68% (Net Income TTM 153.4m / Total Stockholder Equity 821.4m)
RoCE = 13.87% (EBIT 257.9m / Capital Employed (Equity 821.4m + L.T.Debt 1.04b))
RoIC = 10.43% (NOPAT 195.6m / Invested Capital 1.88b)
WACC = 8.36% (E(2.77b)/V(3.83b) * Re(11.17%) + D(1.06b)/V(3.83b) * Rd(1.36%) * (1-Tc(0.24)))
Discount Rate = 11.17% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 86.67 | Cagr: 2.27%
[DCF] Terminal Value 69.04% ; FCFF base≈24.2m ; Y1≈15.9m ; Y5≈7.27m
[DCF] Fair Price = N/A (negative equity: EV 135.3m - Net Debt 1.03b = -895.0m; debt exceeds intrinsic value)
EPS Correlation: 88.43 | EPS CAGR: 57.46% | SUE: 3.49 | # QB: 1
Revenue Correlation: 60.23 | Revenue CAGR: 4.23% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-06-30): EPS=2.05 | Chg30d=+7.57% | Revisions=+33% | Analysts=4
EPS next Quarter (2026-09-30): EPS=2.14 | Chg30d=+10.28% | Revisions=+33% | Analysts=4
EPS current Year (2026-12-31): EPS=10.23 | Chg30d=+35.73% | Revisions=+33% | GrowthEPS=+69.7% | GrowthRev=+30.9%
EPS next Year (2027-12-31): EPS=10.81 | Chg30d=+18.56% | Revisions=+33% | GrowthEPS=+5.7% | GrowthRev=-0.5%
[Analyst] Revisions Ratio: +33%