Kirby Corporation Common Stock (KEX)

FairStock Score: 57/100 — STEADY

Key Financials

Strengths

• Generates $294 million in annual free cash flow (3.6% yield on market cap)
• Strong Piotroski F-Score of 7/9 indicating robust financial health across profitability, leverage, and efficiency metrics
• Solid return on equity of 10.6% above cost of capital
• Conservative balance sheet with debt-to-equity of just 0.34, providing financial flexibility

Concerns

• Trades significantly above Graham Number ($95) with negative 61% margin of safety—limited downside protection

AI Analysis

Kirby Corporation Common Stock is a small-cap industrials company valued at $8.2 billion. The business generates $3.4 billion in annual revenue with a 2.7% net margin and $294 million in free cash flow. From a quality standpoint, Kirby shows solid Piotroski F-Score of 7/9 and Altman Z-Score of 2.9 in the grey zone. On valuation, the stock is reasonably priced at 23.8x earnings, with trades above its Graham Number with a negative 61% margin. Growth dynamics show revenue growing at 6.2% and profit growth of 114.4%. Our composite FairStock Score of 57/100 reflects mixed fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. With $294 million in annual free cash flow (3.6% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the industrials space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer