Korn Ferry Common Stock (KFY)

Stalwart

FairStock Score: 71/100 — STEADY

Key Financials

Current Price$78.3
Market Cap$4.3B
P/E Ratio14.83
ROE14.51%
Dividend Yield2.87%
SectorIndustrials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable businesses bought at sensible prices. Korn Ferry sells talent and organizational consulting, a people-intensive service with some client relationships and brand value, but I would call its moat narrow, not wide. The filed numbers show a steady earner: in FY2026, ended 2026-04-30, revenue was $2.9B, net income $277.4M, and diluted EPS $5.22. In fiscal Q1 2027, ended 2026-07-31, revenue was $764.6M, net income $69.0M, and diluted EPS $1.32; a year earlier, in fiscal Q1 2026, ended 2025-07-31, those were $715.5M, $66.6M, and $1.26. So the latest quarter grew, but at a modest mid-single-digit pace. FairStock's Lynch category calls it a Stalwart, with profit up 19.4% a year over five years and revenue up 10.1%. Cash generation is a real strength: trailing free cash flow was $318.7M, an 8.1% FCF yield on the $3.9B market cap at the 2026-10-13 close. The balance sheet is reasonable, with D/E of 0.30, and FairStock calculates ROE of 14.51% and ROCE of 6.41%. At that same close, the price was $71.90, and FairStock's P/E was 13.62, P/B 1.83, PEG 3.89, and EV/EBITDA 7.30. The Graham Number of $68.30 leaves a margin of safety of -5.27%, meaning the price is slightly above that conservative value. Piotroski is 4/9 and Altman 2.54, so this is not a fortress. I see a fair-to-modestly-attractive price for a cyclical, people-based business, not a screaming bargain.

In plain English: Korn Ferry helps companies organize and manage their people, mainly through consulting on talent and workforce needs. The business looks steady: it is profitable, produces cash, and carries moderate debt. At $71.90 a share, the price looks close to fair - not a clear bargain, but not obviously expensive either - based on its recent profits and cash flow.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2027 10-Q (period ended 2026-07-31) · fiscal Q3 2026 10-Q (period ended 2026-01-31) · fiscal Q2 2026 10-Q (period ended 2025-10-31) · fiscal Q1 2026 10-Q (period ended 2025-07-31) · FY2026 10-K (period ended 2026-04-30) · FY2025 10-K (period ended 2025-04-30) · FY2024 10-K (period ended 2024-04-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer