Kimball Electronics Inc. (KE) Insider, 13F Hedge Fund & Politician Buy/Sell Thermometer

KE scores 63 out of 100, a letter grade of C, labeled "Roarable Hold — Fair / Balanced Risk-Reward." The five pillars are:

• Fundamental cash engine: 13 / 20. Per the RQD rating, this reflects ROIC of 5.7% and an FCF yield of 23.25%. The FCF yield is strong relative to the market value, but the ROIC is modest, so the cash generation is not matched by high capital returns.
• Whale / 13F flow: 10 / 20. Per the RQD rating, institutional accumulation and options positioning score below midpoint. The holders section contains no 13F detail in the source data, so the basis for this score cannot be independently checked here.
• Insider conviction: 14 / 20. Per the RQD rating, SEC Form 4 and Congressional PTR cluster flow scores modestly above midpoint.
• Macro regime fit: 13 / 20. Per the RQD rating, beta is 1.0 and the score reflects sector sensitivity. A beta of 1.0 means the stock is expected to move broadly in line with the market.
• Forensic balance sheet: 13 / 20. Per the RQD rating, Altman Z is 2.5, Piotroski F is 6/9, and Debt/Equity is 0.22. These support a middle-of-range balance sheet assessment.

For a prospective investor, the composite reads as balanced rather than compelling. Upside drivers in the data are the high FCF yield and the reasonable leverage profile. The main valuation tradeoff is that the trailing P/E of 38.2 and forward P/E of 35.5 sit well above the EV/EBITDA of 9.5, a gap that suggests earnings-based multiples are elevated relative to cash-based ones. The thin margins (3.1% operating, 1.1% net) limit how much revenue growth can translate into earnings.

Kimball Electronics Inc. Is a NASDAQ-listed issuer classified under the Technology sector and Electrical Products industry. The profile describes the company as a Technology issuer with a market capitalization of $0.6B.

Revenue declined across the three reported periods, from $1.82B to $1.49B, while operating income fell from $87.7M to $45.5M. Net income in FY 2025 was $17.0M against a net margin of 1.1% per market data. Per the RQD rating, ROIC is 5.7%, the Altman Z-Score is 2.5, and the Piotroski F-Score is 6/9. Debt fell from $179.6M in FY 2024 to $129.7M in FY 2025 while cash rose to $77.9M, and the Debt/Equity ratio is 0.22 per the RQD rating.

• 🐂 Primary Bull Case: A 23.25% FCF yield and a 0.22 Debt/Equity ratio indicate substantial cash generation against modest leverage. With Fundamental Cash Engine at 13/20 (ROIC 5.7%, FCF yield 23.25%) and Institutional Whale Flow at 8/20, sustained execution supports upside toward the top of the $21.01 – $32.00 52-week range.
• 🐻 Primary Bear Case: Revenue fell from $1.82B to $1.49B over three periods while the trailing P/E of 38.2 remains elevated against a 1.1% net margin. Investors must weigh 38.2x trailing P/E and 9.5x EV/EBITDA against 3.1% operating margins and a 1.00 macro beta if sector demand softens.

The source data therefore does not establish upstream suppliers, downstream customers, or sector correlations for KE. Second-order bottlenecks cannot be mapped from the provided material. An investor would need supplier and customer disclosures from primary filings to assess these ripples.

• Key Question #1: What explains the gap between the 38.2 trailing P/E and the 9.5 EV/EBITDA, and how much of the net income is affected by non-operating items?
• Key Question #2: What are the EPS figures for each reported fiscal year, since the financials show N/A for all periods?
• Key Question #3: Which supply-chain relationships, if any, link KE to upstream or downstream companies?