Kip McGrath Education Centres (ASX:KME) Margin of Safety % (DCF FCF Based): 83.16% (As of Jun. 29, 2026)


ASX:KME Kip McGrath Education Centres Ltd ASX:KME
60 GF Score
Price A$0.49
GF Value A$0.55
Valuation Modestly Undervalued
! 4 Warning Signs
View Full Analysis

What is Kip McGrath Education Centres Margin of Safety % (DCF FCF Based)?

Kip McGrath Education Centres ASX:KME +3.19% 60 Margin of Safety % (DCF FCF Based) is 83.16% as of Jun. 29, 2026. GuruFocus rates ASX:KME with a GF Score™ of 60/100 and a GF Value™ of A$0.55 (Modestly Undervalued). The stock has 4 warning signs investors should review.

Margin of Safety % (DCF FCF Based) = (Intrinsic Value: DCF (FCF Based) - Current Price) / Intrinsic Value: DCF (FCF Based).

Note: Discounted FCF model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-06-29), Kip McGrath Education Centres's Predictability Rank is 2.5-Stars. Kip McGrath Education Centres's intrinsic value calculated from the Discounted FCF model is A$0.65 and current share price is A$0.485. Consequently,

Kip McGrath Education Centres's Margin of Safety % (DCF FCF Based) using Discounted FCF model is 83.16%.

ASX:KME vs EDU, TAL, LAUR: Margin of Safety % (DCF FCF Based) Comparison

For the Education & Training Services subindustry, Kip McGrath Education Centres's Margin of Safety % (DCF FCF Based), along with its competitors' market caps and Margin of Safety % (DCF FCF Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Kip McGrath Education Centres Margin of Safety % (DCF FCF Based) vs Education Industry

For the Education industry and Consumer Defensive sector, Kip McGrath Education Centres's Margin of Safety % (DCF FCF Based) distribution charts can be found below:

* The bar in red indicates where Kip McGrath Education Centres's Margin of Safety % (DCF FCF Based) falls into.


ASX:KME
60GF Score
Kip McGrath Education Centres Ltd ASX:KME
Margin of Safety % (DCF FCF Based) is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kip McGrath Education Centres Margin of Safety % (DCF FCF Based) Calculation

Kip McGrath Education Centres's Margin of Safety % (DCF FCF Based) for today is calculated as

Margin of Safety % (DCF FCF Based)=(Intrinsic Value: DCF (FCF Based)-Current Price)/Intrinsic Value: DCF (FCF Based)
=(2.88-0.485)/2.88
=83.16 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The intrinsic value is calculated from the Discounted FCF model with default parameters. The calculation method is the same as Discounted Earnings model except free cash flow are used in the calculation instead of earnings per share.

What does a Margin of Safety % (DCF FCF Based) of 83.16% mean?
Kip McGrath Education Centres (ASX:KME) has a Margin of Safety % (DCF FCF Based) of 83.16% as of Jun. 29, 2026. Margin of Safety % (DCF FCF Based) is the percent difference between the current price and the intrinsic DCF FCF price. View historical data on Kip McGrath Education Centres.
Is Kip McGrath Education Centres' Margin of Safety % (DCF FCF Based) too high?
Kip McGrath Education Centres' current Margin of Safety % (DCF FCF Based) is 83.16%. Overall, Kip McGrath Education Centres has a GF Score™ of 60/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kip McGrath Education Centres' Margin of Safety % (DCF FCF Based) compare to EDU and TAL?
Kip McGrath Education Centres' Margin of Safety % (DCF FCF Based) of 83.16% can be compared against companies in the Education industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Margin of Safety % (DCF FCF Based) for an Education company?
A good Margin of Safety % (DCF FCF Based) depends on the Education industry context. However, Margin of Safety % (DCF FCF Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Margin of Safety % (DCF FCF Based) mean?
A high Margin of Safety % (DCF FCF Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF FCF Based) is the percent difference between the current price and the intrinsic DCF FCF price. View historical data on Kip McGrath Education Centres. Kip McGrath Education Centres's current Margin of Safety % (DCF FCF Based) is 83.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kip McGrath Education Centres stock overvalued right now?
Based on GuruFocus' analysis, Kip McGrath Education Centres (ASX:KME) is currently considered Modestly Undervalued. The stock's GF Value™ is A$0.55, compared to a current price of A$0.49 — trading 11.8% below its estimated fair value. The current Margin of Safety % (DCF FCF Based) is 83.16%. Kip McGrath Education Centres' overall GF Score™ is 60/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF FCF Based) calculated?
Margin of Safety % (DCF FCF Based) is calculated from a company's financial statements. For Kip McGrath Education Centres (ASX:KME), the current Margin of Safety % (DCF FCF Based) is 83.16% as of Jun. 29, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Kip McGrath Education Centres (ASX:KME) Overvalued in 2026?

Based on GuruFocus' analysis, Kip McGrath Education Centres stock appears to be undervalued. The current stock price of A$0.49 is trading 11.8% below its estimated GF Value™ of A$0.55. GuruFocus considers Kip McGrath Education Centres to be Modestly Undervalued.

Key valuation signals for ASX:KME:

  • Margin of Safety % (DCF FCF Based): 83.16%
  • GF Value™: A$0.55 vs. price of A$0.49 (11.8% below fair value)
  • GF Score™: 60/100 with 4 warning signs

No single metric tells the full story. See the ASX:KME stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Kip McGrath Education Centres Business Description

Address 31 Market Street, Suite 2.02, Level 2, Sydney, NSW, AUS, 2000
Kip McGrath Education Centres Ltd offers supplementary education to students through the franchise in Australia and overseas, in the United Kingdom and New Zealand. Its products are face-to-face tuition programs, direct at-home educational products, and online tertiary courses. Geographically, the company operates in Australasia, the United Kingdom and Europe, and Other overseas regions. It derives revenue from franchise fees, student lesson fees, sales of master territories and franchise centers, and direct sales, of which a majority of the revenue is derived from franchise fees.
60GF Score

Get the complete analysis for ASX:KME

Margin of Safety % (DCF FCF Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$0.49
Price
A$0.55
GF Value