Mitsubishi Heavy Industries' (TSE:7011) Earnings Are Of Questionable Quality
Jul 04
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Japanese (NIKKEI) Industrials Sector Analysis
UpdatedJul 03, 2025
DataAggregated Company Financials
Companies1029
- 7D-0.7%
- 3M17.8%
- 1Y1.3%
- YTD5.0%
Last week, the Industrials industry hasn't moved much but Daikin IndustriesLtd is up 9.5% in that time. Furthermore, the industry has been flat for the past year as well. Earnings are forecast to grow by 6.0% annually.
Sector Valuation and Performance
Has the Japanese Industrials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 07 Jul 2025 | JP¥231.2t | JP¥271.8t | JP¥16.2t | 11.8x | 14.3x | 0.9x |
| Wed, 04 Jun 2025 | JP¥226.5t | JP¥271.9t | JP¥16.2t | 11.5x | 14x | 0.8x |
| Fri, 02 May 2025 | JP¥216.5t | JP¥268.9t | JP¥16.0t | 11.2x | 13.5x | 0.8x |
| Sun, 30 Mar 2025 | JP¥218.5t | JP¥268.3t | JP¥15.9t | 11.7x | 13.8x | 0.8x |
| Tue, 25 Feb 2025 | JP¥214.8t | JP¥268.3t | JP¥15.8t | 11.5x | 13.6x | 0.8x |
| Thu, 23 Jan 2025 | JP¥217.6t | JP¥265.6t | JP¥15.0t | 11.9x | 14.5x | 0.8x |
| Sat, 21 Dec 2024 | JP¥217.6t | JP¥265.8t | JP¥15.0t | 11.9x | 14.5x | 0.8x |
| Mon, 18 Nov 2024 | JP¥219.5t | JP¥264.4t | JP¥14.9t | 11.8x | 14.7x | 0.8x |
| Wed, 16 Oct 2024 | JP¥219.9t | JP¥261.9t | JP¥14.7t | 11.9x | 15x | 0.8x |
| Fri, 13 Sep 2024 | JP¥206.2t | JP¥261.9t | JP¥14.7t | 11.8x | 14x | 0.8x |
| Sun, 11 Aug 2024 | JP¥197.3t | JP¥261.1t | JP¥14.6t | 11.3x | 13.6x | 0.8x |
| Tue, 09 Jul 2024 | JP¥229.5t | JP¥257.8t | JP¥14.1t | 13x | 16.2x | 0.9x |
| Thu, 06 Jun 2024 | JP¥219.3t | JP¥258.6t | JP¥14.2t | 12.6x | 15.5x | 0.8x |
| Sat, 04 May 2024 | JP¥221.6t | JP¥257.2t | JP¥13.8t | 12.9x | 16.1x | 0.9x |
| Mon, 01 Apr 2024 | JP¥217.6t | JP¥256.6t | JP¥13.9t | 13.2x | 15.7x | 0.8x |
| Wed, 28 Feb 2024 | JP¥209.8t | JP¥256.6t | JP¥13.9t | 12.7x | 15.2x | 0.8x |
| Fri, 26 Jan 2024 | JP¥203.3t | JP¥263.9t | JP¥13.7t | 13x | 14.9x | 0.8x |
| Sun, 24 Dec 2023 | JP¥189.3t | JP¥264.0t | JP¥13.7t | 12.3x | 13.8x | 0.7x |
| Tue, 21 Nov 2023 | JP¥190.2t | JP¥264.1t | JP¥13.7t | 12.1x | 13.9x | 0.7x |
| Thu, 19 Oct 2023 | JP¥183.5t | JP¥265.0t | JP¥14.8t | 12.1x | 12.4x | 0.7x |
| Sat, 16 Sep 2023 | JP¥196.0t | JP¥264.9t | JP¥14.8t | 12.6x | 13.2x | 0.7x |
| Mon, 14 Aug 2023 | JP¥191.3t | JP¥264.9t | JP¥14.8t | 12.2x | 12.9x | 0.7x |
| Wed, 12 Jul 2023 | JP¥185.5t | JP¥264.1t | JP¥15.6t | 12.1x | 11.9x | 0.7x |
| Fri, 09 Jun 2023 | JP¥180.0t | JP¥264.1t | JP¥15.6t | 11.6x | 11.5x | 0.7x |
| Sun, 07 May 2023 | JP¥169.0t | JP¥261.0t | JP¥16.1t | 11.4x | 10.5x | 0.6x |
| Tue, 04 Apr 2023 | JP¥162.5t | JP¥258.0t | JP¥15.7t | 11.3x | 10.4x | 0.6x |
| Thu, 02 Mar 2023 | JP¥160.5t | JP¥257.2t | JP¥15.6t | 11.2x | 10.3x | 0.6x |
| Sat, 28 Jan 2023 | JP¥158.0t | JP¥249.7t | JP¥15.8t | 10.8x | 10x | 0.6x |
| Mon, 26 Dec 2022 | JP¥151.4t | JP¥249.5t | JP¥15.8t | 10.3x | 9.6x | 0.6x |
| Wed, 23 Nov 2022 | JP¥160.4t | JP¥249.3t | JP¥15.8t | 10.7x | 10.1x | 0.6x |
| Fri, 21 Oct 2022 | JP¥152.7t | JP¥237.5t | JP¥14.5t | 10.5x | 10.5x | 0.6x |
| Sun, 18 Sep 2022 | JP¥157.1t | JP¥237.5t | JP¥14.5t | 10.6x | 10.8x | 0.7x |
| Tue, 16 Aug 2022 | JP¥161.4t | JP¥237.6t | JP¥14.5t | 10.8x | 11.1x | 0.7x |
| Thu, 14 Jul 2022 | JP¥149.2t | JP¥227.7t | JP¥12.8t | 10.7x | 11.6x | 0.7x |
Price to Earnings Ratio
11.6x
Current Industry PE
- Investors are relatively neutral on the Japanese Industrials industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PE ratio of 13.0x.
- The industry is trading close to its 3-year average PS ratio of 0.74x.
Past Earnings Growth
- The earnings for companies in the Industrials industry have grown 8.1% per year over the last three years.
- Revenues for these companies have grown 6.1% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Japanese Industrials sector?
| JP Market | -0.47% | |
| Industrials | -0.71% | |
| Building | 4.87% | |
| Airlines | 1.76% | |
| Construction | 1.69% | |
| Logistics | 1.58% | |
| Trade Distributors | 1.06% | |
| Infrastructure | 0.78% | |
| Commercial Services | 0.17% | |
| Transportation | -0.039% | |
| Marine and Shipping | -1.20% | |
| Electrical | -1.54% | |
| Machinery | -2.04% | |
| Professional Services | -2.23% | |
| Industrials | -5.00% | |
| Aerospace & Defense | -9.08% | |
Industry PE
- Investors are most optimistic about the Building industry, which is trading close to its 3-year average PE ratio of 24.9x.
- Analysts are expecting annual earnings growth of 14.1%, which is higher than its past year's earnings growth of 0.2% per year.
Forecasted Growth
- Analysts are most optimistic on the Aerospace & Defense industry, expecting annual earnings growth of 52% over the next 5 years.
- However this is lower than its past earnings growth rate of 99% per year.
- In contrast, the Marine and Shipping industry is expected to see its earnings decline by 20% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 6367 Daikin IndustriesLtd | JP¥17.91k | 9.5% +JP¥456.8b | -22.0% | PE19.8x | |
| 8031 Mitsui | JP¥3.00k | 2.0% +JP¥171.0b | -22.1% | PE9.6x | |
| 8058 Mitsubishi | JP¥2.92k | 1.8% +JP¥141.4b | -13.8% | PE11.5x | |
| 8002 Marubeni | JP¥2.96k | 2.4% +JP¥108.7b | -4.6% | PE9.7x | |
| 6273 SMC | JP¥52.16k | 2.0% +JP¥60.5b | -35.1% | PE21.2x |
