Mitsubishi Heavy Industries, Ltd.'s (TSE:7011) P/E Is Still On The Mark Following 26% Share Price Bounce
Jun 27
Japanese (NIKKEI) Machinery Industry Analysis
UpdatedJul 02, 2024
DataAggregated Company Financials
Companies261
- 7D3.3%
- 3M3.0%
- 1Y17.5%
- YTD22.0%
Over the last 7 days, the Machinery industry has risen 3.3%, driven by gains from Mitsubishi Heavy Industries of 11%. This takes the industry's 12 month performance to a gain of 18%. Earnings are forecast to grow by 10% annually.
Industry Valuation and Performance
Has the Japanese Machinery Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 02 Jul 2024 | JP¥52.2t | JP¥46.3t | JP¥2.8t | 13.7x | 18.8x | 1.1x |
| Thu, 30 May 2024 | JP¥50.3t | JP¥46.3t | JP¥2.8t | 12.6x | 18.2x | 1.1x |
| Sat, 27 Apr 2024 | JP¥50.2t | JP¥45.7t | JP¥2.7t | 12.6x | 18.5x | 1.1x |
| Mon, 25 Mar 2024 | JP¥51.9t | JP¥45.7t | JP¥2.6t | 13.1x | 20.1x | 1.1x |
| Wed, 21 Feb 2024 | JP¥47.4t | JP¥45.7t | JP¥2.6t | 12.2x | 18.3x | 1x |
| Fri, 19 Jan 2024 | JP¥44.6t | JP¥45.3t | JP¥2.4t | 12.6x | 18.9x | 1x |
| Sun, 17 Dec 2023 | JP¥41.9t | JP¥45.3t | JP¥2.4t | 11.8x | 17.7x | 0.9x |
| Tue, 14 Nov 2023 | JP¥41.9t | JP¥45.3t | JP¥2.4t | 11.8x | 17.5x | 0.9x |
| Thu, 12 Oct 2023 | JP¥41.7t | JP¥45.0t | JP¥2.5t | 11.7x | 16.7x | 0.9x |
| Sat, 09 Sep 2023 | JP¥43.5t | JP¥45.0t | JP¥2.5t | 12.1x | 17.4x | 1x |
| Mon, 07 Aug 2023 | JP¥41.9t | JP¥44.5t | JP¥2.4t | 11.9x | 17.2x | 0.9x |
| Wed, 05 Jul 2023 | JP¥44.0t | JP¥44.0t | JP¥2.4t | 12.2x | 18.2x | 1x |
| Fri, 02 Jun 2023 | JP¥40.3t | JP¥44.0t | JP¥2.4t | 11x | 16.6x | 0.9x |
| Sun, 30 Apr 2023 | JP¥38.9t | JP¥43.1t | JP¥2.4t | 11.3x | 16.5x | 0.9x |
| Tue, 28 Mar 2023 | JP¥37.5t | JP¥42.6t | JP¥2.3t | 11.1x | 16x | 0.9x |
| Thu, 23 Feb 2023 | JP¥37.4t | JP¥42.6t | JP¥2.3t | 11x | 16x | 0.9x |
| Sat, 21 Jan 2023 | JP¥35.6t | JP¥41.2t | JP¥2.4t | 10.4x | 14.7x | 0.9x |
| Mon, 19 Dec 2022 | JP¥36.2t | JP¥41.1t | JP¥2.4t | 10.5x | 15x | 0.9x |
| Wed, 16 Nov 2022 | JP¥36.8t | JP¥41.0t | JP¥2.4t | 10.3x | 15.4x | 0.9x |
| Fri, 14 Oct 2022 | JP¥33.8t | JP¥39.4t | JP¥2.2t | 10.1x | 15.1x | 0.9x |
| Sun, 11 Sep 2022 | JP¥37.6t | JP¥39.4t | JP¥2.2t | 10.8x | 16.8x | 1x |
| Tue, 09 Aug 2022 | JP¥37.4t | JP¥39.2t | JP¥2.2t | 10.6x | 16.8x | 1x |
| Thu, 07 Jul 2022 | JP¥35.1t | JP¥38.5t | JP¥2.2t | 10.6x | 16.2x | 0.9x |
| Sat, 04 Jun 2022 | JP¥38.1t | JP¥38.5t | JP¥2.2t | 11.4x | 17.5x | 1x |
| Mon, 02 May 2022 | JP¥35.7t | JP¥37.9t | JP¥2.0t | 11.2x | 17.4x | 0.9x |
| Wed, 30 Mar 2022 | JP¥38.3t | JP¥37.6t | JP¥2.2t | 11.9x | 17.7x | 1x |
| Fri, 25 Feb 2022 | JP¥35.5t | JP¥37.7t | JP¥2.2t | 11.2x | 16.4x | 0.9x |
| Sun, 23 Jan 2022 | JP¥38.4t | JP¥36.7t | JP¥2.0t | 12.2x | 18.8x | 1x |
| Tue, 21 Dec 2021 | JP¥39.2t | JP¥36.6t | JP¥2.0t | 12.6x | 19.4x | 1.1x |
| Thu, 18 Nov 2021 | JP¥40.6t | JP¥36.7t | JP¥2.0t | 12.8x | 20x | 1.1x |
| Sat, 16 Oct 2021 | JP¥37.7t | JP¥33.6t | JP¥1.6t | 13.8x | 23x | 1.1x |
| Mon, 13 Sep 2021 | JP¥40.4t | JP¥33.7t | JP¥1.6t | 15x | 25x | 1.2x |
| Wed, 11 Aug 2021 | JP¥38.0t | JP¥33.7t | JP¥1.6t | 14.5x | 23.5x | 1.1x |
Price to Earnings Ratio
23.3x
Current Industry PE
- Investors are relatively neutral on the Japanese Machinery 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 17.9x.
- The 3-year average PS ratio of 0.99x is lower than the industry's current PS ratio of 1.1x.
Past Earnings Growth
- The earnings for companies in the Machinery industry have grown 20% per year over the last three years.
- Revenues for these companies have grown 11% 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 industry?
| JP Market | 2.72% | |
| Industrials | 3.23% | |
| Machinery | 3.32% | |
| Construction Machinery and Vehicles | 4.11% | |
| Industrial Machinery | 3.37% | |
| Agricultural Machinery | -0.54% | |
Industry PE
- Investors are most optimistic about the Industrial Machinery industry which is trading above its 3-year average PE ratio of 19.3x.
- Analysts are expecting annual earnings growth of 11.5%, which is higher than its past year's earnings growth of 9.5% per year.
- Investors are most pessimistic about the Agricultural Machinery industry, which is trading below its 3-year average of 14.1x.
Forecasted Growth
- Analysts are most optimistic on the Industrial Machinery industry, expecting annual earnings growth of 12% over the next 5 years.
- This is better than its past earnings growth rate of 9.5% per year.
- In contrast, the Agricultural Machinery industry is expected to see its earnings grow by 3.5% 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 | |
|---|---|---|---|---|---|
| 7011 Mitsubishi Heavy Industries | JP¥1.83k | 10.8% +JP¥598.2b | 171.2% | PE27.7x | |
| 6301 Komatsu | JP¥4.86k | 4.6% +JP¥172.2b | 24.8% | PE11.5x | |
| 6954 Fanuc | JP¥4.47k | 3.3% +JP¥135.2b | -10.7% | PE31.7x | |
| 6273 SMC | JP¥77.90k | 2.2% +JP¥105.2b | -3.0% | PE28x | |
| 6479 MINEBEA MITSUMI | JP¥3.55k | 7.6% +JP¥101.9b | 31.6% | PE26.6x |
