WBAG:SON1

Stock Analysis Report

Executive Summary

Sony Corporation designs, develops, produces, and sells electronic equipment, instruments, and devices for the consumer, professional, and industrial markets worldwide.

Snowflake

Fundamentals

Adequate balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has Sony's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SON1 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.2%

SON1

1.7%

AT Consumer Durables

0.4%

AT Market


1 Year Return

25.8%

SON1

5.7%

AT Consumer Durables

2.1%

AT Market

Return vs Industry: SON1 exceeded the Austrian Consumer Durables industry which returned 5.7% over the past year.

Return vs Market: SON1 exceeded the Austrian Market which returned 2.1% over the past year.


Shareholder returns

SON1IndustryMarket
7 Day3.2%1.7%0.4%
30 Day8.6%1.7%5.2%
90 Day14.4%10.8%8.5%
1 Year26.8%25.8%12.7%5.7%5.8%2.1%
3 Yearn/a37.3%18.8%46.4%33.2%
5 Yearn/a85.2%47.2%69.3%45.5%

Price Volatility Vs. Market

How volatile is Sony's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Sony undervalued compared to its fair value and its price relative to the market?

9.97x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SON1 (€56.75) is trading above our estimate of fair value (€56.5)

Significantly Below Fair Value: SON1 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SON1 is good value based on its PE Ratio (10x) compared to the Consumer Durables industry average (11.9x).

PE vs Market: SON1 is good value based on its PE Ratio (10x) compared to the Austrian market (14.5x).


Price to Earnings Growth Ratio

PEG Ratio: SON1 is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: SON1 is overvalued based on its PB Ratio (2.2x) compared to the XE Consumer Durables industry average (1.4x).


Next Steps

Future Growth

How is Sony forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

6.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SON1's forecast earnings growth (6.1% per year) is above the savings rate (0.5%).

Earnings vs Market: SON1's earnings (6.1% per year) are forecast to grow slower than the Austrian market (8.7% per year).

High Growth Earnings: SON1's earnings are forecast to grow, but not significantly.

Revenue vs Market: SON1's revenue (3.6% per year) is forecast to grow faster than the Austrian market (2.8% per year).

High Growth Revenue: SON1's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SON1's Return on Equity is forecast to be low in 3 years time (13%).


Next Steps

Past Performance

How has Sony performed over the past 5 years?

64.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SON1 has a high level of non-cash earnings.

Growing Profit Margin: SON1's current net profit margins (10%) are higher than last year (7.8%).


Past Earnings Growth Analysis

Earnings Trend: SON1 has become profitable over the past 5 years, growing earnings by 64.5% per year.

Accelerating Growth: SON1's earnings growth over the past year (26.3%) is below its 5-year average (64.5% per year).

Earnings vs Industry: SON1 earnings growth over the past year (26.3%) exceeded the Consumer Durables industry 1.6%.


Return on Equity

High ROE: SON1's Return on Equity (19.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Sony's financial position?


Financial Position Analysis

Short Term Liabilities: SON1's short term assets (¥5,408.2B) do not cover its short term liabilities (¥6,315.4B)

Long Term Liabilities: SON1's short term assets (5,408.2B) do not cover its long term liabilities (11,025.0B)


Debt to Equity History and Analysis

Debt Level: SON1's debt to equity ratio (31.1%) is considered satisfactory

Reducing Debt: SON1's debt to equity ratio has reduced from 35% to 31.1% over the past 5 years.

Debt Coverage: SON1's debt is well covered by operating cash flow (87.6%).

Interest Coverage: SON1 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: SON1 has a low level of unsold assets or inventory.

Debt Coverage by Assets: SON1's debt is covered by short term assets (assets are 3.8x debt).


Next Steps

Dividend

What is Sony's current dividend yield, its reliability and sustainability?

0.59%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Sony before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company0.6%marketbottom25%1.7%markettop25%4.2%industryaverage5.0%forecastin3Years0.8%

Current dividend yield vs market & industry

Notable Dividend: SON1's dividend (0.59%) isn’t notable compared to the bottom 25% of dividend payers in the Austrian market (1.69%).

High Dividend: SON1's dividend (0.59%) is low compared to the top 25% of dividend payers in the Austrian market (4.18%).


Stability and Growth of Payments

Stable Dividend: SON1 is not paying a notable dividend for the Austrian market, therefore no need to check if payments are stable.

Growing Dividend: SON1 is not paying a notable dividend for the Austrian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: SON1 is not paying a notable dividend for the Austrian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SON1's dividend in 3 years as they are not forecast to pay a notable one for the Austrian market.


Next Steps

Management

What is the CEO of Sony's salary, the management and board of directors tenure and is there insider trading?

1.6yrs

Average management tenure


CEO

Kenichiro Yoshida (60yo)

1.6yrs

Tenure

JP¥397,000,000

Compensation

Mr. Kenichiro Yoshida has been Representative Corporate Executive Officer of Sony Corporation since April 2014 and its President and Chief Executive Officer since April 1, 2018. Mr. Yoshida served as the C ...


CEO Compensation Analysis

Compensation vs Market: Kenichiro's total compensation ($USD3.65M) is about average for companies of similar size in the Austrian market ($USD3.51M).

Compensation vs Earnings: Kenichiro's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.6yrs

Average Tenure

59yo

Average Age

Experienced Management: SON1's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Age and Tenure

5.4yrs

Average Tenure

62yo

Average Age

Experienced Board: SON1's board of directors are considered experienced (5.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Kaz Hirai (59yo)

    Senior Adviser

    • Tenure: 2.8yrs
    • Compensation: JP¥2.07b
  • Shoji Nemoto (63yo)

    Head of Disc Manufacturing Business

    • Tenure: 14yrs
  • Hiroki Totoki (55yo)

    Senior Executive VP

    • Tenure: 0.4yrs
    • Compensation: JP¥103.00m
  • Kenichiro Yoshida (60yo)

    CEO, President

    • Tenure: 1.6yrs
    • Compensation: JP¥397.00m
  • Shiro Kambe (58yo)

    Executive VP & Corporate Executive Officer

    • Tenure: 9.8yrs
    • Compensation: JP¥78.00m
  • Yasuhiro Ueda

    Head of Technology Policy and Relations

    • Tenure: 1.6yrs
  • J. Hill

    Head of Investor Relations

    • Tenure: 0yrs
  • Kazushi Ambe (58yo)

    Executive VP & Corporate Executive Officer

    • Tenure: 5yrs
    • Compensation: JP¥72.00m
  • Toru Katsumoto (62yo)

    Senior EVP & Corporate Executive Officer

    • Tenure: 0yrs
    • Compensation: JP¥80.00m
  • Natsuko Takei

    Senior General Manager of Legal & Compliance Department

    • Tenure: 1.6yrs

Board Members

  • Lou Gerstner (77yo)

    Member of Advisory Board

    • Tenure: 0yrs
  • John Roos (64yo)

    Outside Director

    • Tenure: 5.4yrs
  • Kaz Hirai (59yo)

    Senior Adviser

    • Tenure: 2.8yrs
    • Compensation: JP¥2.07b
  • Koichi Miyata (66yo)

    Outside Director

    • Tenure: 5.4yrs
  • Shuzo Sumi (72yo)

    Chairman of the Board

    • Tenure: 0.4yrs
  • Tim Schaaff (60yo)

    Non-Executive Director

    • Tenure: 6.4yrs
  • Hiroki Totoki (55yo)

    Senior Executive VP

    • Tenure: 0.4yrs
    • Compensation: JP¥103.00m
  • Kenichiro Yoshida (60yo)

    CEO, President

    • Tenure: 1.6yrs
    • Compensation: JP¥397.00m
  • Kazuo Matsunaga (67yo)

    Vice Chairman of the Board

    • Tenure: 0yrs
  • Eriko Sakurai (59yo)

    Outside Director

    • Tenure: 5.4yrs

Company Information

Sony Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sony Corporation
  • Ticker: SON1
  • Exchange: WBAG
  • Founded: 1946
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Market Cap: JP¥8.368t
  • Listing Market Cap: JP¥69.902b
  • Shares outstanding: 1.23b
  • Website: https://www.sony.net

Number of Employees


Location

  • Sony Corporation
  • 1-7-1 Konan
  • Minato-ku
  • Tokyo
  • 108-0075
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SNENYSE (New York Stock Exchange)ADR-EACH CNV INTO 1 ORD NPVUSUSDSep 1970
SONADB (Deutsche Boerse AG)ADR-EACH CNV INTO 1 ORD NPVDEEURSep 1970
SNE NBMV (Bolsa Mexicana de Valores)ADR-EACH CNV INTO 1 ORD NPVMXMXNSep 1970
0L83LSE (London Stock Exchange)ADR-EACH CNV INTO 1 ORD NPVGBUSDSep 1970
SNEJ.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1975
6758TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1975
SONCSWX (SIX Swiss Exchange)YesCommon StockCHCHFJan 1975
SON1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1975
SON1WBAG (Wiener Boerse AG)YesCommon StockATEURJan 1975
SNEBASE (Buenos Aires Stock Exchange)CEDEAR REPR 1/2 ADR(CNV TO 1 ORD NPV)ARARSJul 2007

Biography

Sony Corporation designs, develops, produces, and sells electronic equipment, instruments, and devices for the consumer, professional, and industrial markets worldwide. The company distributes software tit ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/13 22:35
End of Day Share Price2019/11/13 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.