DENSO Corporation

DB:DNO Stock Report

Market Cap: €36.3b

DENSO Valuation

Is DNO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of DNO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DNO (€12.49) is trading below our estimate of fair value (€29.86)

Significantly Below Fair Value: DNO is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DNO?

Key metric: As DNO is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for DNO. This is calculated by dividing DNO's market cap by their current earnings.
What is DNO's PE Ratio?
PE Ratio17.7x
EarningsJP¥334.71b
Market CapJP¥5.92t

Price to Earnings Ratio vs Peers

How does DNO's PE Ratio compare to its peers?

The above table shows the PE ratio for DNO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.5x
CON Continental
12.8x23.1%€12.8b
HLE HELLA GmbH KGaA
28.9x12.2%€9.5b
SHA0 Schaeffler
27.6x73.0%€4.0b
SFQ SAF-Holland
8.7x14.3%€672.7m
DNO DENSO
17.7x15.6%€5.9t

Price-To-Earnings vs Peers: DNO is good value based on its Price-To-Earnings Ratio (17.7x) compared to the peer average (19.5x).

Price to Earnings Ratio vs Industry

How does DNO's PE Ratio compare vs other companies in the European Auto Components Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
DNO 17.7xIndustry Avg. 9.2xNo. of Companies8PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: DNO is expensive based on its Price-To-Earnings Ratio (17.7x) compared to the European Auto Components industry average (9.2x).

Price to Earnings Ratio vs Fair Ratio

What is DNO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DNO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.7x
Fair PE Ratio9.8x

Price-To-Earnings vs Fair Ratio: DNO is expensive based on its Price-To-Earnings Ratio (17.7x) compared to the estimated Fair Price-To-Earnings Ratio (9.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst DNO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€12.49
€16.94
+35.7%
4.9%€18.63€15.15n/a16
Dec ’25€13.19
€17.52
+32.9%
6.9%€21.47€16.10n/a16
Nov ’25€12.82
€16.83
+31.4%
7.5%€20.51€15.08n/a16
Oct ’25€13.15
€18.35
+39.6%
8.6%€21.51€16.13n/a16
Sep ’25€13.74
€18.49
+34.6%
7.9%€21.11€15.84n/a16
Aug ’25€14.10
€18.74
+32.9%
8.8%€21.66€15.78n/a16
Jul ’25€14.36
€18.28
+27.3%
7.9%€20.61€15.61n/a16
Jun ’25€14.75
€18.78
+27.3%
7.3%€20.65€15.63n/a15
May ’25€15.75
€18.73
+18.9%
6.9%€20.13€15.69n/a15
Apr ’25€17.43
€18.46
+5.9%
8.8%€20.10€14.01n/a15
Mar ’25€16.77
€17.78
+6.0%
9.2%€20.22€14.09n/a15
Feb ’25€14.28
€17.73
+24.2%
9.6%€19.85€14.49n/a17
Jan ’25€13.37
€17.96
+34.4%
9.4%€19.81€14.70n/a17
Dec ’24€14.24
€17.15
+20.4%
10.0%€19.03€14.12€13.1919
Nov ’24€14.53
€17.33
+19.3%
9.7%€19.33€14.34€12.8219
Oct ’24€15.01
€17.66
+17.7%
8.7%€18.99€14.56€13.1519
Sep ’24€15.97
€17.53
+9.8%
8.9%€19.01€14.57€13.7419
Aug ’24€16.14
€16.79
+4.0%
8.3%€19.18€14.54€14.1019
Jul ’24€15.15
€16.05
+6.0%
9.9%€19.26€12.20€14.3619
Jun ’24€14.38
€15.70
+9.2%
8.6%€18.41€12.72€14.7519
May ’24€13.56
€15.62
+15.2%
7.9%€19.04€13.15€15.7518
Apr ’24€12.80
€15.97
+24.8%
7.9%€19.41€13.41€17.4318
Mar ’24€12.54
€15.80
+26.0%
8.5%€19.11€13.69€16.7718
Feb ’24€12.24
€16.06
+31.2%
8.7%€19.36€13.87€14.2818
Jan ’24€11.69
€16.77
+43.4%
8.2%€19.66€14.08€13.3718
Dec ’23€13.10
€16.19
+23.6%
8.7%€19.11€13.69€14.2419

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 16:37
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

DENSO Corporation is covered by 38 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Kei NihonyanagiBarclays
Clive WigginsBNP Paribas Securities (Asia)
Shiro SakamakiBofA Global Research