DB:2PW

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Hazama Ando Corporation engages in the construction and construction-related business in Japan and internationally.


Snowflake Analysis

Solid track record with excellent balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 2PW has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.9%

2PW

5.1%

DE Construction

3.1%

DE Market


1 Year Return

-8.5%

2PW

-20.1%

DE Construction

14.0%

DE Market

Return vs Industry: 2PW exceeded the German Construction industry which returned -20.1% over the past year.

Return vs Market: 2PW underperformed the German Market which returned 14% over the past year.


Shareholder returns

2PWIndustryMarket
7 Day4.9%5.1%3.1%
30 Day2.0%-3.4%2.3%
90 Day-7.3%16.2%18.4%
1 Year-4.6%-8.5%-13.7%-20.1%16.5%14.0%
3 Yearn/a-42.0%-49.5%7.4%-1.2%
5 Yearn/a18.5%0.02%23.8%7.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

7.19x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 2PW (€5.1) is trading above our estimate of fair value (€4.51)

Significantly Below Fair Value: 2PW is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 2PW is good value based on its PE Ratio (7.2x) compared to the XE Construction industry average (11.5x).

PE vs Market: 2PW is good value based on its PE Ratio (7.2x) compared to the German market (21.9x).


Price to Earnings Growth Ratio

PEG Ratio: 2PW is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: 2PW is good value based on its PB Ratio (0.9x) compared to the XE Construction industry average (1.1x).


Next Steps

Future Growth

How is Hazama Ando forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

5.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2PW's forecast earnings growth (5.8% per year) is above the savings rate (0.2%).

Earnings vs Market: 2PW's earnings (5.8% per year) are forecast to grow slower than the German market (25.2% per year).

High Growth Earnings: 2PW's earnings are forecast to grow, but not significantly.

Revenue vs Market: 2PW's revenue (3.8% per year) is forecast to grow slower than the German market (5.8% per year).

High Growth Revenue: 2PW's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 2PW's Return on Equity is forecast to be low in 3 years time (11.4%).


Next Steps

Past Performance

How has Hazama Ando performed over the past 5 years?

0.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2PW has high quality earnings.

Growing Profit Margin: 2PW's current net profit margins (4.6%) are higher than last year (2.5%).


Past Earnings Growth Analysis

Earnings Trend: 2PW's earnings have grown by 0.4% per year over the past 5 years.

Accelerating Growth: 2PW's earnings growth over the past year (99.5%) exceeds its 5-year average (0.4% per year).

Earnings vs Industry: 2PW earnings growth over the past year (99.5%) exceeded the Construction industry 11.3%.


Return on Equity

High ROE: 2PW's Return on Equity (13.1%) is considered low.


Next Steps

Financial Health

How is Hazama Ando's financial position?


Financial Position Analysis

Short Term Liabilities: 2PW's short term assets (¥256.4B) exceed its short term liabilities (¥159.4B).

Long Term Liabilities: 2PW's short term assets (¥256.4B) exceed its long term liabilities (¥23.3B).


Debt to Equity History and Analysis

Debt Level: 2PW's debt to equity ratio (19.6%) is considered satisfactory.

Reducing Debt: 2PW's debt to equity ratio has reduced from 49.1% to 19.6% over the past 5 years.

Debt Coverage: 2PW's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 2PW earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Hazama Ando current dividend yield, its reliability and sustainability?

4.56%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: 2PW's dividend (4.56%) is higher than the bottom 25% of dividend payers in the German market (1.23%).

High Dividend: 2PW's dividend (4.56%) is in the top 25% of dividend payers in the German market (3.78%)


Stability and Growth of Payments

Stable Dividend: 2PW has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 2PW's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (32.8%), 2PW's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Masato Fukutomi

2.58yrs

Tenure

Mr. Masato Fukutomi has been President and Director of Hazama Ando Corporation since 2018 and since June 29, 2017 respectively and served as its Vice President until 2018. Mr. Fukutomi served as a Managing ...


Leadership Team

NamePositionTenureCompensationOwnership
Masato Fukutomi
President & Representative Director2.58yrsno data0.0047%
¥ 46.8k
Toshiaki Iimura
Managing Executive Officer & Manager of Overall Ops Deptno datano datano data
Hidekazu Kojima
Chief for Office of the Presidentno datano datano data
Haruyuki Kaneko
VP & Directorno datano data0.0078%
¥ 78.1k
Katsuhiko Tabuchi
Managing Executive Officer & Directorno datano data0.0078%
¥ 78.1k
Kazuya Ozawa
Managing Executive Officerno datano datano data
Toru Ikegami
VP & Director4.17yrsno data0.0067%
¥ 67.6k
Muneo Gomi
VP & Directorno datano data0.0015%
¥ 15.6k
Hajime Tsukizu
Managing Executive Officerno datano datano data
Ken Komatsu
Managing Executive Officerno datano datano data
Shinya Miyamori
Managing Executive Officer & Director3.17yrsno data0.00052%
¥ 5.2k
Shin Terauchi
Managing Executive Officerno datano datano data

2.6yrs

Average Tenure

Experienced Management: 2PW's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Masato Fukutomi
President & Representative Director2.58yrsno data0.0047%
¥ 46.8k
Haruyuki Kaneko
VP & Directorno datano data0.0078%
¥ 78.1k
Katsuhiko Tabuchi
Managing Executive Officer & Directorno datano data0.0078%
¥ 78.1k
Toru Ikegami
VP & Director4.17yrsno data0.0067%
¥ 67.6k
Muneo Gomi
VP & Directorno datano data0.0015%
¥ 15.6k
Shinya Miyamori
Managing Executive Officer & Director3.17yrsno data0.00052%
¥ 5.2k
Shigeo Kamimura
External Corporate Auditorno datano data0.0015%
¥ 15.6k
Masamitsu Takahara
External Corporate Auditor4.33yrsno datano data
Tomoki Kitagawa
no datano data0.0052%
¥ 52.0k
Mieko Kuwayama
Independent External Director2.17yrsno data0.00052%
¥ 5.2k
Masami Fujita
Independent External Director3.17yrsno data0.0010%
¥ 10.4k
Mariko Kitagawa
Independent External Director3.17yrsno datano data

3.2yrs

Average Tenure

Experienced Board: 2PW's board of directors are considered experienced (3.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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.


Top Shareholders

Company Information

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


Key Information

  • Name: Hazama Ando Corporation
  • Ticker: 2PW
  • Exchange: DB
  • Founded: 1873
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: JP¥127.015b
  • Listing Market Cap: JP¥1.005b
  • Shares outstanding: 193.03m
  • Website: https://www.ad-hzm.co.jp

Number of Employees


Location

  • Hazama Ando Corporation
  • 6-1-20, Akasaka
  • Minato-ku
  • Tokyo
  • 107-8658
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1719TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYOct 2003
2PWDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2003

Biography

Hazama Ando Corporation engages in the construction and construction-related business in Japan and internationally. The company offers civil engineering and building construction services, including survey ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/14 10:52
End of Day Share Price2020/08/13 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


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.