Makita Corporation

DB:MK2A Stock Report

Market Cap: €8.0b

Makita Valuation

Is MK2A undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • 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 MK2A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MK2A (€29.42) is trading below our estimate of fair value (€29.52)

Significantly Below Fair Value: MK2A is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MK2A?

Key metric: As MK2A is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MK2A. This is calculated by dividing MK2A's market cap by their current earnings.
What is MK2A's PE Ratio?
PE Ratio21x
EarningsJP¥61.08b
Market CapJP¥1.28t

Price to Earnings Ratio vs Peers

How does MK2A's PE Ratio compare to its peers?

The above table shows the PE ratio for MK2A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.7x
G1A GEA Group
19.1x8.3%€7.7b
RAA RATIONAL
42.5x6.9%€10.0b
GIL DMG MORI
22.2xn/a€3.5b
KRN Krones
14.9x16.2%€3.7b
MK2A Makita
21x7.5%€1.3t

Price-To-Earnings vs Peers: MK2A is good value based on its Price-To-Earnings Ratio (21x) compared to the peer average (24.6x).

Price to Earnings Ratio vs Industry

How does MK2A's PE Ratio compare vs other companies in the DE Machinery Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
MK2A 21.0xIndustry Avg. 14.9xNo. of Companies6PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MK2A is expensive based on its Price-To-Earnings Ratio (21x) compared to the German Machinery industry average (14.7x).

Price to Earnings Ratio vs Fair Ratio

What is MK2A'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.

MK2A PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21x
Fair PE Ratio16.9x

Price-To-Earnings vs Fair Ratio: MK2A is expensive based on its Price-To-Earnings Ratio (21x) compared to the estimated Fair Price-To-Earnings Ratio (16.9x).

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 MK2A forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€29.42
€32.67
+11.1%
9.9%€36.61€25.63n/a13
Nov ’25€30.60
€31.75
+3.8%
10.5%€36.31€25.41n/a13
Oct ’25€30.66
€33.10
+8.0%
9.8%€38.24€26.77n/a13
Sep ’25€30.00
€31.48
+4.9%
10.9%€36.85€25.80n/a13
Aug ’25€29.20
€31.26
+7.1%
9.9%€35.76€25.89n/a13
Jul ’25€25.00
€28.45
+13.8%
11.1%€33.45€21.92n/a13
Jun ’25€26.98
€28.40
+5.3%
9.7%€31.91€22.37n/a13
May ’25€27.08
€26.25
-3.1%
14.1%€31.38€19.77n/a13
Apr ’25€25.85
€26.32
+1.8%
18.0%€32.54€17.80n/a13
Mar ’25€23.40
€27.14
+16.0%
18.4%€33.32€18.23n/a14
Feb ’25€25.00
€27.14
+8.6%
18.4%€33.32€18.23n/a14
Jan ’25€24.55
€27.54
+12.2%
18.6%€34.18€18.70n/a14
Dec ’24€23.90
€26.65
+11.5%
18.0%€32.85€17.97n/a15
Nov ’24€22.85
€26.08
+14.1%
21.3%€33.04€16.11€30.6015
Oct ’24€23.25
€26.42
+13.6%
22.0%€33.57€16.37€30.6615
Sep ’24€25.05
€25.89
+3.3%
22.3%€33.65€16.41€30.0015
Aug ’24€28.80
€24.82
-13.8%
22.9%€33.88€15.98€29.2015
Jul ’24€25.55
€24.64
-3.5%
21.8%€33.87€15.98€25.0016
Jun ’24€24.60
€23.62
-4.0%
23.1%€30.68€13.34€26.9817
May ’24€24.45
€22.20
-9.2%
20.3%€31.16€13.55€27.0817
Apr ’24€22.26
€22.83
+2.6%
19.9%€31.95€13.89€25.8517
Mar ’24€22.78
€22.26
-2.3%
20.4%€31.94€13.89€23.4016
Feb ’24€22.54
€22.25
-1.3%
20.1%€32.52€14.14€25.0016
Jan ’24€21.62
€21.94
+1.5%
22.1%€35.02€13.87€24.5516
Dec ’23€22.50
€22.96
+2.0%
21.7%€35.45€14.04€23.9016
Nov ’23€18.15
€22.78
+25.5%
18.5%€34.38€15.04€22.8516

Analyst Forecast: Target price is less than 20% higher than the current share price.

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