DB:XST

Stock Analysis Report

Executive Summary

Sanwa Holdings Corporation, through its subsidiaries, manufactures and sells steel construction materials for commercial and residential construction in Japan, North America, and Europe.


Snowflake Analysis

Excellent balance sheet and good value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: XST's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.7%

XST

1.8%

DE Building

2.1%

DE Market


1 Year Return

-37.0%

XST

-7.7%

DE Building

-16.6%

DE Market

Return vs Industry: XST underperformed the German Building industry which returned -10.7% over the past year.

Return vs Market: XST underperformed the German Market which returned -20.9% over the past year.


Shareholder returns

XSTIndustryMarket
7 Day-5.7%1.8%2.1%
30 Day-14.8%-9.7%-12.6%
90 Day-34.7%-11.9%-22.9%
1 Year-34.7%-37.0%-4.0%-7.7%-14.2%-16.6%
3 Year-17.3%-23.8%-1.3%-11.9%-14.8%-21.9%
5 Year7.5%-6.1%34.0%15.6%-16.6%-27.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

29.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: XST (€6.99) is trading below our estimate of fair value (€9.94)

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


Price To Earnings Ratio

PE vs Industry: XST is good value based on its PE Ratio (8.4x) compared to the Building industry average (14.9x).

PE vs Market: XST is good value based on its PE Ratio (8.4x) compared to the German market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: XST is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: XST is overvalued based on its PB Ratio (1.1x) compared to the DE Building industry average (1x).


Next Steps

Future Growth

How is Sanwa Holdings forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

4.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XST's forecast earnings growth (4.7% per year) is above the savings rate (-0.4%).

Earnings vs Market: XST's earnings (4.7% per year) are forecast to grow slower than the German market (14.1% per year).

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

Revenue vs Market: XST's revenue (2.5% per year) is forecast to grow slower than the German market (4% per year).

High Growth Revenue: XST's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: XST's Return on Equity is forecast to be low in 3 years time (12.7%).


Next Steps

Past Performance

How has Sanwa Holdings performed over the past 5 years?

12.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: XST has high quality earnings.

Growing Profit Margin: XST's current net profit margins (5%) are higher than last year (4.9%).


Past Earnings Growth Analysis

Earnings Trend: XST's earnings have grown by 12.1% per year over the past 5 years.

Accelerating Growth: XST's earnings growth over the past year (6.2%) is below its 5-year average (12.1% per year).

Earnings vs Industry: XST earnings growth over the past year (6.2%) underperformed the Building industry 7.6%.


Return on Equity

High ROE: XST's Return on Equity (13.8%) is considered low.


Next Steps

Financial Health

How is Sanwa Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: XST's short term assets (¥222.2B) exceed its short term liabilities (¥127.1B).

Long Term Liabilities: XST's short term assets (¥222.2B) exceed its long term liabilities (¥71.2B).


Debt to Equity History and Analysis

Debt Level: XST's debt to equity ratio (44.5%) is considered high.

Reducing Debt: XST's debt to equity ratio has reduced from 55.8% to 44.5% over the past 5 years.

Debt Coverage: XST's debt is well covered by operating cash flow (32.8%).

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


Balance Sheet


Next Steps

Dividend

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

4.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: XST's dividend (4.27%) is higher than the bottom 25% of dividend payers in the German market (1.69%).

High Dividend: XST's dividend (4.27%) is low compared to the top 25% of dividend payers in the German market (4.85%).


Stability and Growth of Payments

Stable Dividend: XST's dividend payments have been volatile in the past 10 years.

Growing Dividend: XST's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (34.7%), XST'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?

4.0yrs

Average management tenure


CEO

Koji Enoyama

no data

Tenure

JP¥106,000,000

Compensation

Mr. Koji Enoyama serves as President and Chief Executive Officer at Sanwa Holdings Corporation. 


CEO Compensation Analysis

Compensation vs Market: Koji's total compensation ($USD976.86K) is below average for companies of similar size in the German market ($USD1.93M).

Compensation vs Earnings: Insufficient data to compare Koji's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Koji Enoyama
President & CEOno dataJP¥106.00mno data
Yasushi Takayama
President7.83yrsno data0.050% ¥733.8k
Masahiro Fukuda
Senior Executive Officer of Corporate Planning Unit & Director7.83yrsno data0.034% ¥495.9k
Takenobu Hoizumi
Executive Officer & Subleader of Corporate Planning Unitno datano datano data
Hiroatsu Fujisawa
Senior Managing Executive Officer of Global Business Unit & Director5.83yrsno data0.011% ¥163.1k
Toshiaki Doba
Senior Executive Officer & Head of Americas Business and Global Business Unit4yrsno datano data
Kazuhiko Yokota
Executive Officer & Head of China Business - Global Business Unitno datano datano data
Hiroyuki Yamazaki
Senior Executive Officerno datano datano data
Masayuki Shinko
General Manager of Corporate Communications Departmentno datano datano data

4.0yrs

Average Tenure

Experienced Management: XST's management team is considered experienced (4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Yasushi Takayama
President7.83yrsno data0.050% ¥733.8k
Masahiro Fukuda
Senior Executive Officer of Corporate Planning Unit & Director7.83yrsno data0.034% ¥495.9k
Hiroatsu Fujisawa
Senior Managing Executive Officer of Global Business Unit & Director5.83yrsno data0.011% ¥163.1k
Makoto Yasuda
Outside Director5.83yrsno data0.0023% ¥34.0k
Toshitaka Takayama
Chairman7.83yrsJP¥166.00m0.86% ¥12.6m
Tsunekatsu Yonezawa
Outside Director3.83yrsno datano data
Teiko Zaima
Director3.83yrsno data0.010% ¥149.5k
Akira Gokita
Outside Director3.83yrsno datano data
Meiji Takayama
Director2.83yrsno data0.040% ¥584.3k

5.8yrs

Average Tenure

Experienced Board: XST's board of directors are considered experienced (5.8 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

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


Key Information

  • Name: Sanwa Holdings Corporation
  • Ticker: XST
  • Exchange: DB
  • Founded: 1956
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: JP¥173.693b
  • Listing Market Cap: JP¥1.473b
  • Shares outstanding: 216.85m
  • Website: https://www.sanwa-hldgs.co.jp

Number of Employees


Location

  • Sanwa Holdings Corporation
  • Shinjuku Mitsui Building
  • 52nd Floor
  • Tokyo
  • 163-0478
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
5929TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
XSTDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
SNWA.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992

Biography

Sanwa Holdings Corporation, through its subsidiaries, manufactures and sells steel construction materials for commercial and residential construction in Japan, North America, and Europe. The company offers heavy duty, lightweight, high speed, window, rolling, and sheet shutters; and industrial and commercial sectional, garage, steel, condominium, automatic, light weight sliding, truck and trailer, fireproof, swing, revolving, platform screen, and other doors, as well as door openers and frames. It also provides aluminum and stainless steel facades; partitions and toilet booths; curtain walls; mail and delivery boxes; waterproofing products; hardware parts; resin panels and parts; dollies and walk ramps; dock levelers and equipment; operator systems; stainless steel building products; and other building materials. In addition, the company offers installation and maintenance services for automatic sliding and slide doors for commercial, industrial, and public facilities, as well as hospitals; and aluminum/wood/plastic composite doors for elder care and nursing care facilities. Further, it engages in the rental of garage houses. Sanwa Holdings Corporation was founded in 1956 and is headquartered in Tokyo, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/06 23:31
End of Day Share Price2020/04/06 00:00
Earnings2019/12/31
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.