DB:KOK

Stock Analysis Report

Executive Summary

Kokuyo Co., Ltd. manufactures, purchases, and sells stationery and office furniture products in Japan and internationally.

Snowflake

Fundamentals

Flawless balance sheet, undervalued and pays a dividend.

Risks

  • Kokuyo is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

DB:KOK

2.2%

DE Commercial Services

3.2%

DE Market


1 Year Return

n/a

DB:KOK

-28.4%

DE Commercial Services

-9.7%

DE Market

No trading data on KOK.

No trading data on KOK.


Share holder returns

KOKIndustryMarket
7 Day1.5%2.2%3.2%
30 Day-5.4%-10.0%-4.4%
90 Dayn/a-11.7%-2.0%
1 Yearn/a-25.8%-28.4%-6.9%-9.7%
3 Yearn/a12.0%2.3%11.8%2.2%
5 Yearn/a-21.7%-32.5%26.9%9.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Kokuyo undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Kokuyo's share price is below the future cash flow value, and at a moderate discount (> 20%).

Kokuyo's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Kokuyo is good value based on earnings compared to the Europe Commercial Services industry average.

Kokuyo is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

Kokuyo is poor value based on expected growth next year.


Price Based on Value of Assets

Kokuyo is good value based on assets compared to the DE Commercial Services industry average.


Next Steps

Future Growth

How is Kokuyo expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

4.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Kokuyo's revenue is expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).

Kokuyo's earnings are expected to grow by 4.2% yearly, however this is not considered high growth (20% yearly).

Kokuyo's revenue growth is positive but not above the Germany market average.

Kokuyo's earnings growth is positive but not above the Germany market average.

Kokuyo's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Kokuyo is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Kokuyo performed over the past 5 years?

23.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Kokuyo has delivered over 20% year on year earnings growth in the past 5 years.

Kokuyo's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Kokuyo's 1-year earnings growth is negative, it can't be compared to the Europe Commercial Services industry average.


Return on Equity

Kokuyo has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Kokuyo used its assets less efficiently than the Europe Commercial Services industry average last year based on Return on Assets.


Return on Capital Employed

Kokuyo's use of capital has not improved over the past 3 years (Return on Capital Employed).


Next Steps

Financial Health

How is Kokuyo's financial position?


Financial Position Analysis

Kokuyo is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Kokuyo's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Kokuyo's level of debt (6.5%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (21.7% vs 6.5% today).

Debt is well covered by operating cash flow (136.3%, greater than 20% of total debt).

Kokuyo earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 13.3x debt.


Next Steps

Dividend

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

2.70%

Expected Dividend Yield


Upcoming Dividend Payment

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


Dividend Yield and Payments Analysis

Kokuyo's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.51%).

Kokuyo's dividend is below the markets top 25% of dividend payers in Germany (4.17%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.2x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

5.4yrs

Average board tenure


CEO

Ayyadurai Srikanth 0

0.0yrs

Tenure

0

Mr. Ayyadurai Srikanth served as the Chief Executive Officer at Kokuyo Camlin Limited at Kokuyo Co. Ltd. from February 1, 2013 to April 01, 2017. Mr. Srikanth is a Bachelor of Technology from Indian Instit ...


Board Age and Tenure

5.4yrs

Average Tenure

65yo

Average Age

The tenure for the Kokuyo board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Takuya Morikawa (59yo)

    Senior Managing Officer of International Business Division & Director

    • Tenure: 5.4yrs
  • Hidekuni Kuroda

    President & Representative Director

    • Tenure: 5.4yrs
  • Nobuyuki Miyagaki

    Executive VP & Director

    • Tenure: 0.0yrs
  • Ayyadurai Srikanth

    Chief Executive Officer of Kokuyo Camlin

    • Tenure: 0.0yrs
  • Kozo Sakagami

    Senior Managing Officer of Furniture Business Division

    • Tenure: 0.0yrs
  • Kenichiro Takahashi

    Managing Officer of Kaunet Business Division

    • Tenure: 0.0yrs
  • Naotaka Umeda

    Managing Officer of Finance & Accounting Division

    • Tenure: 1.6yrs
  • Masahiro Fukui

    Managing Officer of Stationery Business Division

    • Tenure: 1.6yrs
  • Toshio Naitou

    Managing Officer of Corporate Development Office

    • Tenure: 0.0yrs
  • Hiroshi Terada

    Managing Officer of Corporate Administrations

    • Tenure: 0.0yrs

Board Members

  • Hisao Sakuta (75yo)

    Independent Director

    • Tenure: 7.4yrs
  • Yasuhiro Kuroda

    Vice Chairman

    • Tenure: 0.0yrs
  • Takuya Morikawa (59yo)

    Senior Managing Officer of International Business Division & Director

    • Tenure: 5.4yrs
  • Hidekuni Kuroda

    President & Representative Director

    • Tenure: 5.4yrs
  • Akihiro Kuroda (70yo)

    Chairman

    • Tenure: 0.0yrs
  • Hiroshi Hamada (60yo)

    Independent Director

    • Tenure: 5.4yrs
  • Nobuyuki Miyagaki

    Executive VP & Director

    • Tenure: 0.0yrs
  • Taketsugu Fujiwara

    Independent Director

    • Tenure: 0.0yrs
  • Morihiro Murata

    Outside Audit & Supervisory Board Member

    • Tenure: 3.4yrs
  • Mika Masuyama

    Outside Director

    • Tenure: 0.3yrs

Company Information

Kokuyo Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kokuyo Co., Ltd.
  • Ticker: KOK
  • Exchange: DB
  • Founded: 1905
  • Industry: Office Services and Supplies
  • Sector: Commercial Services
  • Market Cap: JP¥165.013b
  • Listing Market Cap: JP¥1.398b
  • Shares outstanding: 118.29m
  • Website: https://www.kokuyo.co.jp

Number of Employees


Location

  • Kokuyo Co., Ltd.
  • 6-1-1 Oimazato-minami
  • Higashinari-ku
  • Osaka
  • 537-8686
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
7984TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
KOKDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Biography

Kokuyo Co., Ltd. manufactures, purchases, and sells stationery and office furniture products in Japan and internationally. It also provides space design and consultation services. The company operates thro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 22:35
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.