DB:2DJ

Stock Analysis Report

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Executive Summary

DYNAM JAPAN HOLDINGS Co., Ltd., through its subsidiaries, operates and manages a chain of pachinko halls in Japan.


Snowflake Analysis

Undervalued with adequate balance sheet.

Share Price & News

How has DYNAM JAPAN HOLDINGS's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 2DJ's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-6.3%

2DJ

8.4%

DE Hospitality

4.2%

DE Market


1 Year Return

-28.0%

2DJ

-44.1%

DE Hospitality

-4.6%

DE Market

Return vs Industry: 2DJ exceeded the German Hospitality industry which returned -44.1% over the past year.

Return vs Market: 2DJ underperformed the German Market which returned -4.6% over the past year.


Shareholder returns

2DJIndustryMarket
7 Day-6.3%8.4%4.2%
30 Day0.6%6.9%6.6%
90 Day-21.9%-47.0%-12.1%
1 Year-21.7%-28.0%-42.0%-44.1%-3.0%-4.6%
3 Year-31.8%-45.9%-57.7%-63.4%-8.6%-15.7%
5 Year-25.2%-48.8%-58.3%-67.1%-1.5%-14.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is DYNAM JAPAN HOLDINGS undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 2DJ (€0.89) is trading below our estimate of fair value (€1.9)

Significantly Below Fair Value: 2DJ is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 2DJ is good value based on its PE Ratio (6.2x) compared to the Hospitality industry average (21.5x).

PE vs Market: 2DJ is good value based on its PE Ratio (6.2x) compared to the German market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 2DJ's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 2DJ is good value based on its PB Ratio (0.6x) compared to the DE Hospitality industry average (1.7x).


Next Steps

Future Growth

How is DYNAM JAPAN HOLDINGS forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

96.3%

Forecasted Consumer Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as DYNAM JAPAN HOLDINGS has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has DYNAM JAPAN HOLDINGS performed over the past 5 years?

0.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2DJ has high quality earnings.

Growing Profit Margin: 2DJ's current net profit margins (8.8%) are lower than last year (9.3%).


Past Earnings Growth Analysis

Earnings Trend: 2DJ's earnings have grown by 0.3% per year over the past 5 years.

Accelerating Growth: 2DJ's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 2DJ had negative earnings growth (-6%) over the past year, making it difficult to compare to the Hospitality industry average (-36.2%).


Return on Equity

High ROE: 2DJ's Return on Equity (9.6%) is considered low.


Next Steps

Financial Health

How is DYNAM JAPAN HOLDINGS's financial position?


Financial Position Analysis

Short Term Liabilities: 2DJ's short term assets (¥61.4B) exceed its short term liabilities (¥46.8B).

Long Term Liabilities: 2DJ's short term assets (¥61.4B) do not cover its long term liabilities (¥92.6B).


Debt to Equity History and Analysis

Debt Level: 2DJ's debt to equity ratio (3.4%) is considered satisfactory.

Reducing Debt: 2DJ's debt to equity ratio has increased from 0.1% to 3.4% over the past 5 years.

Debt Coverage: 2DJ's debt is well covered by operating cash flow (627.2%).

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


Balance Sheet


Next Steps

Dividend

What is DYNAM JAPAN HOLDINGS's current dividend yield, its reliability and sustainability?

11.41%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 2DJ's dividend (11.41%) is higher than the bottom 25% of dividend payers in the German market (1.36%).

High Dividend: 2DJ's dividend (11.41%) is in the top 25% of dividend payers in the German market (4.18%)


Stability and Growth of Payments

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

Growing Dividend: 2DJ's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (71%), 2DJ's dividend payments are 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?

8.3yrs

Average management tenure


CEO

Makoto Sakamoto (62yo)

0.083

Tenure

Mr. Makoto Sakamoto serves as the Chief Executive Officer and President at DYNAM JAPAN HOLDINGS Co., Ltd. since April 27, 2020 and has been an Executive Officer since September 1, 2013. He has been Managin ...


Leadership Team

NamePositionTenureCompensationOwnership
Yoji Sato
Senior Corporate Advisor & Non-Executive Director8.67yrsJP¥23.30m46.63% ¥320.9m
Makoto Sakamoto
CEO, President & Executive Officer0.083yrno data0.0029% ¥19.7k
Hisao Katsuta
Executive Officer8.25yrsno datano data
Yoshiyuki Mizutani
Executive Officer7.5yrsno datano data
Kimiharu Sato
Executive Officer2.5yrsno datano data
Seiji Obe
Executive Officer2.92yrsno datano data
Kanetaka Satoh
President of Okuwa Japan and Representative Director of Okuwa Japan9.92yrsno datano data
Masaaki Horiguchi
President of Cabin Plaza and Representative Director of Cabin Plaza8.5yrsno datano data
Kuniyuki Ishizuka
President of Daikokuten and Representative Director of Daikokuten10.42yrsno datano data
Kenichi Asai
President of Dynam Data and Representative Director of Dynam Data16.58yrsno datano data

8.3yrs

Average Tenure

64yo

Average Age

Experienced Management: 2DJ's management team is seasoned and experienced (8.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Yoji Sato
Senior Corporate Advisor & Non-Executive Director8.67yrsJP¥23.30m46.63% ¥320.9m
Kanetaka Satoh
President of Okuwa Japan and Representative Director of Okuwa Japan9.92yrsno datano data
Masaaki Horiguchi
President of Cabin Plaza and Representative Director of Cabin Plaza8.5yrsno datano data
Kuniyuki Ishizuka
President of Daikokuten and Representative Director of Daikokuten10.42yrsno datano data
Kenichi Asai
President of Dynam Data and Representative Director of Dynam Data16.58yrsno datano data
Mitsuyuki Seki
President of Dynam Land and Representative Director of Dynam Land9.92yrsno datano data
Shigeru Fukuma
President of Dynam Advertisement and Representative Director of Dynam Advertisement9.83yrsno datano data
Toshio Soga
President of P Trading and Representative Director of P Trading8.92yrsno datano data
Taro Oka
President of Kanto Daido and Representative Director of Kanto Daido13.33yrsno datano data
Tatsuji Fujimoto
Chairman0.083yrJP¥40.00m0.027% ¥188.0k

9.9yrs

Average Tenure

66.5yo

Average Age

Experienced Board: 2DJ's board of directors are considered experienced (9.9 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

DYNAM JAPAN HOLDINGS Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: DYNAM JAPAN HOLDINGS Co., Ltd.
  • Ticker: 2DJ
  • Exchange: DB
  • Founded: 1967
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: HK$5.814b
  • Listing Market Cap: HK$688.114m
  • Shares outstanding: 765.99m
  • Website: https://www.dyjh.co.jp

Number of Employees


Location

  • DYNAM JAPAN HOLDINGS Co., Ltd.
  • 2-25-1-702 Nishi-Nippori
  • Arakawa-ku
  • Tokyo
  • Tokyo
  • 116-0013
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6889SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDAug 2012
2DJDB (Deutsche Boerse AG)YesOrdinary SharesDEEURAug 2012

Biography

DYNAM JAPAN HOLDINGS Co., Ltd., through its subsidiaries, operates and manages a chain of pachinko halls in Japan. The company also provides real estate and property management services; real estate development services; accounting and administration services; cleaning services for offices and pachinko halls; travel and insurance agency services; international freight forwarding services; and contracting services for construction works, property transactions, and management services. In addition, it is involved in developing and trading of pachinko machines; trading LCD monitors; operating restaurants; selling coffee beans; manufacturing and selling household supplies; and supporting franchise chain, as well as the aircraft leasing business. As of March 31, 2019, the company operated 450 pachinko halls. DYNAM JAPAN HOLDINGS Co., Ltd. was founded in 1967 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 Analysis2020/05/25 08:31
End of Day Share Price2020/05/22 00:00
Earnings2019/09/30
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.