DB:QHH

Stock Analysis Report

Dai-ichi Life Holdings

Executive Summary

Dai-ichi Life Holdings, Inc., through its subsidiaries, provides life insurance products in Japan and internationally.

Snowflake

Fundamentals

Undervalued unattractive dividend payer.


Similar Companies

Share Price & News

How has Dai-ichi Life Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

QHH

2.6%

DE Insurance

1.7%

DE Market


1 Year Return

-18.2%

QHH

23.6%

DE Insurance

7.2%

DE Market

Return vs Industry: QHH underperformed the German Insurance industry which returned 23.6% over the past year.

Return vs Market: QHH underperformed the German Market which returned 7.2% over the past year.


Shareholder returns

QHHIndustryMarket
7 Day1.5%2.6%1.7%
30 Day6.6%3.9%2.4%
90 Day9.2%3.9%2.3%
1 Year-15.1%-18.2%29.0%23.6%10.6%7.2%
3 Year18.8%9.1%69.7%49.2%18.4%8.1%
5 Year50.9%32.8%119.2%75.5%42.3%22.9%

Price Volatility Vs. Market

How volatile is Dai-ichi Life Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Dai-ichi Life 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: QHH (€14.16) is trading below our estimate of fair value (€29.28)

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


Price To Earnings Ratio

PE vs Industry: QHH is good value based on its PE Ratio (8.6x) compared to the Insurance industry average (13.4x).

PE vs Market: QHH is good value based on its PE Ratio (8.6x) compared to the German market (19x).


Price to Earnings Growth Ratio

PEG Ratio: QHH is poor value based on its PEG Ratio (2.6x)


Price to Book Ratio

PB vs Industry: QHH is good value based on its PB Ratio (0.5x) compared to the DE Insurance industry average (1.1x).


Next Steps

Future Growth

How is Dai-ichi Life Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

3.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: QHH's forecast earnings growth (3.3% per year) is above the savings rate (0.2%).

Earnings vs Market: QHH's earnings (3.3% per year) are forecast to grow slower than the German market (12.7% per year).

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

Revenue vs Market: QHH's revenue (0.9% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: QHH's revenue (0.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: QHH's Return on Equity is forecast to be low in 3 years time (5.8%).


Next Steps

Past Performance

How has Dai-ichi Life Holdings performed over the past 5 years?

18.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: QHH's earnings have grown by 18% per year over the past 5 years.

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

Earnings vs Industry: QHH had negative earnings growth (-29.4%) over the past year, making it difficult to compare to the Insurance industry average (15.2%).


Return on Equity

High ROE: QHH's Return on Equity (6.1%) is considered low.


Return on Assets

ROA vs Industry: QHH's Return on Assets is below or equal to the Insurance industry average last year.


Return on Capital Employed

ROCE Improving: QHH's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Dai-ichi Life Holdings's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: QHH has a low level of unsold assets or inventory.

Debt Coverage by Assets: QHH's debt is covered by short term assets (assets are 1.844970x debt).


Financial Institutions Analysis

Asset Level: QHH's level of assets compared to its equity is moderate.

Allowance for Bad Loans: Insufficient data to determine if QHH has a sufficient allowance for bad loans.

Low Risk Liabilities: QHH reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if QHH has an acceptable proportion of non-loan assets held.

Low Risk Deposits: QHH has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if QHH has an appropriate level of bad loans.


Next Steps

Dividend

What is Dai-ichi Life Holdings's current dividend yield, its reliability and sustainability?

3.53%

Current Dividend Yield


Dividend Yield vs Market

company3.5%marketbottom25%1.5%markettop25%3.8%industryaverage3.9%forecastin3Years3.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: QHH's dividend (3.53%) is higher than the bottom 25% of dividend payers in the German market (1.48%).

High Dividend: QHH's dividend (3.53%) is low compared to the top 25% of dividend payers in the German market (3.83%).

Stable Dividend: Whilst dividend payments have been stable, QHH has been paying a dividend for less than 10 years.

Growing Dividend: QHH'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 (28.4%), QHH'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

What is the CEO of Dai-ichi Life Holdings's salary, the management and board of directors tenure and is there insider trading?

4.5yrs

Average management tenure


CEO

Seiji Inagaki (56yo)

2.5yrs

Tenure

0

Mr. Seiji Inagaki has been the President of The Dai-Ichi Life Insurance Company, Limited and Dai-ichi Life Holdings, Inc. since April 1, 2017. Mr. Inagaki served as Managing Executive Officer at The Dai-Ic ...


Management Age and Tenure

4.5yrs

Average Tenure

56yo

Average Age

Experienced Management: QHH's management team is considered experienced (4.5 years average tenure).


Board Age and Tenure

4.4yrs

Average Tenure

62yo

Average Age

Experienced Board: QHH's board of directors are considered experienced (4.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Kazuma Ishii (65yo)

    Senior Managing Executive Officer & Director

    • Tenure: 16.3yrs
  • Tomohiko Asano (52yo)

    Executive Officer & Chief General Manager of Asia Pacific

    • Tenure: 5.8yrs
  • Kenji Sakurai (60yo)

    Executive Vice President

    • Tenure: 0yrs
  • Morinobu Nagahama (63yo)

    Director

    • Tenure: 5.3yrs
  • Seiji Inagaki (56yo)

    President & Representative Director

    • Tenure: 2.5yrs
  • Masao Taketomi (56yo)

    Managing Executive Officer & Director

    • Tenure: 2.3yrs
  • Hideo Hatanaka (56yo)

    Managing Executive Officer

    • Tenure: 0yrs
  • Kenji Nishimura

    Head of IR Department

    • Tenure: 0yrs
  • Hiroyuki Kanou (52yo)

    Chief of Human Resources Unit & Executive Officer

    • Tenure: 0yrs
  • Takako Kitahori

    Chief of the Marketing Strategy Unit

    • Tenure: 0yrs

Board Members

  • Koichiro Watanabe (66yo)

    Chairman of the Board

    • Tenure: 2.5yrs
  • Shigeo Tsuyuki (65yo)

    Vice Chairman

    • Tenure: 2.5yrs
  • Kazuma Ishii (65yo)

    Senior Managing Executive Officer & Director

    • Tenure: 16.3yrs
  • Satoru Tsutsumi (64yo)

    VP & Representative Director

    • Tenure: 4.3yrs
  • Morinobu Nagahama (63yo)

    Director

    • Tenure: 5.3yrs
  • Hideo Teramoto (59yo)

    Director

    • Tenure: 7.3yrs
  • Girish Kulkarni (55yo)

    Chairman

    • Tenure: 7.3yrs
  • Seiji Inagaki (56yo)

    President & Representative Director

    • Tenure: 2.5yrs
  • Masao Taketomi (56yo)

    Managing Executive Officer & Director

    • Tenure: 2.3yrs
  • Koichi Oizumi (61yo)

    President & Representative Director of the Dai-Ichi Life Information Systems Co Ltd

    • Tenure: 4.5yrs

Company Information

Dai-ichi Life Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dai-ichi Life Holdings, Inc.
  • Ticker: QHH
  • Exchange: DB
  • Founded: 1902
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: JP¥1.997t
  • Listing Market Cap: JP¥16.512b
  • Shares outstanding: 1.14b
  • Website: https://www.dai-ichi-life-hd.com

Number of Employees


Location

  • Dai-ichi Life Holdings, Inc.
  • 1-13-1, Yuraku-cho
  • Chiyoda-ku
  • Tokyo
  • 100-8411
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8750TSE (The Tokyo Stock Exchange)YesCommon SharesJPJPYApr 2010
QHHDB (Deutsche Boerse AG)YesCommon SharesDEEURApr 2010
DCNS.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 2010
DLIC.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDFeb 2015

Biography

Dai-ichi Life Holdings, Inc., through its subsidiaries, provides life insurance products in Japan and internationally. The company offers individual life insurance and annuities, non-participating single p ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 21:08
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
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.