DB:MPX

Stock Analysis Report

Mitsubishi Paper Mills

Executive Summary

Mitsubishi Paper Mills Limited, together with its subsidiaries, produces, processes, and sells paper, pulp, and photosensitive materials in Japan, Europe, rest of Asia, North America, and internationally.


Snowflake Analysis

Very undervalued with solid track record.


Similar Companies

Share Price & News

How has Mitsubishi Paper Mills's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

7.2%

MPX

3.8%

DE Forestry

7.1%

DE Market


1 Year Return

-31.7%

MPX

-16.0%

DE Forestry

-17.5%

DE Market

Return vs Industry: MPX underperformed the German Forestry industry which returned -16% over the past year.

Return vs Market: MPX underperformed the German Market which returned -17.5% over the past year.


Shareholder returns

MPXIndustryMarket
7 Day7.2%3.8%7.1%
30 Day-10.2%-17.2%-20.0%
90 Day-24.4%-25.0%-26.1%
1 Year-31.7%-31.7%-12.2%-16.0%-15.0%-17.5%
3 Year-49.3%-50.2%2.8%-30.2%-18.8%-25.8%
5 Year-54.3%-55.1%37.2%-12.2%-17.9%-29.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Mitsubishi Paper Mills undervalued compared to its fair value and its price relative to the market?

35.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MPX (€2.98) is trading below our estimate of fair value (€4.63)

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


Price To Earnings Ratio

PE vs Industry: MPX is good value based on its PE Ratio (5.9x) compared to the Forestry industry average (9x).

PE vs Market: MPX is good value based on its PE Ratio (5.9x) compared to the German market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: MPX is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: MPX is good value based on its PB Ratio (0.3x) compared to the XE Forestry industry average (0.9x).


Next Steps

Future Growth

How is Mitsubishi Paper Mills forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

14.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MPX's forecast earnings growth (14.5% per year) is above the savings rate (-0.4%).

Earnings vs Market: MPX's earnings (14.5% per year) are forecast to grow faster than the German market (14.1% per year).

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

Revenue vs Market: MPX's revenue (2.2% per year) is forecast to grow slower than the German market (4.2% per year).

High Growth Revenue: MPX's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MPX's Return on Equity is forecast to be low in 3 years time (4.3%).


Next Steps

Past Performance

How has Mitsubishi Paper Mills performed over the past 5 years?

42.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MPX has high quality earnings.

Growing Profit Margin: MPX's current net profit margins (1.4%) are higher than last year (0.3%).


Past Earnings Growth Analysis

Earnings Trend: MPX has become profitable over the past 5 years, growing earnings by 42% per year.

Accelerating Growth: MPX's earnings growth over the past year (403.7%) exceeds its 5-year average (42% per year).

Earnings vs Industry: MPX earnings growth over the past year (403.7%) exceeded the Forestry industry -10.7%.


Return on Equity

High ROE: MPX's Return on Equity (4.5%) is considered low.


Next Steps

Financial Health

How is Mitsubishi Paper Mills's financial position?


Financial Position Analysis

Short Term Liabilities: MPX's short term assets (¥104.7B) do not cover its short term liabilities (¥121.8B).

Long Term Liabilities: MPX's short term assets (¥104.7B) exceed its long term liabilities (¥45.5B).


Debt to Equity History and Analysis

Debt Level: MPX's debt to equity ratio (169.2%) is considered high.

Reducing Debt: MPX's debt to equity ratio has reduced from 270.2% to 169.2% over the past 5 years.

Debt Coverage: MPX's debt is not well covered by operating cash flow (6%).

Interest Coverage: MPX's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet

Inventory Level: MPX has a high level of physical assets or inventory.

Debt Coverage by Assets: MPX's debt is not covered by short term assets (assets are 1x debt).


Next Steps

Dividend

What is Mitsubishi Paper Mills's current dividend yield, its reliability and sustainability?

1.35%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MPX's dividend (1.35%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.68%).

High Dividend: MPX's dividend (1.35%) is low compared to the top 25% of dividend payers in the German market (4.96%).


Stability and Growth of Payments

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

Growing Dividend: MPX's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (7.9%), MPX's dividend payments are thoroughly 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?


CEO

Yukihiro Tachifuji

no data

Tenure

Mr. Yukihiro Tachifuji serves as President, Chief Executive Officer and Representative Director at Mitsubishi Paper Mills Limited. He served as a Managing Executive Officer and served as Senior Executive O ...


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 been diluted in the past year, with total shares outstanding growing by 25.4%.


Top Shareholders

Company Information

Mitsubishi Paper Mills Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mitsubishi Paper Mills Limited
  • Ticker: MPX
  • Exchange: DB
  • Founded: 1898
  • Industry: Paper Products
  • Sector: Materials
  • Market Cap: JP¥16.524b
  • Listing Market Cap: JP¥137.912m
  • Shares outstanding: 44.66m
  • Website: https://www.mpm.co.jp

Number of Employees


Location

  • Mitsubishi Paper Mills Limited
  • 2-10-14, Ryogoku
  • Sumida-ku
  • Tokyo
  • 130-0026
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MPXDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
3864TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992

Biography

Mitsubishi Paper Mills Limited, together with its subsidiaries, produces, processes, and sells paper, pulp, and photosensitive materials in Japan, Europe, rest of Asia, North America, and internationally. The company operates in four segments: Paper and Pulp, Imaging Media, Speciality Materials, and Warehouse and Transportation. It offers writing and printing papers, photo-sensitive printing plates, inkjet papers, photographic materials, direct platemaking systems and graphic arts film materials, inkjet media, rewritable thermal recording materials, battery separators, air filters, production inkjet papers, electronic materials, silver nano particle inks, SF films, dye sensitized solar cells, and functional papers. The company also provides warehousing and carrying services; thermal engineering, heat management, and cooling solutions; Mydome, a thick nonwoven fabric; and SaiVis, a screen film. In addition, it is involved in engineering business. The company was formerly known as Mitsubishi Paper Mills Company and changed its name to Mitsubishi Paper Mills Limited in November 1917. Mitsubishi Paper Mills Limited was founded in 1898 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 Analysis2020/03/28 20:41
End of Day Share Price2020/03/27 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.