Disco Corporation manufactures and sells precision cutting, grinding, and polishing machines in Japan and internationally.
Flawless balance sheet with acceptable track record.
Share Price & News
How has Disco's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: D65's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: D65 exceeded the German Semiconductor industry which returned 31.1% over the past year.
Return vs Market: D65 exceeded the German Market which returned 2.5% over the past year.
Price Volatility Vs. Market
How volatile is Disco's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Disco undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: D65 (€224) is trading above our estimate of fair value (€135.21)
Significantly Below Fair Value: D65 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: D65 is poor value based on its PE Ratio (36.1x) compared to the Semiconductor industry average (27.2x).
PE vs Market: D65 is poor value based on its PE Ratio (36.1x) compared to the German market (20.7x).
Price to Earnings Growth Ratio
PEG Ratio: D65 is poor value based on its PEG Ratio (2.7x)
Price to Book Ratio
PB vs Industry: D65 is overvalued based on its PB Ratio (4.4x) compared to the DE Semiconductor industry average (2.3x).
How is Disco forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: D65's forecast earnings growth (13.2% per year) is above the savings rate (0.2%).
Earnings vs Market: D65's earnings (13.2% per year) are forecast to grow slower than the German market (22.5% per year).
High Growth Earnings: D65's earnings are forecast to grow, but not significantly.
Revenue vs Market: D65's revenue (8.6% per year) is forecast to grow faster than the German market (5.9% per year).
High Growth Revenue: D65's revenue (8.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: D65's Return on Equity is forecast to be low in 3 years time (15.4%).
How has Disco performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: D65 has high quality earnings.
Growing Profit Margin: D65's current net profit margins (19.6%) are higher than last year (19.5%).
Past Earnings Growth Analysis
Earnings Trend: D65's earnings have grown by 6.7% per year over the past 5 years.
Accelerating Growth: D65's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: D65 had negative earnings growth (-4%) over the past year, making it difficult to compare to the Semiconductor industry average (-6.5%).
Return on Equity
High ROE: D65's Return on Equity (12.2%) is considered low.
How is Disco's financial position?
Financial Position Analysis
Short Term Liabilities: D65's short term assets (¥170.0B) exceed its short term liabilities (¥46.9B).
Long Term Liabilities: D65's short term assets (¥170.0B) exceed its long term liabilities (¥531.0M).
Debt to Equity History and Analysis
Debt Level: D65 is debt free.
Reducing Debt: D65 has no debt compared to 5 years ago when its debt to equity ratio was 7.4%.
Debt Coverage: D65 has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: D65 has no debt, therefore coverage of interest payments is not a concern.
What is Disco current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: D65's dividend (1.58%) is higher than the bottom 25% of dividend payers in the German market (1.25%).
High Dividend: D65's dividend (1.58%) is low compared to the top 25% of dividend payers in the German market (3.84%).
Stability and Growth of Payments
Stable Dividend: D65's dividend payments have been volatile in the past 10 years.
Growing Dividend: D65's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (38.9%), D65'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.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Kazuma Sekiya (54yo)
Mr. Kazuma Sekiya serves as President Disco Corporation since April 2009 and has been its Chief Executive Officer, Chief Operating Officer. Chief Information Officer and General Manager of Engineering R&D ...
CEO Compensation Analysis
Compensation vs Market: Kazuma's total compensation ($USD2.53M) is below average for companies of similar size in the German market ($USD3.69M).
Compensation vs Earnings: Kazuma's compensation has been consistent with company performance over the past year.
|CEO, President||3.08yrs||JP¥271.00m||0.12% ¥9.9m|
|GM of Sales Division & Senior Executive Director||1.5yrs||no data||0.028% ¥2.3m|
|Head of Human Resource||9.08yrs||no data||0.044% ¥3.7m|
|Head of Hiroshima General Affairs||9.08yrs||no data||0.044% ¥3.7m|
|External Standing Corporate Auditor||11.08yrs||no data||no data|
|External Standing Corporate Auditor||13.08yrs||no data||no data|
|Director Emeritus||12.5yrs||no data||2.47% ¥204.2m|
|External Director||7.08yrs||no data||no data|
|External Director||5.08yrs||no data||no data|
|External Corporate Auditor||5.08yrs||no data||no data|
Experienced Board: D65's board of directors are considered experienced (9.1 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Disco Corporation's company bio, employee growth, exchange listings and data sources
- Name: Disco Corporation
- Ticker: D65
- Exchange: BST
- Founded: 1937
- Industry: Semiconductor Equipment
- Sector: Semiconductors
- Market Cap: JP¥1.001t
- Listing Market Cap: JP¥8.260b
- Shares outstanding: 36.01m
- Website: https://www.disco.co.jp
Number of Employees
- Disco Corporation
- 13-11 Omori-Kita 2-chome
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|6146||TSE (The Tokyo Stock Exchange)||Yes||Common Stock||JP||JPY||Jan 1992|
|D65||BST (Boerse-Stuttgart)||Yes||Common Stock||DE||EUR||Jan 1992|
|DSCS.Y||OTCPK (Pink Sheets LLC)||UNSPONSORED ADR||US||USD||May 2016|
Disco Corporation manufactures and sells precision cutting, grinding, and polishing machines in Japan and internationally. Its precision machines include dicing saws, laser saws, grinders, polishers, wafer mounters, die separators, surface planers, and waterjet saws, as well as products for dicing before grinding process and package singulation. The company also offers precision processing tools comprising dicing blades, grinding wheels, and dry polishing wheels; and other products, such as accessory equipment, as well as frames and cassettes, and additives for cutting waters. In addition, it manufactures and sells precision diamond abrasive tools; and offers processing services. Further, the company is involved in the disassembly and recycling of precision cutting, grinding, and polishing machines, as well as provides training services for the maintenance and operation of its products. Additionally, it leases precision machines; and purchases and sells used machines. The company was founded in 1937 and is headquartered in Tokyo, Japan.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/09 21:17|
|End of Day Share Price||2020/07/09 00:00|
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.