DB:S3X

Stock Analysis Report

Executive Summary

Sumco Corporation, together with its subsidiaries, manufactures and sells silicon wafers for the semiconductor industry in Japan, North America, Asia, Europe, and internationally.

Snowflake

Fundamentals

Excellent balance sheet, good value and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

9.8%

S3X

2.6%

DE Semiconductor

2.4%

DE Market


1 Year Return

11.0%

S3X

-1.9%

DE Semiconductor

2.3%

DE Market

Return vs Industry: S3X exceeded the German Semiconductor industry which returned -1.9% over the past year.

Return vs Market: S3X exceeded the German Market which returned 2.3% over the past year.


Shareholder returns

S3XIndustryMarket
7 Day9.8%2.6%2.4%
30 Day8.2%-7.5%-0.2%
90 Day20.7%5.0%0.6%
1 Year16.3%11.0%-0.2%-1.9%5.5%2.3%
3 Year81.8%68.6%18.7%14.9%18.9%8.6%
5 Year73.8%56.8%112.8%102.1%44.8%25.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Sumco undervalued compared to its fair value and its price relative to the market?

8.85x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: S3X (€13.4) is trading above our estimate of fair value (€9.11)

Significantly Undervalued: S3X is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: S3X is good value based on its PE Ratio (8.9x) compared to the Semiconductor industry average (21.8x).

PE vs Market: S3X is good value based on its PE Ratio (8.9x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: S3X is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: S3X is good value based on its PB Ratio (1.6x) compared to the DE Semiconductor industry average (2.2x).


Next Steps

Future Growth

How is Sumco forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

9.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: S3X's forecast earnings growth (9% per year) is above the savings rate (0.2%).

Earnings vs Market: S3X's earnings (9% per year) are forecast to grow slower than the German market (12.6% per year).

High Growth Earnings: S3X's earnings are forecast to grow, but not significantly.

Revenue vs Market: S3X's revenue (5.4% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: S3X's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: S3X's Return on Equity is forecast to be low in 3 years time (12.7%).


Next Steps

Past Performance

How has Sumco performed over the past 5 years?

38.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: S3X's earnings have grown significantly by 38% per year over the past 5 years.

Accelerating Growth: S3X's earnings growth over the past year (17.3%) is below its 5-year average (38% per year).

Earnings vs Industry: S3X earnings growth over the past year (17.3%) underperformed the Semiconductor industry 20.6%.


Return on Equity

High ROE: S3X's Return on Equity (19%) is considered low.


Return on Assets

ROA vs Industry: S3X has a higher Return on Assets than the Semiconductor industry average last year.


Return on Capital Employed

ROCE Improving: S3X has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Sumco's financial position?


Financial Position Analysis

Short Term Liabilities: S3X's short term assets (¥327.7B) exceeds its short term liabilities (¥94.1B)

Long Term Liabilities: S3X's short term assets (327.7B) exceeds its long term liabilities (155.0B)


Debt to Equity History and Analysis

Debt Level: S3X's debt to equity ratio (45.6%) is considered high

Reducing Debt: S3X's debt to equity ratio has reduced from 109.4% to 45.6% over the past 5 years.

Debt Coverage: S3X's debt is well covered by operating cash flow (52.2%).

Interest Coverage: S3X's interest payments on its debt are well covered by EBIT (197.8x coverage).


Balance Sheet

Inventory Level: S3X has a high level of physical assets or inventory.

Debt Coverage by Assets: S3X's debt is covered by short term assets (assets are 2.159940x debt).


Next Steps

Dividend

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

3.97%

Current Dividend Yield


Upcoming Dividend Payment

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


Dividend Yield vs Market

company4.0%marketbottom25%1.4%markettop25%3.9%industryaverage1.2%forecastin3Years3.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: S3X's dividend (3.97%) is higher than the bottom 25% of dividend payers in the German market (1.43%).

High Dividend: S3X's dividend (3.97%) is in the top 25% of dividend payers in the German market (3.86%)

Stable Dividend: S3X's dividend payments have been volatile in the past 10 years.

Growing Dividend: S3X's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.3%), S3X'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 Sumco's salary, the management and board of directors tenure and is there insider trading?

1.6yrs

Average management tenure


CEO

Mayuki Hashimoto (68yo)

0yrs

Tenure

0

Mr. Mayuki Hashimoto serves as Chief Executive Officer at Sumco Corporation. Mr. Hashimoto served as the President of Sumco Corporation since April 2012. He served as Managing Director and Director of Mit ...


Management Age and Tenure

1.6yrs

Average Tenure

68yo

Average Age

Experienced Management: S3X's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Age and Tenure

3.6yrs

Average Tenure

68yo

Average Age

Experienced Board: S3X's board of directors are considered experienced (3.6 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

  • Mayuki Hashimoto (68yo)

    Chairman & CEO

    • Tenure: 0yrs
  • Michiharu Takii (69yo)

    CFO & Vice Chairman

    • Tenure: 1.6yrs
  • Hisashi Furuya (65yo)

    President

    • Tenure: 0yrs
  • Kazuo Hiramoto (63yo)

    Executive VP & Representative Director

    • Tenure: 8.5yrs
  • Fumio Inoue

    Senior Managing Executive Officer

    • Tenure: 1.6yrs
  • Keiichi Tanaka (69yo)

    Senior Managing Executive Officer

    • Tenure: 0yrs
  • Seiji Miyachi

    Managing Executive Officer

    • Tenure: 0yrs
  • Makoto Itoh

    Managing Executive Officer

    • Tenure: 0yrs
  • Kazuhiro Ikezawa

    Managing Executive Officer

    • Tenure: 0yrs
  • Hiroshi Shibaya

    Executive Officer and GM of Public Relations & IR Department

    • Tenure: 0yrs

Board Members

  • Mayuki Hashimoto (68yo)

    Chairman & CEO

    • Tenure: 0yrs
  • Michiharu Takii (69yo)

    CFO & Vice Chairman

    • Tenure: 1.6yrs
  • Shinichiro Ota (73yo)

    Outside Director and Member of Audit & Supervisory Committee

    • Tenure: 3.6yrs
  • Hitoshi Tanaka (69yo)

    Outside Director and Member of Audit & Supervisory Committee

    • Tenure: 3.6yrs
  • Hisashi Furuya (65yo)

    President

    • Tenure: 0yrs
  • Kazuo Hiramoto (63yo)

    Executive VP & Representative Director

    • Tenure: 8.5yrs
  • Hiroshi Yoshikawa (65yo)

    Director and Member of Audit & Supervisory Committee

    • Tenure: 0yrs
  • Masahiro Mitomi

    Outside Director and Member of Audit & Supervisory Committee

    • Tenure: 5.6yrs
  • Akio Fuwa

    Outside Director and Member of Audit & Supervisory Committee

    • Tenure: 1.8yrs

Company Information

Sumco Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sumco Corporation
  • Ticker: S3X
  • Exchange: DB
  • Founded: 1999
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Market Cap: JP¥472.764b
  • Listing Market Cap: JP¥3.956b
  • Shares outstanding: 293.28m
  • Website: https://www.sumcosi.com

Number of Employees


Location

  • Sumco Corporation
  • Seavans North
  • 1-2-1, Shibaura
  • Tokyo
  • 105-8634
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3436TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYNov 2005
S3XDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2005
SUMC.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDNov 2005
SUOP.YOTCPK (Pink Sheets LLC)ADRUSUSDNov 2008

Biography

Sumco Corporation, together with its subsidiaries, manufactures and sells silicon wafers for the semiconductor industry in Japan, North America, Asia, Europe, and internationally. It provides monocrystalli ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:46
End of Day Share Price2019/10/14 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.