DB:HDZ

Stock Analysis Report

Executive Summary

Shimadzu Corporation manufactures and sells analytical and measuring instruments, medical systems, industrial machinery, and aircraft equipment.

Rewards

Earnings are forecast to grow 8.76% per year

Earnings grew by 10% over the past year

Risk Analysis

No risks detected for HDZ from our risk checks.


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HDZ has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

15.0%

HDZ

4.3%

DE Electronic

7.2%

DE Market


1 Year Return

-3.8%

HDZ

-26.3%

DE Electronic

-17.5%

DE Market

Return vs Industry: HDZ exceeded the German Electronic industry which returned -23.9% over the past year.

Return vs Market: HDZ exceeded the German Market which returned -14.1% over the past year.


Shareholder returns

HDZIndustryMarket
7 Day15.0%4.3%7.2%
30 Day7.9%-25.8%-22.3%
90 Day-13.4%-23.6%-26.1%
1 Year-3.2%-3.8%-24.8%-26.3%-14.9%-17.5%
3 Year74.5%70.4%-2.3%-5.5%-18.7%-25.7%
5 Year139.7%129.0%55.1%43.8%-17.8%-29.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

25.04x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HDZ (€24.6) is trading above our estimate of fair value (€15.4)

Significantly Below Fair Value: HDZ is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HDZ is poor value based on its PE Ratio (25x) compared to the Electronic industry average (16.9x).

PE vs Market: HDZ is poor value based on its PE Ratio (25x) compared to the German market (16.6x).


Price to Earnings Growth Ratio

PEG Ratio: HDZ is poor value based on its PEG Ratio (2.9x)


Price to Book Ratio

PB vs Industry: HDZ is overvalued based on its PB Ratio (2.9x) compared to the DE Electronic industry average (1.2x).


Next Steps

Future Growth

How is Shimadzu forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

8.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HDZ's forecast earnings growth (8.8% per year) is above the savings rate (-0.4%).

Earnings vs Market: HDZ's earnings (8.8% per year) are forecast to grow slower than the German market (14.7% per year).

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

Revenue vs Market: HDZ's revenue (5% per year) is forecast to grow faster than the German market (4% per year).

High Growth Revenue: HDZ's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HDZ's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has Shimadzu performed over the past 5 years?

10.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HDZ has high quality earnings.

Growing Profit Margin: HDZ's current net profit margins (8.8%) are higher than last year (8%).


Past Earnings Growth Analysis

Earnings Trend: HDZ's earnings have grown by 10.1% per year over the past 5 years.

Accelerating Growth: HDZ's earnings growth over the past year (10%) is below its 5-year average (10.1% per year).

Earnings vs Industry: HDZ earnings growth over the past year (10%) exceeded the Electronic industry -7.4%.


Return on Equity

High ROE: HDZ's Return on Equity (11.5%) is considered low.


Next Steps

Financial Health

How is Shimadzu's financial position?


Financial Position Analysis

Short Term Liabilities: HDZ's short term assets (¥273.1B) exceed its short term liabilities (¥106.5B).

Long Term Liabilities: HDZ's short term assets (¥273.1B) exceed its long term liabilities (¥17.7B).


Debt to Equity History and Analysis

Debt Level: HDZ's debt to equity ratio (0.8%) is considered satisfactory.

Reducing Debt: HDZ's debt to equity ratio has reduced from 17.4% to 0.8% over the past 5 years.

Debt Coverage: HDZ's debt is well covered by operating cash flow (1279.8%).

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


Balance Sheet

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

Debt Coverage by Assets: HDZ's debt is covered by short term assets (assets are 108.4x debt).


Next Steps

Dividend

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

1.02%

Current Dividend Yield


Upcoming Dividend Payment

TodayMar 28 2020Ex Dividend DateMar 30 2020Dividend Pay DateJun 27 202089 days from Ex DividendBuy in the next 1 day to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: HDZ's dividend (1.02%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.66%).

High Dividend: HDZ's dividend (1.02%) is low compared to the top 25% of dividend payers in the German market (4.86%).


Stability and Growth of Payments

Stable Dividend: HDZ's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (25.7%), HDZ'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

How experienced are the management team and are they aligned to shareholders interests?

4.8yrs

Average management tenure


CEO

Teruhisa Ueda (62yo)

4.75s

Tenure

Mr. Teruhisa Ueda has been the Chief Executive Officer and President of Shimadzu Corporation since June 2015. Mr. Ueda served as Senior Managing Executive Officer, Managing Executive Officer and Manager of ...


Leadership Team

NamePositionTenureCompensationOwnership
Teruhisa Ueda
President4.75yrsno data0.0051% ¥363.0k
Tetsuya Tanigaki
Chief of Public Relations Office and Executive Officerno datano datano data
Koichiro Hirata
Executive Officer and Manager of Personnel Departmentno datano datano data
Osamu Ando
Manager of Aerospace Equipment Business Departmentno datano datano data
Yasunori Tokumasu
Managing Executive Officer & GM of Fluidics Systems Divisionno datano datano data
Hiroshi Fujino
Senior Corporate Executive Officer and GM of Aircraft Equipment Division4.75yrsno data0.0061% ¥435.8k
Yasuo Miura
Senior Corporate Executive Officer6.75yrsno data0.0058% ¥411.5k
Koji Furusawa
Senior Corporate Executive Officer & Director2.75yrsno data0.0020% ¥145.5k
Yoshiaki Mase
Senior Managing Executive Officer & Manager of Operation System Business Departmentno datano datano data
Kunimasa Ito
Senior Managing Executive Officer & GM of Medical Systems Divisionno datano datano data

4.8yrs

Average Tenure

62yo

Average Age

Experienced Management: HDZ's management team is considered experienced (4.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Teruhisa Ueda
President4.75yrsno data0.0051% ¥363.0k
Yasuo Miura
Senior Corporate Executive Officer6.75yrsno data0.0058% ¥411.5k
Koji Furusawa
Senior Corporate Executive Officer & Director2.75yrsno data0.0020% ¥145.5k
Taketsugu Fujiwara
Outside Director5.75yrsno data0.0010% ¥72.7k
Akira Nakamoto
Chairman of the Board4.75yrsno data0.021% ¥1.5m
Takashi Iida
Outside Audit & Supervisory Board Member7.75yrsno data0.00068% ¥48.5k
Hiroyuki Fujii
Senior Audit & Supervisory Board Member6.75yrsno data0.0058% ¥411.5k
Koji Uematsu
Audit & Supervisory Board Member8.75yrsno data0.0020% ¥145.5k
Minoru Sawaguchi
Outside Director6.75yrsno datano data
Hiroko Wada
Outside Director3.75yrsno data0.00068% ¥48.5k

6.3yrs

Average Tenure

67yo

Average Age

Experienced Board: HDZ's board of directors are considered experienced (6.3 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.


Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Shimadzu Corporation
  • Ticker: HDZ
  • Exchange: DB
  • Founded: 1875
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: JP¥862.197b
  • Listing Market Cap: JP¥7.132b
  • Shares outstanding: 294.57m
  • Website: https://www.shimadzu.com

Number of Employees


Location

  • Shimadzu Corporation
  • 1, Nishinokyo Kuwabara-cho
  • Nakagyo-ku
  • Kyoto
  • 604-8511
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
7701TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
SHMZ.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
HDZDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Biography

Shimadzu Corporation manufactures and sells analytical and measuring instruments, medical systems, industrial machinery, and aircraft equipment. The company offers analytical and measuring instruments, such as gas and liquid chromatography, gas and liquid chromatograph-mass spectrometry, GC system, data management and software, mass and molecular spectroscopy, elemental analysis, column and consumable, surface analysis, life science lab instrument, total organic carbon analysis, continuous monitoring analysis, thermal analysis, particle size analysis, materials testing and inspection, non-destructive testing, and balance products. It also provides medical systems, including angiography, fluoroscopy, mobile C-arm, radiography, mobile X-ray systems, and fluorescence imaging products; and optical and laser devices comprising diffraction gratings, aspherical mirrors, laser mirrors and windows for high power lasers, polka-dot beam splitters, motorized compact monochromators, spectro sensor units, precision spectrometers, precision refractometers, laser modules and devices, and micro sampling devices. In addition, the company offers vacuum and industrial machinery consisting of turbo molecular pumps, helium leak detectors, vacuum heat-treatment furnaces, liquid delivery equipment gear pumps, mechatronic systems glass fiber winders, and ultra-high speed sputtering systems. Further, it provides hydraulic equipment, which include hydraulic gear pumps, power packages, and multi control valves; aircraft equipment, such as electro-mechanical actuators, flight control systems, and landing gear systems; ferromagnetic object detectors, generic magnetometers, portable magnetometers, and three-axis magnetometers for geomagnetic observation/magnetism measurement; and engine combustion monitoring systems. The company operates in Japan, the Americas, Europe, China, other Asian countries, and internationally. Shimadzu Corporation was founded in 1875 and is headquartered in Kyoto, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/27 21:21
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.