Hirose ElectricLtd Valuation

Is HRO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HRO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HRO (€113) is trading above our estimate of fair value (€80.8)

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


Key Valuation Metric

Which metric is best to use when looking at relative valuation for HRO?

Key metric: As HRO is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HRO. This is calculated by dividing HRO's market cap by their current earnings.
What is HRO's PE Ratio?
PE Ratio20.2x
EarningsJP¥31.41b
Market CapJP¥634.08b

Price to Earnings Ratio vs Peers

How does HRO's PE Ratio compare to its peers?

The above table shows the PE ratio for HRO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.3x
JEN Jenoptik
15.1x12.3%€1.3b
S9I Stemmer Imaging
43x49.0%€351.0m
4062 IbidenLtd
19.6x17.6%JP¥667.2b
002841 Guangzhou Shiyuan Electronic Technology
19.5x16.8%CN¥24.5b
HRO Hirose ElectricLtd
20.2x7.1%€634.1b

Price-To-Earnings vs Peers: HRO is good value based on its Price-To-Earnings Ratio (20.2x) compared to the peer average (24.4x).


Price to Earnings Ratio vs Industry

How does HRO's PE Ratio compare vs other companies in the European Electronic Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
HRO 20.2xIndustry Avg. 19.1xNo. of Companies14PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HRO is expensive based on its Price-To-Earnings Ratio (20.2x) compared to the European Electronic industry average (19.1x).


Price to Earnings Ratio vs Fair Ratio

What is HRO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HRO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.2x
Fair PE Ratio11.7x

Price-To-Earnings vs Fair Ratio: HRO is expensive based on its Price-To-Earnings Ratio (20.2x) compared to the estimated Fair Price-To-Earnings Ratio (11.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HRO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€113.00
€133.17
+17.9%
13.2%€160.51€104.33n/a14
Dec ’25€111.00
€133.34
+20.1%
13.2%€160.71€104.46n/a14
Nov ’25€106.00
€128.77
+21.5%
13.2%€156.87€101.96n/a14
Oct ’25€112.00
€133.46
+19.2%
13.2%€163.61€106.35n/a13
Sep ’25€116.00
€129.25
+11.4%
13.4%€160.02€104.01n/a13
Aug ’25€106.00
€127.49
+20.3%
12.1%€154.69€104.57n/a13
Jul ’25€100.00
€109.86
+9.9%
14.0%€147.24€88.34n/a14
Jun ’25€101.00
€106.03
+5.0%
12.0%€132.33€89.01n/a14
May ’25€98.00
€105.59
+7.7%
12.2%€139.56€89.85n/a14
Apr ’25€92.50
€107.86
+16.6%
13.1%€143.04€92.09n/a13
Mar ’25€95.50
€110.55
+15.8%
11.6%€142.51€91.74n/a12
Feb ’25€102.00
€113.75
+11.5%
11.9%€146.49€94.31n/a12
Jan ’25€100.00
€114.65
+14.7%
11.9%€147.52€94.97€112.0012
Dec ’24€99.00
€112.95
+14.1%
11.7%€143.80€92.58€111.0012
Nov ’24€105.00
€115.20
+9.7%
11.8%€146.14€94.08€106.0012
Oct ’24€107.00
€117.42
+9.7%
10.9%€147.57€95.00€112.0013
Sep ’24€110.00
€121.40
+10.4%
13.6%€158.85€95.31€116.0014
Aug ’24€112.00
€123.15
+10.0%
12.8%€158.76€95.25€106.0014
Jul ’24€119.00
€124.33
+4.5%
13.1%€159.75€93.93€100.0014
Jun ’24€124.00
€127.29
+2.7%
14.9%€168.62€98.48€101.0014
May ’24€120.00
€126.17
+5.1%
14.6%€168.55€98.44€98.0014
Apr ’24€117.00
€132.36
+13.1%
13.8%€177.43€103.62€92.5014
Mar ’24€114.00
€129.67
+13.7%
14.1%€172.18€100.55€95.5014
Feb ’24€117.00
€135.16
+15.5%
13.7%€176.65€103.16€102.0014
Jan ’24€115.00
€138.86
+20.7%
13.4%€176.93€111.11€100.0014

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 11:29
End of Day Share Price 2025/01/02 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Hirose Electric Co.,Ltd. is covered by 23 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
George ChangAletheia Analyst Network Limited
Masaru KoshitaBarclays
Masahiro WakasugiBNP Paribas Securities (Asia)