MUN:NCZ

Stock Analysis Report

Nippon Chemi-Con

Executive Summary

Nippon Chemi-Con Corporation manufactures and sells aluminum and other capacitors, precision mechanical components, and electronics equipment in Japan, China, the United States, Europe, and internationally.


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has Nippon Chemi-Con's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

3.6%

NCZ

2.6%

DE Electronic

2.0%

DE Market


1 Year Return

-13.8%

NCZ

13.4%

DE Electronic

15.1%

DE Market

Return vs Industry: NCZ underperformed the German Electronic industry which returned 13.9% over the past year.

Return vs Market: NCZ underperformed the German Market which returned 15% over the past year.


Shareholder returns

NCZIndustryMarket
7 Day3.6%2.6%2.0%
30 Day-5.1%9.1%1.0%
90 Day-6.9%8.0%3.8%
1 Year-12.4%-13.8%15.9%13.4%18.6%15.1%
3 Year-41.7%-44.4%54.4%49.2%16.8%6.6%
5 Year-42.1%-47.4%121.9%105.8%23.7%6.7%

Price Volatility Vs. Market

How volatile is Nippon Chemi-Con's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Nippon Chemi-Con undervalued compared to its fair value and its price relative to the market?

0.68x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: NCZ (€14.8) is trading above our estimate of fair value (€9.98)

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


Price To Earnings Ratio

PE vs Industry: NCZ is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.

PE vs Market: NCZ is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate NCZ's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: NCZ is good value based on its PB Ratio (0.7x) compared to the DE Electronic industry average (1.8x).


Next Steps

Future Growth

How is Nippon Chemi-Con forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

112.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NCZ is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: NCZ is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: NCZ's is expected to become profitable in the next 3 years.

Revenue vs Market: NCZ's revenue (5.8% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: NCZ's revenue (5.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NCZ's Return on Equity is forecast to be low in 3 years time (5.2%).


Next Steps

Past Performance

How has Nippon Chemi-Con performed over the past 5 years?

-30.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NCZ is currently unprofitable.

Growing Profit Margin: NCZ is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NCZ is unprofitable, and losses have increased over the past 5 years at a rate of -30.2% per year.

Accelerating Growth: Unable to compare NCZ's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: NCZ is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-3.9%).


Return on Equity

High ROE: NCZ has a negative Return on Equity (-7.67%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Nippon Chemi-Con's financial position?


Financial Position Analysis

Short Term Liabilities: NCZ's short term assets (¥70.6B) exceed its short term liabilities (¥40.5B).

Long Term Liabilities: NCZ's short term assets (¥70.6B) exceed its long term liabilities (¥47.5B).


Debt to Equity History and Analysis

Debt Level: NCZ's debt to equity ratio (117%) is considered high.

Reducing Debt: NCZ's debt to equity ratio has increased from 51.9% to 117% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: NCZ's debt is covered by short term assets (assets are 1.4x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: NCZ has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if NCZ has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Nippon Chemi-Con's current dividend yield, its reliability and sustainability?

1.69%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Nippon Chemi-Con before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company1.7%marketbottom25%1.3%markettop25%3.6%industryaverage1.2%forecastin3Years1.7%

Current dividend yield vs market & industry

Notable Dividend: NCZ's dividend (1.69%) is higher than the bottom 25% of dividend payers in the German market (1.31%).

High Dividend: NCZ's dividend (1.69%) is low compared to the top 25% of dividend payers in the German market (3.59%).


Stability and Growth of Payments

Stable Dividend: NCZ has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: NCZ has only been paying a dividend for 9 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: NCZ is paying a dividend but the company is unprofitable.


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?

0.9yrs

Average management tenure


CEO

Ikuo Uchiyama (68yo)

5.7yrs

Tenure

0

Mr. Ikuo Uchiyama serves as the Chairman at Nippon Chemi-con Corporation since June 2019 and Chief Executive Officer since June 2014. He served as President at Nippon Chemi-con Corporation since June 2003  ...


Leadership Team

NamePositionTenureCompensationOwnership
Ikuo Uchiyama
Chairman & CEO5.7yrsno data0.074% ¥179.1k
Norio Kamiyama
President1.7yrsno data0.0061% ¥14.9k
Shuichi Shiraishi
Senior Managing Executive Officer11.7yrsno data0.018% ¥44.8k
Yoshifumi Minegishi
Managing Exec. Officer5.7yrsno data0.025% ¥59.7k
Masakazu Furukawa
Senior Executive Officer6.7yrsno datano data
Takayuki Ito
Senior Executive Officer0yrsno datano data
Osamu Ishii
Senior Executive Officer0yrsno datano data
Kazuto Miura
Senior Executive Officer0yrsno datano data
Kenji Tamamitsu
Executive Officer and Chief of Basic Research Center of R&D Division0yrsno datano data
Kenichi Konno
Senior Executive Officer1.1yrsno datano data

0.9yrs

Average Tenure

63yo

Average Age

Experienced Management: NCZ's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Ikuo Uchiyama
Chairman & CEO5.7yrsno data0.074% ¥179.1k
Norio Kamiyama
President1.7yrsno data0.0061% ¥14.9k
Shuichi Shiraishi
Senior Managing Executive Officer11.7yrsno data0.018% ¥44.8k
Yoshifumi Minegishi
Managing Exec. Officer5.7yrsno data0.025% ¥59.7k
Kinya Kawakami
Outside Director4.7yrsno datano data
Fumio Morita
Outside Audit & Supervisory Board Member3.7yrsno datano data
Noboru Ichikawa
Standing Corporate Auditor0yrsno datano data
Hideaki Takahashi
Outside Director5.7yrsno datano data
Hiroyuki Yajima
Audit & Supervisory Board Member2.7yrsno datano data
Yukisada Takahashi
Audit & Supervisory Board Member3.7yrsno datano data

3.7yrs

Average Tenure

63.5yo

Average Age

Experienced Board: NCZ's board of directors are considered experienced (3.7 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

Nippon Chemi-Con Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nippon Chemi-Con Corporation
  • Ticker: NCZ
  • Exchange: MUN
  • Founded: 1931
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: JP¥28.918b
  • Listing Market Cap: JP¥242.947m
  • Shares outstanding: 16.28m
  • Website: https://www.chemi-con.co.jp

Number of Employees


Location

  • Nippon Chemi-Con Corporation
  • 5-6-4, Osaki
  • Shinagawa-ku
  • Tokyo
  • 141-8605
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NCZMUN (Boerse Muenchen)YesCommon StockDEEURJan 1992
6997TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992

Biography

Nippon Chemi-Con Corporation manufactures and sells aluminum and other capacitors, precision mechanical components, and electronics equipment in Japan, China, the United States, Europe, and internationally. The company offers aluminum electrolytic capacitors, conductive polymer aluminum solid capacitors, and conductive polymer hybrid aluminum electrolytic capacitors. It also provides multilayer ceramic capacitors, film capacitors, metal oxide varistors TNR, nanocrystalline/amorphous/dust choke coils, electric double layer capacitors, and electro-mechanical products, as well as manufactures and distributes silicon wafers and wafer related products. The company was formerly known as Nippon Chemical Capacitor Inc. and changed its name to Nippon Chemi-Con Corporation in July 1981. Nippon Chemi-Con Corporation was founded in 1931 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 Analysis2020/02/17 20:53
End of Day Share Price2020/02/17 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.