DB:HKY

Stock Analysis Report

Hankyu Hanshin Holdings

Executive Summary

Hankyu Hanshin Holdings, Inc. operates in the urban transportation, real estate, entertainment and communications, travel, international transportation, and hotels businesses in Japan and internationally.

Snowflake

Fundamentals

Acceptable track record second-rate dividend payer.

Share Price & News

How has Hankyu Hanshin Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.3%

DB:HKY

-2.8%

DE Transportation

-1.5%

DE Market


1 Year Return

5.7%

DB:HKY

-20.8%

DE Transportation

-10.4%

DE Market

HKY outperformed the Transportation industry which returned -20.7% over the past year.

HKY outperformed the Market in Germany which returned -10.5% over the past year.


Share holder returns

HKYIndustryMarket
7 Day2.3%-2.8%-1.5%
30 Day9.8%-10.5%-4.3%
90 Day0.6%-13.4%-5.9%
1 Year6.7%5.7%-19.0%-20.8%-7.6%-10.4%
3 Year17.4%14.1%70.0%55.9%9.4%0.03%
5 Year55.9%48.7%227.9%186.3%25.6%8.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Hankyu Hanshin Holdings undervalued based on future cash flows and its price relative to the stock market?

14.29x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Hankyu Hanshin Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Hankyu Hanshin Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Hankyu Hanshin Holdings is overvalued based on earnings compared to the Europe Transportation industry average.

Hankyu Hanshin Holdings is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

Hankyu Hanshin Holdings is poor value based on expected growth next year.


Price Based on Value of Assets

Hankyu Hanshin Holdings is good value based on assets compared to the DE Transportation industry average.


Next Steps

Future Growth

How is Hankyu Hanshin Holdings expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

1.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Hankyu Hanshin Holdings's revenue is expected to grow by 0.5% yearly, however this is not considered high growth (20% yearly).

Hankyu Hanshin Holdings's earnings are expected to grow by 1.5% yearly, however this is not considered high growth (20% yearly).

Hankyu Hanshin Holdings's revenue growth is positive but not above the Germany market average.

Hankyu Hanshin Holdings's earnings growth is positive but not above the Germany market average.

Hankyu Hanshin Holdings's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Hankyu Hanshin Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Hankyu Hanshin Holdings performed over the past 5 years?

7.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Hankyu Hanshin Holdings's year on year earnings growth rate has been positive over the past 5 years.

Hankyu Hanshin Holdings's 1-year earnings growth exceeds its 5-year average (8.6% vs 7.3%)

Hankyu Hanshin Holdings's earnings growth has exceeded the Europe Transportation industry average in the past year (8.6% vs 4.7%).


Return on Equity

Hankyu Hanshin Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Hankyu Hanshin Holdings used its assets less efficiently than the Europe Transportation industry average last year based on Return on Assets.


Return on Capital Employed

Hankyu Hanshin Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Hankyu Hanshin Holdings's financial position?


Financial Position Analysis

Hankyu Hanshin Holdings's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Hankyu Hanshin Holdings's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Hankyu Hanshin Holdings's level of debt (92.9%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (157.5% vs 92.9% today).

Debt is not well covered by operating cash flow (14.6%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 14.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.3x debt.


Next Steps

Dividend

What is Hankyu Hanshin Holdings's current dividend yield, its reliability and sustainability?

1.36%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Hankyu Hanshin Holdings before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Hankyu Hanshin Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.59%).

Hankyu Hanshin Holdings's dividend is below the markets top 25% of dividend payers in Germany (4.29%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (6.9x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Hankyu Hanshin Holdings's salary, the management and board of directors tenure and is there insider trading?

0.6yrs

Average management tenure


CEO

Kazuo Sumi (70yo)

13.6yrs

Tenure

Mr. Kazuo Sumi serves as Chairman Group CEO of Hankyu Hanshin Holdings, Inc. since June 2017. Mr. Sumi served as the President of Hankyu Hanshin Holdings Inc. since 2006. Mr. Sumi has been the Chairman at  ...


Management Age and Tenure

0.6yrs

Average Tenure

61yo

Average Age

The average tenure for the Hankyu Hanshin Holdings management team is less than 2 years, this suggests a new team.


Board Age and Tenure

11.0yrs

Average Tenure

67yo

Average Age

The average tenure for the Hankyu Hanshin Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Kazuo Sumi (70yo)

    Chairman & Group CEO

    • Tenure: 13.6yrs
  • Takehiro Sugiyama (61yo)

    President & Representative Director

  • Mitsuo Nozaki (61yo)

    Chief of Personnel & General Affairs Office

  • Masao Shin (62yo)

    Executive VP & Representative Director

  • Toru Nakashima

    Executive Officer

    • Tenure: 0.6yrs
  • Satoru Nishino (58yo)

    Executive Officer

    • Tenure: 0.6yrs
  • Junichi Otsuka

    Executive Officer

    • Tenure: 0.6yrs

Board Members

  • Masao Shin (62yo)

    Executive VP & Representative Director

    • Tenure: 12.8yrs
  • Naoya Araki (62yo)

    External Director

  • Noriko Endo

    External Director

    • Tenure: 0.2yrs
  • Takaoki Fujiwara (67yo)

    Representative Director

    • Tenure: 8.2yrs
  • Shosuke Mori (79yo)

    Independent External Director

    • Tenure: 9.2yrs
  • Kazuo Sumi (70yo)

    Chairman & Group CEO

  • Yoshishige Shimatani (67yo)

    External Director

    • Tenure: 4.6yrs
  • Noriyuki Inoue (84yo)

    Independent External Director

    • Tenure: 13.6yrs
  • Takehiro Sugiyama (61yo)

    President & Representative Director

    • Tenure: 13.6yrs
  • Haruo Sakaguchi (86yo)

    External Audit & Supervisory Board Member

    • Tenure: 12.8yrs

Company Information

Hankyu Hanshin Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hankyu Hanshin Holdings, Inc.
  • Ticker: HKY
  • Exchange: DB
  • Founded: 1907
  • Industry: railroads
  • Sector: transportation
  • Market Cap: JP¥963.975b
  • Listing Market Cap: JP¥8.171b
  • Shares outstanding: 244.04m
  • Website: Click here

Number of Employees


Location

  • Hankyu Hanshin Holdings, Inc.
  • 1-16-1, Shibata
  • Kita-ku
  • Osaka
  • 530-0012
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
9042TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
HYUH.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
HKYDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Biography

Hankyu Hanshin Holdings, Inc. operates in the urban transportation, real estate, entertainment and communications, travel, international transportation, and hotels businesses in Japan and internationally.  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 21:27
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
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.