DB:K22

Stock Analysis Report

Executive Summary

Keio Corporation engages in the transportation, real estate, merchandise sales, and other businesses in Japan.

Snowflake

Fundamentals

Acceptable track record with imperfect balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.6%

DB:K22

-2.8%

DE Transportation

-1.5%

DE Market


1 Year Return

34.5%

DB:K22

-20.8%

DE Transportation

-10.4%

DE Market

K22 outperformed the Transportation industry which returned -20.8% over the past year.

K22 outperformed the Market in Germany which returned -10.4% over the past year.


Share holder returns

K22IndustryMarket
7 Day0.6%-2.8%-1.5%
30 Day1.2%-10.5%-4.6%
90 Day-8.1%-10.2%-4.6%
1 Year35.5%34.5%-19.0%-20.8%-7.6%-10.4%
3 Year63.5%55.9%59.1%48.0%9.4%0.03%
5 Year107.1%93.9%118.5%91.1%25.6%8.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

30.57x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Keio is overvalued based on earnings compared to the Europe Transportation industry average.

Keio is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

Keio is poor value based on expected growth next year.


Price Based on Value of Assets

Keio is overvalued based on assets compared to the DE Transportation industry average.


Next Steps

Future Growth

How is Keio expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

5.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Keio's revenue is expected to grow by 2% yearly, however this is not considered high growth (20% yearly).

Keio's earnings are expected to grow by 5.3% yearly, however this is not considered high growth (20% yearly).

Keio's revenue growth is positive but not above the Germany market average.

Keio's earnings growth is positive but not above the Germany market average.

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Keio performed over the past 5 years?

9.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

Keio's 1-year earnings growth exceeds its 5-year average (13.1% vs 9.6%)

Keio's earnings growth has exceeded the Europe Transportation industry average in the past year (13.1% vs 4.7%).


Return on Equity

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


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Keio's financial position?


Financial Position Analysis

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

Keio's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Keio's level of debt (90.2%) 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 (112% vs 90.2% today).

Debt is not well covered by operating cash flow (18.1%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 19.4x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.4x debt.


Next Steps

Dividend

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

0.88%

Expected Dividend Yield


Upcoming Dividend Payment

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


Dividend Yield and Payments Analysis

Keio's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.57%).

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

Keio is not paying a notable dividend for Germany, therefore no need to check if the payments are stable.

Keio is not paying a notable dividend for Germany, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Keio's dividends as it is not paying a notable one for Germany.


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 Keio's salary, the management and board of directors tenure and is there insider trading?

3.1yrs

Average management tenure


CEO

Yasushi Komura (61yo)

3.1yrs

Tenure

0

Yasushi Komura has been the President at Keio Corporation since July 5, 2016 and served as its Executive Vice President and General Manager of Corporate Planning Division since June 2015 until July 5, 2016 ...


Management Age and Tenure

3.1yrs

Average Tenure

The tenure for the Keio management team is about average.


Board Age and Tenure

5.2yrs

Average Tenure

62yo

Average Age

The tenure for the Keio board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Yasushi Komura (61yo)

    President & Representative Director

    • Tenure: 3.1yrs
  • Akinobu Kawase (62yo)

    Managing Director & Director

    • Tenure: 7.2yrs
  • Kazunori Nakaoka

    MD, GM of Strategy Promotion Division

    • Tenure: 6.2yrs
  • Shunji Ito

    MD & Director

    • Tenure: 4.2yrs
  • Yotaro Koshimizu

    Manager of Group Business Department - Overall Management Division & Director

    • Tenure: 3.1yrs
  • Kazunari Nakajima

    Manager of Hotel Strategy Department - Strategy Promotion Division & Director

    • Tenure: 3.1yrs
  • Yoshitaka Minami

    MD & Director

    • Tenure: 3.1yrs

Board Members

  • Tadashi Nagata (67yo)

    Chairman

    • Tenure: 4.2yrs
  • Ichiro Komada (63yo)

    Director

    • Tenure: 9.2yrs
  • Yasushi Komura (61yo)

    President & Representative Director

    • Tenure: 3.1yrs
  • Mamoru Yamamoto (62yo)

    Director

    • Tenure: 9.2yrs
  • Akinobu Kawase (62yo)

    Managing Director & Director

    • Tenure: 7.2yrs
  • Kazunori Nakaoka

    MD, GM of Strategy Promotion Division

    • Tenure: 6.2yrs
  • Shunji Ito

    MD & Director

    • Tenure: 4.2yrs
  • Yotaro Koshimizu

    Manager of Group Business Department - Overall Management Division & Director

    • Tenure: 3.1yrs
  • Kazunari Nakajima

    Manager of Hotel Strategy Department - Strategy Promotion Division & Director

    • Tenure: 3.1yrs
  • Yoshitaka Minami

    MD & Director

    • Tenure: 3.1yrs

Company Information

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


Key Information

  • Name: Keio Corporation
  • Ticker: K22
  • Exchange: DB
  • Founded: 1948
  • Industry: Railroads
  • Sector: Transportation
  • Market Cap: JP¥837.624b
  • Listing Market Cap: JP¥7.086b
  • Shares outstanding: 122.10m
  • Website: https://www.keio.co.jp

Number of Employees


Location

  • Keio Corporation
  • 1-9-1 Sekido
  • Tama-shi
  • Tokyo
  • 206-8502
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
9008TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
K22DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Biography

Keio Corporation engages in the transportation, real estate, merchandise sales, and other businesses in Japan. Keio Corporation was founded in 1948 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 Analysis2019/08/19 21:24
End of Day Share Price2019/08/19 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.