Mitsubishi Electric Corporation

LSE:MEL Stock Report

Market Cap: JP¥3.1t

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This company may still be operating, however this listing is no longer active. Find out why through their latest events.

Mitsubishi Electric Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 MEL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MEL (¥1424.5) is trading above our estimate of fair value (¥986.97)

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

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

MEL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.7x
Enterprise Value/EBITDA7.7x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MEL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.9x
BA. BAE Systems
21.6x6.7%UK£40.0b
AHT Ashtead Group
19.1x9.0%UK£24.6b
LOAD Crestchic
23.2x17.8%UK£112.5m
BNZL Bunzl
19.7x3.7%UK£10.4b
MEL Mitsubishi Electric
17.8x10.4%JP¥3.1t

Price-To-Earnings vs Peers: MEL is good value based on its Price-To-Earnings Ratio (17.8x) compared to the peer average (21.3x).

Price to Earnings Ratio vs Industry

How does MEL's PE Ratio compare vs other companies in the European Electrical Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a26.1%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a26.1%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: MEL is good value based on its Price-To-Earnings Ratio (17.8x) compared to the European Electrical industry average (20.8x)

Price to Earnings Ratio vs Fair Ratio

What is MEL'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.

MEL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.8x
Fair PE Ratio24.5x

Price-To-Earnings vs Fair Ratio: MEL is good value based on its Price-To-Earnings Ratio (17.8x) compared to the estimated Fair Price-To-Earnings Ratio (24.5x).

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 MEL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Apr ’25n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Mar ’25n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Feb ’25n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Jan ’25n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Dec ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Nov ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Oct ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Sep ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Aug ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Jul ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Jun ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
May ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Apr ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Mar ’24n/a
JP¥1,587.33
0%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Feb ’24JP¥1,424.50
JP¥1,580.67
+11.0%
15.8%JP¥1,950.00JP¥1,100.00n/a15
Jan ’24JP¥1,324.50
JP¥1,586.00
+19.7%
14.9%JP¥1,950.00JP¥1,200.00n/a15
Dec ’23JP¥1,377.50
JP¥1,618.00
+17.5%
15.9%JP¥2,000.00JP¥1,200.00n/a15
Nov ’23JP¥1,338.50
JP¥1,629.38
+21.7%
17.3%JP¥2,130.00JP¥1,200.00n/a16
Oct ’23JP¥1,305.50
JP¥1,633.75
+25.1%
17.1%JP¥2,130.00JP¥1,200.00n/a16
Sep ’23JP¥1,386.00
JP¥1,641.76
+18.5%
16.5%JP¥2,130.00JP¥1,200.00n/a17
Aug ’23JP¥1,396.00
JP¥1,643.53
+17.7%
16.4%JP¥2,130.00JP¥1,200.00n/a17
Jul ’23JP¥1,462.00
JP¥1,692.50
+15.8%
17.0%JP¥2,130.00JP¥1,200.00n/a16
Jun ’23JP¥1,446.00
JP¥1,690.00
+16.9%
17.1%JP¥2,130.00JP¥1,200.00n/a16
May ’23JP¥1,349.00
JP¥1,670.00
+23.8%
16.4%JP¥2,130.00JP¥1,200.00n/a16

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

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