Bridgestone Corporation

TSE:5108 Stock Report

Market Cap: JP¥3.7t

Bridgestone Valuation

Is 5108 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 5108 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 5108 (¥5356) is trading below our estimate of fair value (¥9879.38)

Significantly Below Fair Value: 5108 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 5108?

Key metric: As 5108 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 5108. This is calculated by dividing 5108's market cap by their current earnings.
What is 5108's PE Ratio?
PE Ratio11.7x
EarningsJP¥313.72b
Market CapJP¥3.65t

Price to Earnings Ratio vs Peers

How does 5108's PE Ratio compare to its peers?

The above table shows the PE ratio for 5108 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.1x
5101 Yokohama Rubber Company
6.4x4.4%JP¥523.6b
5110 Sumitomo Rubber Industries
34x45.4%JP¥469.6b
5105 Toyo Tire
5.4x-3.2%JP¥380.4b
6902 DENSO
18.7x15.6%JP¥6.1t
5108 Bridgestone
11.7x10.6%JP¥3.7t

Price-To-Earnings vs Peers: 5108 is good value based on its Price-To-Earnings Ratio (11.7x) compared to the peer average (16.1x).

Price to Earnings Ratio vs Industry

How does 5108's PE Ratio compare vs other companies in the JP Auto Components Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
5108 11.7xIndustry Avg. 10.0xNo. of Companies13PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 5108 is expensive based on its Price-To-Earnings Ratio (11.7x) compared to the JP Auto Components industry average (10x).

Price to Earnings Ratio vs Fair Ratio

What is 5108'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.

5108 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.7x
Fair PE Ratio10.6x

Price-To-Earnings vs Fair Ratio: 5108 is expensive based on its Price-To-Earnings Ratio (11.7x) compared to the estimated Fair Price-To-Earnings Ratio (10.6x).

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 5108 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥5,356.00
JP¥6,106.67
+14.0%
6.6%JP¥7,000.00JP¥5,500.00n/a12
Dec ’25JP¥5,349.00
JP¥6,206.67
+16.0%
6.8%JP¥7,000.00JP¥5,500.00n/a12
Nov ’25JP¥5,419.00
JP¥6,273.33
+15.8%
7.2%JP¥7,200.00JP¥5,500.00n/a12
Oct ’25JP¥5,635.00
JP¥6,375.00
+13.1%
8.9%JP¥7,500.00JP¥5,500.00n/a12
Sep ’25JP¥5,682.00
JP¥6,491.67
+14.2%
8.5%JP¥7,600.00JP¥5,700.00n/a12
Aug ’25JP¥5,978.00
JP¥6,733.33
+12.6%
9.3%JP¥7,900.00JP¥5,700.00n/a12
Jul ’25JP¥6,295.00
JP¥6,858.33
+8.9%
7.4%JP¥7,900.00JP¥5,900.00n/a12
Jun ’25JP¥6,840.00
JP¥6,818.18
-0.3%
7.1%JP¥7,700.00JP¥5,900.00n/a11
May ’25JP¥6,940.00
JP¥6,772.73
-2.4%
6.6%JP¥7,700.00JP¥5,900.00n/a11
Apr ’25JP¥6,738.00
JP¥6,618.18
-1.8%
8.5%JP¥7,700.00JP¥5,900.00n/a11
Mar ’25JP¥6,452.00
JP¥6,472.73
+0.3%
9.0%JP¥7,300.00JP¥5,400.00n/a11
Feb ’25JP¥6,334.00
JP¥6,375.00
+0.6%
7.5%JP¥7,100.00JP¥5,400.00n/a12
Jan ’25JP¥5,840.00
JP¥6,316.67
+8.2%
8.5%JP¥7,100.00JP¥5,400.00n/a12
Dec ’24JP¥6,115.00
JP¥6,223.08
+1.8%
8.1%JP¥7,000.00JP¥5,400.00JP¥5,349.0013
Nov ’24JP¥5,814.00
JP¥6,176.92
+6.2%
8.1%JP¥7,000.00JP¥5,400.00JP¥5,419.0013
Oct ’24JP¥5,829.00
JP¥6,066.67
+4.1%
7.0%JP¥6,700.00JP¥5,400.00JP¥5,635.0012
Sep ’24JP¥5,662.00
JP¥6,000.00
+6.0%
7.2%JP¥6,700.00JP¥5,100.00JP¥5,682.0012
Aug ’24JP¥5,952.00
JP¥6,000.00
+0.8%
7.6%JP¥6,700.00JP¥5,100.00JP¥5,978.0012
Jul ’24JP¥5,892.00
JP¥5,859.09
-0.6%
6.1%JP¥6,400.00JP¥5,100.00JP¥6,295.0011
Jun ’24JP¥5,606.00
JP¥5,668.18
+1.1%
5.8%JP¥6,200.00JP¥5,100.00JP¥6,840.0011
May ’24JP¥5,476.00
JP¥5,604.55
+2.3%
5.6%JP¥6,150.00JP¥5,100.00JP¥6,940.0011
Apr ’24JP¥5,367.00
JP¥5,490.91
+2.3%
7.0%JP¥6,150.00JP¥4,900.00JP¥6,738.0011
Mar ’24JP¥5,237.00
JP¥5,360.00
+2.3%
6.9%JP¥6,000.00JP¥4,850.00JP¥6,452.0010
Feb ’24JP¥4,829.00
JP¥5,315.00
+10.1%
6.1%JP¥6,000.00JP¥4,900.00JP¥6,334.0010
Jan ’24JP¥4,691.00
JP¥5,435.00
+15.9%
7.5%JP¥6,400.00JP¥4,900.00JP¥5,840.0010
Dec ’23JP¥5,143.00
JP¥5,435.00
+5.7%
7.5%JP¥6,400.00JP¥4,900.00JP¥6,115.0010

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 Analysis2024/12/26 20:52
End of Day Share Price 2024/12/26 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

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

Bridgestone Corporation is covered by 32 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
Kei NihonyanagiBarclays
Koichi SugimotoBNP Paribas Securities (Asia)
Kei NihonyanagiBofA Global Research