Nichirin (TSE:5184) - Share price, News & Analysis

5184 fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	4/6
Financial Health	6/6
Dividends	5/6

5184 Stock Overview

Nichirin Co., Ltd. manufactures and sells automotive and housing hoses, and related parts worldwide.

Rewards

Trading at 79.5% below our estimate of its fair value

Earnings grew by 100.9% over the past year

Risk Analysis

Earnings have declined by 7.9% per year over past 5 years

Unstable dividend track record

Price History & Performance

Summary of all time highs, changes and price drops for Nichirin
Historical stock prices
Current Share Price	JP¥1,560.00
52 Week High	JP¥1,859.00
52 Week Low	JP¥1,442.00
Beta	1.04
1 Month Change	0.65%
3 Month Change	-0.13%
1 Year Change	-9.09%
3 Year Change	-10.86%
5 Year Change	-11.79%
Change since IPO	137.83%

Shareholder Returns

	5184	JP Auto Components	JP Market
7D	1.0%	3.5%	0.9%
1Y	-9.1%	-3.6%	-1.6%

Return vs Industry: 5184 underperformed the JP Auto Components industry which returned -3.6% over the past year.

Return vs Market: 5184 underperformed the JP Market which returned -1.6% over the past year.

Price Volatility

Is 5184's price volatile compared to industry and market?
5184 volatility
5184 Average Weekly Movement	1.9%
Auto Components Industry Average Movement	4.9%
Market Average Movement	4.4%
10% most volatile stocks in JP Market	8.9%
10% least volatile stocks in JP Market	2.5%

Stable Share Price: 5184 is less volatile than 75% of JP stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: 5184's weekly volatility (2%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1914	2,305	Ryuichi Maeda	https://www.nichirin.co.jp

Nichirin Co., Ltd. manufactures and sells automotive and housing hoses, and related parts worldwide. The company offers brake, air conditioning, and power steering hoses; and automatic transmission fluid, air brake, clutch, ESC, CNG, oil cooler, suspension, urea SCR, hydraulic, and vacuum brake hoses, as well as EF-TUBE and oil cooler units for automotive applications. It also provides brake, clutch, fuel, and oil cushion and cooler hoses for motorcycle applications; and mixing faucet and toilet hoses for residential use.

Nichirin Fundamentals Summary

How do Nichirin's earnings and revenue compare to its market cap?
5184 fundamental statistics
Market Cap	JP¥22.03b
Earnings (TTM)	JP¥4.78b
Revenue (TTM)	JP¥58.26b

4.6x

P/E Ratio

0.4x

P/S Ratio

Is 5184 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
5184 income statement (TTM)
Revenue	JP¥58.26b
Cost of Revenue	JP¥44.85b
Gross Profit	JP¥13.41b
Other Expenses	JP¥8.63b
Earnings	JP¥4.78b

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

May 13, 2022

Earnings per share (EPS)	338.61
Gross Margin	23.02%
Net Profit Margin	8.21%
Debt/Equity Ratio	5.1%

How did 5184 perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

20%

Payout Ratio

Valuation

Is Nichirin undervalued compared to its fair value and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: 5184 (¥1560) is trading below our estimate of fair value (¥7604.52)

Significantly Below Fair Value: 5184 is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: 5184 is good value based on its PE Ratio (4.6x) compared to the JP Auto Components industry average (7.8x).

PE vs Market: 5184 is good value based on its PE Ratio (4.6x) compared to the JP market (12.3x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 5184's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: 5184 is overvalued based on its PB Ratio (0.5x) compared to the JP Auto Components industry average (0.4x).

Future Growth

How is Nichirin forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

16.2%

Forecasted Automobiles industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Nichirin has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has Nichirin performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-7.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 5184 has high quality earnings.

Growing Profit Margin: 5184's current net profit margins (8.2%) are higher than last year (4.6%).

Past Earnings Growth Analysis

Earnings Trend: 5184's earnings have declined by 7.9% per year over the past 5 years.

Accelerating Growth: 5184's earnings growth over the past year (100.9%) exceeds its 5-year average (-7.9% per year).

Earnings vs Industry: 5184 earnings growth over the past year (100.9%) exceeded the Auto Components industry 88%.

Return on Equity

High ROE: 5184's Return on Equity (13.3%) is considered low.

Financial Health

How is Nichirin's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 5184's short term assets (¥42.2B) exceed its short term liabilities (¥13.7B).

Long Term Liabilities: 5184's short term assets (¥42.2B) exceed its long term liabilities (¥6.9B).

Debt to Equity History and Analysis

Debt Level: 5184 has more cash than its total debt.

Reducing Debt: 5184's debt to equity ratio has reduced from 9.4% to 5.1% over the past 5 years.

Debt Coverage: 5184's debt is well covered by operating cash flow (265.4%).

Interest Coverage: 5184 earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

Dividend

What is Nichirin current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.87%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 5184's dividend (4.87%) is higher than the bottom 25% of dividend payers in the JP market (1.57%).

High Dividend: 5184's dividend (4.87%) is in the top 25% of dividend payers in the JP market (3.54%)

Stability and Growth of Payments

Stable Dividend: 5184's dividend payments have been volatile in the past 10 years.

Growing Dividend: 5184's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (20.2%), 5184's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (23%), 5184's dividend payments are well covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Automobiles industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

11.2yrs

Average board tenure

CEO

Ryuichi Maeda (63 yo)

no data

Tenure

Mr. Ryuichi Maeda serves as the Chief Executive Officer and President at Nichirin Co., Ltd. and served as its General Manager of Production Division since December 2003 and also served as its Managing Exec...

Board Members

Experienced Board: 5184's board of directors are seasoned and experienced ( 11.2 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/03 00:00
End of Day Share Price	2022/05/02 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31