Subaru Corporation

TSE:7270 Stock Report

Market Cap: JP¥2.1t

Subaru Valuation

Is 7270 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 7270 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7270 (¥2821) is trading below our estimate of fair value (¥6594.45)

Significantly Below Fair Value: 7270 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7270?

Key metric: As 7270 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7270. This is calculated by dividing 7270's market cap by their current earnings.
What is 7270's PE Ratio?
PE Ratio5.2x
EarningsJP¥397.17b
Market CapJP¥2.06t

Price to Earnings Ratio vs Peers

How does 7270's PE Ratio compare to its peers?

The above table shows the PE ratio for 7270 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.4x
7201 Nissan Motor
11.7x37.5%JP¥1.8t
7202 Isuzu Motors
10x6.1%JP¥1.6t
7269 Suzuki Motor
9.7x2.3%JP¥3.5t
7211 Mitsubishi Motors
6.3x0.4%JP¥792.1b
7270 Subaru
5.2x-4.4%JP¥2.1t

Price-To-Earnings vs Peers: 7270 is good value based on its Price-To-Earnings Ratio (5.2x) compared to the peer average (9.4x).

Price to Earnings Ratio vs Industry

How does 7270's PE Ratio compare vs other companies in the Asian Auto Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
7270 5.2xIndustry Avg. 18.8xNo. of Companies10PE01224364860+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 7270 is good value based on its Price-To-Earnings Ratio (5.2x) compared to the Asian Auto industry average (18.8x).

Price to Earnings Ratio vs Fair Ratio

What is 7270'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.

7270 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.2x
Fair PE Ratio7.9x

Price-To-Earnings vs Fair Ratio: 7270 is good value based on its Price-To-Earnings Ratio (5.2x) compared to the estimated Fair Price-To-Earnings Ratio (7.9x).

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 7270 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥2,821.00
JP¥2,914.29
+3.3%
24.0%JP¥4,400.00JP¥1,900.00n/a14
Dec ’25JP¥2,406.50
JP¥3,000.00
+24.7%
21.6%JP¥4,400.00JP¥1,900.00n/a14
Nov ’25JP¥2,461.50
JP¥3,042.86
+23.6%
20.7%JP¥4,400.00JP¥1,900.00n/a14
Oct ’25JP¥2,519.50
JP¥3,082.14
+22.3%
21.1%JP¥4,400.00JP¥1,900.00n/a14
Sep ’25JP¥2,760.50
JP¥3,282.14
+18.9%
21.9%JP¥4,400.00JP¥1,900.00n/a14
Aug ’25JP¥2,815.50
JP¥3,689.29
+31.0%
18.7%JP¥5,300.00JP¥2,400.00n/a14
Jul ’25JP¥3,398.00
JP¥3,642.86
+7.2%
18.9%JP¥5,300.00JP¥2,200.00n/a14
Jun ’25JP¥3,500.00
JP¥3,621.43
+3.5%
19.5%JP¥5,300.00JP¥2,200.00n/a14
May ’25JP¥3,507.00
JP¥3,560.71
+1.5%
15.9%JP¥4,400.00JP¥2,200.00n/a14
Apr ’25JP¥3,369.00
JP¥3,482.14
+3.4%
16.4%JP¥4,400.00JP¥2,100.00n/a14
Mar ’25JP¥3,369.00
JP¥3,392.31
+0.7%
17.7%JP¥4,300.00JP¥2,100.00n/a13
Feb ’25JP¥2,938.00
JP¥3,033.33
+3.2%
18.8%JP¥4,300.00JP¥2,100.00n/a15
Jan ’25JP¥2,586.00
JP¥3,020.00
+16.8%
18.7%JP¥4,300.00JP¥2,300.00n/a15
Dec ’24JP¥2,660.50
JP¥3,053.33
+14.8%
18.8%JP¥4,300.00JP¥2,300.00JP¥2,406.5015
Nov ’24JP¥2,725.00
JP¥2,993.33
+9.8%
18.1%JP¥4,100.00JP¥2,300.00JP¥2,461.5015
Oct ’24JP¥2,906.00
JP¥2,953.33
+1.6%
17.3%JP¥4,100.00JP¥2,200.00JP¥2,519.5015
Sep ’24JP¥2,805.50
JP¥2,923.33
+4.2%
17.9%JP¥4,100.00JP¥2,200.00JP¥2,760.5015
Aug ’24JP¥2,751.50
JP¥2,752.00
+0.02%
15.6%JP¥3,900.00JP¥2,200.00JP¥2,815.5015
Jul ’24JP¥2,703.00
JP¥2,662.00
-1.5%
18.2%JP¥3,900.00JP¥1,900.00JP¥3,398.0015
Jun ’24JP¥2,388.50
JP¥2,555.33
+7.0%
16.4%JP¥3,500.00JP¥1,900.00JP¥3,500.0015
May ’24JP¥2,222.50
JP¥2,480.00
+11.6%
18.5%JP¥3,500.00JP¥1,900.00JP¥3,507.0015
Apr ’24JP¥2,114.50
JP¥2,490.00
+17.8%
18.1%JP¥3,500.00JP¥1,900.00JP¥3,369.0015
Mar ’24JP¥2,214.00
JP¥2,543.33
+14.9%
19.7%JP¥3,500.00JP¥1,850.00JP¥3,369.0015
Feb ’24JP¥2,165.00
JP¥2,653.57
+22.6%
20.9%JP¥3,500.00JP¥1,850.00JP¥2,938.0014
Jan ’24JP¥2,027.50
JP¥2,786.67
+37.4%
17.1%JP¥3,500.00JP¥2,000.00JP¥2,586.0015
Dec ’23JP¥2,289.50
JP¥2,811.88
+22.8%
15.8%JP¥3,500.00JP¥2,000.00JP¥2,660.5016

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 Analysis2024/12/30 15:14
End of Day Share Price 2024/12/30 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

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

Subaru Corporation is covered by 32 analysts. 15 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)
Kentaro HosodaBofA Global Research