Nifco Inc.

TSE:7988 Stock Report

Market Cap: JP¥319.9b

Nifco Valuation

Is 7988 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 7988 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
JP¥5.30k
Fair Value
36.6% undervalued intrinsic discount
7
Number of Analysts

Below Fair Value: 7988 (¥3360) is trading below our estimate of fair value (¥5298.69)

Significantly Below Fair Value: 7988 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7988?

Key metric: As 7988 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7988. This is calculated by dividing 7988's market cap by their current earnings.
What is 7988's PE Ratio?
PE Ratio7.1x
EarningsJP¥44.77b
Market CapJP¥319.87b

Price to Earnings Ratio vs Peers

How does 7988's PE Ratio compare to its peers?

The above table shows the PE ratio for 7988 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.3x
5991 NHK Spring
6.7x1.00%JP¥320.6b
7282 Toyoda Gosei
10.1x9.90%JP¥366.5b
3116 Toyota Boshoku
21.2x27.93%JP¥355.1b
7240 NOK
11.3x4.20%JP¥341.9b
7988 Nifco
7.1x-4.50%JP¥319.9b

Price-To-Earnings vs Peers: 7988 is good value based on its Price-To-Earnings Ratio (7.1x) compared to the peer average (12.3x).

Price to Earnings Ratio vs Industry

How does 7988'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
7988 7.1xIndustry Avg. 9.3xNo. of Companies20PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 7988 is good value based on its Price-To-Earnings Ratio (7.1x) compared to the JP Auto Components industry average (9.3x).

Price to Earnings Ratio vs Fair Ratio

What is 7988'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.

7988 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.1x
Fair PE Ratio6.9x

Price-To-Earnings vs Fair Ratio: 7988 is expensive based on its Price-To-Earnings Ratio (7.1x) compared to the estimated Fair Price-To-Earnings Ratio (6.9x).

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 7988 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥3,360.00
JP¥4,385.71
+30.53%
11.91%JP¥5,300.00JP¥3,800.00n/a7
Jun ’26JP¥3,467.00
JP¥4,665.71
+34.57%
10.29%JP¥5,300.00JP¥3,800.00n/a7
May ’26JP¥3,523.00
JP¥4,665.71
+32.44%
10.85%JP¥5,300.00JP¥3,700.00n/a7
Apr ’26JP¥3,588.00
JP¥4,708.57
+31.23%
9.12%JP¥5,300.00JP¥4,000.00n/a7
Mar ’26JP¥3,650.00
JP¥4,708.57
+29.00%
9.12%JP¥5,300.00JP¥4,000.00n/a7
Feb ’26JP¥3,725.00
JP¥4,651.25
+24.87%
9.98%JP¥5,300.00JP¥3,800.00n/a8
Jan ’26JP¥3,829.00
JP¥4,651.25
+21.47%
9.98%JP¥5,300.00JP¥3,800.00n/a8
Dec ’25JP¥3,590.00
JP¥4,708.75
+31.16%
10.78%JP¥5,300.00JP¥3,800.00n/a8
Nov ’25JP¥3,563.00
JP¥4,708.75
+32.16%
10.78%JP¥5,300.00JP¥3,800.00n/a8
Oct ’25JP¥3,639.00
JP¥4,671.25
+28.37%
12.40%JP¥5,300.00JP¥3,500.00n/a8
Sep ’25JP¥3,723.00
JP¥4,671.25
+25.47%
12.40%JP¥5,300.00JP¥3,500.00n/a8
Aug ’25JP¥3,690.00
JP¥4,696.25
+27.27%
12.31%JP¥5,300.00JP¥3,500.00n/a8
Jul ’25JP¥3,950.00
JP¥4,707.50
+19.18%
12.24%JP¥5,300.00JP¥3,500.00JP¥3,403.008
Jun ’25JP¥3,748.00
JP¥4,770.00
+27.27%
12.42%JP¥5,300.00JP¥3,500.00JP¥3,467.008
May ’25JP¥3,803.00
JP¥4,745.00
+24.77%
12.18%JP¥5,300.00JP¥3,500.00JP¥3,523.008
Apr ’25JP¥3,785.00
JP¥4,714.29
+24.55%
12.91%JP¥5,300.00JP¥3,500.00JP¥3,588.007
Mar ’25JP¥3,650.00
JP¥4,492.86
+23.09%
15.52%JP¥5,250.00JP¥3,400.00JP¥3,650.007
Feb ’25JP¥3,878.00
JP¥4,493.75
+15.88%
15.58%JP¥5,250.00JP¥3,200.00JP¥3,725.008
Jan ’25JP¥3,645.00
JP¥4,493.75
+23.29%
15.58%JP¥5,250.00JP¥3,200.00JP¥3,829.008
Dec ’24JP¥3,595.00
JP¥4,450.00
+23.78%
14.41%JP¥5,250.00JP¥3,200.00JP¥3,590.009
Nov ’24JP¥3,764.00
JP¥4,438.89
+17.93%
14.21%JP¥5,250.00JP¥3,200.00JP¥3,563.009
Oct ’24JP¥3,869.00
JP¥4,438.89
+14.73%
14.21%JP¥5,250.00JP¥3,200.00JP¥3,639.009
Sep ’24JP¥4,302.00
JP¥4,272.22
-0.69%
16.98%JP¥5,250.00JP¥3,100.00JP¥3,723.009
Aug ’24JP¥4,306.00
JP¥4,100.00
-4.78%
15.33%JP¥4,800.00JP¥3,100.00JP¥3,690.008
Jul ’24JP¥4,259.00
JP¥3,922.22
-7.91%
14.81%JP¥4,700.00JP¥3,000.00JP¥3,950.009
AnalystConsensusTarget
Consensus Narrative from 7 Analysts
JP¥4.39k
Fair Value
23.4% undervalued intrinsic discount
7
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/07/07 16:40
End of Day Share Price 2025/07/07 00:00
Earnings2025/03/31
Annual Earnings2025/03/31

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.

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 Github.

Analyst Sources

Nifco Inc. is covered by 20 analysts. 8 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
null nullCLSA
Joshua BennisonCLSA
Robert G. PurcellCLSA