KyowakogyosyoLtd Valuation

Is 5971 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 5971 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 5971 (¥4800) is trading below our estimate of fair value (¥18976.47)

Significantly Below Fair Value: 5971 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 5971?

Key metric: As 5971 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 5971. This is calculated by dividing 5971's market cap by their current earnings.
What is 5971's PE Ratio?
PE Ratio9.1x
EarningsJP¥687.00m
Market CapJP¥6.25b

Price to Earnings Ratio vs Peers

How does 5971's PE Ratio compare to its peers?

The above table shows the PE ratio for 5971 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.8x
6229 Okumura Engineering
10.9xn/aJP¥5.6b
3513 Ichikawa
7.9xn/aJP¥6.6b
7726 Kuroda Precision Industries
14.4x46.7%JP¥6.1b
5906 MK Seiko
6.2xn/aJP¥6.6b
5971 KyowakogyosyoLtd
9.1xn/aJP¥6.2b

Price-To-Earnings vs Peers: 5971 is good value based on its Price-To-Earnings Ratio (9.1x) compared to the peer average (9.8x).


Price to Earnings Ratio vs Industry

How does 5971's PE Ratio compare vs other companies in the JP Machinery Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
5971 9.1xIndustry Avg. 12.2xNo. of Companies39PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 5971 is good value based on its Price-To-Earnings Ratio (9.1x) compared to the JP Machinery industry average (12.2x).


Price to Earnings Ratio vs Fair Ratio

What is 5971'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.

5971 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.1x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 5971's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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