SMC Corporation

TSE:6273 Stock Report

Market Cap: JP¥4.3t

SMC Valuation

Is 6273 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • 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 6273 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6273 (¥66780) is trading above our estimate of fair value (¥55067.89)

Significantly Below Fair Value: 6273 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6273?

Key metric: As 6273 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 6273. This is calculated by dividing 6273's market cap by their current earnings.
What is 6273's PE Ratio?
PE Ratio26.3x
EarningsJP¥161.78b
Market CapJP¥4.26t

Price to Earnings Ratio vs Peers

How does 6273's PE Ratio compare to its peers?

The above table shows the PE ratio for 6273 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.7x
6954 Fanuc
27.8x7.7%JP¥3.9t
7011 Mitsubishi Heavy Industries
34.1x13.1%JP¥8.1t
7013 IHI
12.7x-0.7%JP¥1.4t
6586 Makita
20.2x7.3%JP¥1.2t
6273 SMC
26.3x9.4%JP¥4.3t

Price-To-Earnings vs Peers: 6273 is expensive based on its Price-To-Earnings Ratio (26.3x) compared to the peer average (23.7x).

Price to Earnings Ratio vs Industry

How does 6273'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
6273 26.3xIndustry Avg. 11.8xNo. of Companies37PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 6273 is expensive based on its Price-To-Earnings Ratio (26.3x) compared to the JP Machinery industry average (11.8x).

Price to Earnings Ratio vs Fair Ratio

What is 6273'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.

6273 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.3x
Fair PE Ratio20.4x

Price-To-Earnings vs Fair Ratio: 6273 is expensive based on its Price-To-Earnings Ratio (26.3x) compared to the estimated Fair Price-To-Earnings Ratio (20.4x).

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 6273 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥66,780.00
JP¥80,995.93
+21.3%
12.0%JP¥95,000.00JP¥65,000.00n/a14
Nov ’25JP¥64,760.00
JP¥82,618.43
+27.6%
12.9%JP¥100,000.00JP¥65,000.00n/a14
Oct ’25JP¥64,610.00
JP¥85,475.57
+32.3%
13.3%JP¥100,000.00JP¥65,000.00n/a14
Sep ’25JP¥67,000.00
JP¥88,118.43
+31.5%
10.6%JP¥100,000.00JP¥71,000.00n/a14
Aug ’25JP¥72,480.00
JP¥91,834.71
+26.7%
12.1%JP¥106,000.00JP¥70,000.00n/a14
Jul ’25JP¥77,060.00
JP¥93,592.31
+21.5%
11.0%JP¥106,000.00JP¥70,000.00n/a13
Jun ’25JP¥78,810.00
JP¥95,136.36
+20.7%
12.1%JP¥106,000.00JP¥70,000.00n/a11
May ’25JP¥82,910.00
JP¥94,136.36
+13.5%
11.8%JP¥106,000.00JP¥70,000.00n/a11
Apr ’25JP¥86,770.00
JP¥93,772.73
+8.1%
11.5%JP¥106,000.00JP¥70,000.00n/a11
Mar ’25JP¥91,450.00
JP¥90,583.33
-0.9%
11.8%JP¥105,000.00JP¥70,000.00n/a12
Feb ’25JP¥82,280.00
JP¥88,083.33
+7.1%
11.5%JP¥105,000.00JP¥70,000.00n/a12
Jan ’25JP¥75,760.00
JP¥87,884.62
+16.0%
11.3%JP¥105,000.00JP¥70,000.00n/a13
Dec ’24JP¥74,010.00
JP¥87,028.57
+17.6%
11.6%JP¥105,000.00JP¥70,000.00n/a14
Nov ’24JP¥71,640.00
JP¥85,714.29
+19.6%
13.1%JP¥105,000.00JP¥69,000.00JP¥64,760.0014
Oct ’24JP¥66,980.00
JP¥85,384.62
+27.5%
13.4%JP¥105,000.00JP¥69,000.00JP¥64,610.0013
Sep ’24JP¥71,740.00
JP¥84,785.71
+18.2%
13.3%JP¥105,000.00JP¥69,000.00JP¥67,000.0014
Aug ’24JP¥74,090.00
JP¥86,621.43
+16.9%
12.3%JP¥105,000.00JP¥70,000.00JP¥72,480.0014
Jul ’24JP¥79,480.00
JP¥85,273.33
+7.3%
12.6%JP¥105,000.00JP¥70,000.00JP¥77,060.0015
Jun ’24JP¥75,600.00
JP¥79,739.33
+5.5%
8.5%JP¥92,000.00JP¥70,000.00JP¥78,810.0015
May ’24JP¥69,410.00
JP¥77,106.00
+11.1%
8.3%JP¥90,000.00JP¥66,000.00JP¥82,910.0015
Apr ’24JP¥69,830.00
JP¥77,106.00
+10.4%
8.3%JP¥90,000.00JP¥66,000.00JP¥86,770.0015
Mar ’24JP¥70,860.00
JP¥76,750.00
+8.3%
9.2%JP¥90,000.00JP¥65,500.00JP¥91,450.0015
Feb ’24JP¥65,820.00
JP¥74,030.00
+12.5%
10.2%JP¥90,000.00JP¥64,000.00JP¥82,280.0015
Jan ’24JP¥55,580.00
JP¥75,318.75
+35.5%
10.9%JP¥90,000.00JP¥64,000.00JP¥75,760.0016
Dec ’23JP¥63,080.00
JP¥75,662.50
+19.9%
11.0%JP¥90,000.00JP¥64,000.00JP¥74,010.0016
Nov ’23JP¥61,780.00
JP¥76,725.00
+24.2%
11.2%JP¥96,000.00JP¥65,000.00JP¥71,640.0016

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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