TSE:6502

Stock Analysis Report

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Executive Summary

Toshiba Corporation, together with its subsidiaries, provides electronic devices and storage solutions worldwide. More Details


Snowflake Analysis

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Toshiba's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 6502's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.1%

6502

-2.2%

JP Industrials

-0.9%

JP Market


1 Year Return

-25.4%

6502

-20.6%

JP Industrials

0.9%

JP Market

Return vs Industry: 6502 underperformed the JP Industrials industry which returned -20.3% over the past year.

Return vs Market: 6502 underperformed the JP Market which returned 0.8% over the past year.


Shareholder returns

6502IndustryMarket
7 Day-2.1%-2.2%-0.9%
30 Day-7.1%-6.0%-0.2%
90 Day-19.0%-13.9%3.8%
1 Year-24.8%-25.4%-19.8%-20.6%3.4%0.9%
3 Year-15.2%-16.9%-8.4%-11.2%2.3%-4.9%
5 Year-21.2%-22.8%-12.8%-16.3%22.4%8.9%

Price Volatility Vs. Market

How volatile is Toshiba's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

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

12.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 6502 (¥2750) is trading below our estimate of fair value (¥3125.44)

Significantly Below Fair Value: 6502 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 6502 is poor value based on its PE Ratio (45.7x) compared to the JP Industrials industry average (39x).

PE vs Market: 6502 is poor value based on its PE Ratio (45.7x) compared to the JP market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: 6502 is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: 6502 is overvalued based on its PB Ratio (1.4x) compared to the JP Industrials industry average (0.9x).


Next Steps

Future Growth

How is Toshiba forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

23.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6502's forecast earnings growth (23.8% per year) is above the savings rate (0.05%).

Earnings vs Market: 6502's earnings (23.8% per year) are forecast to grow faster than the JP market (17.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 6502's revenue (3.1% per year) is forecast to grow slower than the JP market (5.2% per year).

High Growth Revenue: 6502's revenue (3.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6502's Return on Equity is forecast to be low in 3 years time (11.8%).


Next Steps

Past Performance

How has Toshiba performed over the past 5 years?

28.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6502 has a high level of non-cash earnings.

Growing Profit Margin: 6502 became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: 6502 has become profitable over the past 5 years, growing earnings by 28.5% per year.

Accelerating Growth: 6502 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 6502 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Industrials industry (-43.4%).


Return on Equity

High ROE: 6502's Return on Equity (4.1%) is considered low.


Next Steps

Financial Health

How is Toshiba's financial position?


Financial Position Analysis

Short Term Liabilities: 6502's short term assets (¥2,093.4B) exceed its short term liabilities (¥1,292.4B).

Long Term Liabilities: 6502's short term assets (¥2,093.4B) exceed its long term liabilities (¥1,100.7B).


Debt to Equity History and Analysis

Debt Level: 6502's debt to equity ratio (41.1%) is considered high.

Reducing Debt: 6502's debt to equity ratio has reduced from 87.9% to 41.1% over the past 5 years.

Debt Coverage: 6502's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 6502's interest payments on its debt are well covered by EBIT (71.6x coverage).


Balance Sheet


Next Steps

Dividend

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

0.73%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6502's dividend (0.73%) isn’t notable compared to the bottom 25% of dividend payers in the JP market (1.33%).

High Dividend: 6502's dividend (0.73%) is low compared to the top 25% of dividend payers in the JP market (3.22%).


Stability and Growth of Payments

Stable Dividend: 6502 is not paying a notable dividend for the JP market, therefore no need to check if payments are stable.

Growing Dividend: 6502 is not paying a notable dividend for the JP market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 6502 is not paying a notable dividend for the JP market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 6502's dividend in 3 years as they are not forecast to pay a notable one for the JP market.


Next Steps

Management

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

0.8yrs

Average management tenure


CEO

Nobuaki Kurumatani (63 yo)

2.5yrs

Tenure

Mr. Nobuaki Kurumatani serves as President of Toshiba Corporation since April 1, 2020. Mr. Kurumatani serves as Chief Executive Officer and Director of Toshiba Corporation since April 1, 2018 and has been ...


Leadership Team

NamePositionTenureCompensationOwnership
Nobuaki Kurumatani
President2.5yrsno data0.0033%
¥ 42.3m
Masayoshi Hirata
Representative Executive Officerno datano data0.0022%
¥ 27.9m
Yasuhiro MATSUNAGA
Corporate Officer & VP of Accounting Division0.75yrno datano data
Hiroshi Yamamoto
Corporate Digitization Chief Technology Officer2.25yrsno datano data
Masayasu Toyohara
Rep. Executive Officer0.75yrno data0.0038%
¥ 48.7m
Hironaga SHIOKAWA
Corporate Officer and VP of Human Resources & Administration Division0.75yrno datano data
Fumihiko Kimura
Group Manager of Investor Relationsno datano datano data
Naoya Sakurai
Rep Exe Officer0.75yrno data0.0021%
¥ 26.5m
Noriaki Hashimoto
Corporate Officer & Corporate Senior VP0.75yrno datano data
Satoshi Tsunakawa
Chairman & Director2.33yrsno data0.0055%
¥ 70.7m
Tomohiko Okada
Managing Director of India Operations4.5yrsno datano data
Mamoru Hatazawa
Representative Executive Officer & Corporate Executive VP2.5yrsno data0.0016%
¥ 20.1m

0.8yrs

Average Tenure

63yo

Average Age

Experienced Management: 6502's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Nobuaki Kurumatani
President2.5yrsno data0.0033%
¥ 42.3m
Satoshi Tsunakawa
Chairman & Director2.33yrsno data0.0055%
¥ 70.7m
Osamu Nagayama
Independent Chairperson0.25yrno data0.00044%
¥ 5.6m
Jerome Thomas Black
Independent Outside Director1.33yrsno datano data
Yoshiaki Fujimori
Independent Outside Director1.33yrsno datano data
Junji Ota
Independent Outside Director2.33yrsno datano data
George Raymond Zage
Independent Director1.33yrsno data0.083%
¥ 1.1b
Takashi Yamauchi
Independent Outside Director1.33yrsno datano data
Paul Jeremy Brough
Independent Outside Director1.33yrsno datano data
Ayako Hirota Weissman
Independent Outside Director1.33yrsno data0.00044%
¥ 5.6m
Yuki Furuta
Independent Outside Director5.08yrsno data0.000070%
¥ 895.4k
Nobuyuki Kobayashi
Independent Director1.33yrsno datano data

1.3yrs

Average Tenure

67yo

Average Age

Experienced Board: 6502's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


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.


Top Shareholders

Company Information

Toshiba Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Toshiba Corporation
  • Ticker: 6502
  • Exchange: TSE
  • Founded: 1875
  • Industry: Industrial Conglomerates
  • Sector: Capital Goods
  • Market Cap: JP¥1.279t
  • Shares outstanding: 453.57m
  • Website: https://www.toshiba.co.jp

Number of Employees


Location

  • Toshiba Corporation
  • 1-1, Shibaura 1-chome
  • Minato-Ku
  • Tokyo
  • 105-8001
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TOSB.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1975
6502TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1975
0Q0CLSE (London Stock Exchange)YesCommon StockGBJPYJan 1975
TSE1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1975
TSE1WBAG (Wiener Boerse AG)YesCommon StockATEURJan 1975
TOSY.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDOct 2008

Biography

Toshiba Corporation, together with its subsidiaries, provides electronic devices and storage solutions worldwide. It operates through seven segments: Energy Systems & Solutions, Infrastructure Systems & So ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/19 14:42
End of Day Share Price2020/10/16 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


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.