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6518

Sanso ElectricLtd TSE:6518 Stock Report

Last Price

JP¥1.10k

Market Cap

JP¥5.0b

7D

1.9%

1Y

10.9%

Updated

17 Aug, 2022

Data

Company Financials
6518 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends4/6

6518 Stock Overview

Sanso Electric Co.,Ltd. engages in the manufacturing and selling of motors, pumps, and system solution products in Japan.

Sanso ElectricLtd Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sanso ElectricLtd
Historical stock prices
Current Share PriceJP¥1,100.00
52 Week HighJP¥1,260.00
52 Week LowJP¥960.00
Beta0.92
1 Month Change4.17%
3 Month Change10.55%
1 Year Change10.89%
3 Year Change43.98%
5 Year Change-5.01%
Change since IPO-51.01%

Recent News & Updates

Shareholder Returns

6518JP MachineryJP Market
7D1.9%3.0%2.5%
1Y10.9%-3.1%1.9%

Return vs Industry: 6518 exceeded the JP Machinery industry which returned -3.1% over the past year.

Return vs Market: 6518 exceeded the JP Market which returned 1.9% over the past year.

Price Volatility

Is 6518's price volatile compared to industry and market?
6518 volatility
6518 Average Weekly Movement3.6%
Machinery Industry Average Movement3.9%
Market Average Movement3.8%
10% most volatile stocks in JP Market7.8%
10% least volatile stocks in JP Market2.0%

Stable Share Price: 6518 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 6518's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1957564Naoki Kurodahttps://www.sanso-elec.co.jp

Sanso Electric Co.,Ltd. engages in the manufacturing and selling of motors, pumps, and system solution products in Japan. Its products include magnetic drive, self-priming magnetic drive, self-priming centrifugal, cast-iron line, automatic shallow-well, and centrifugal pumps, as well as desalination and sansolver systems.

Sanso ElectricLtd Fundamentals Summary

How do Sanso ElectricLtd's earnings and revenue compare to its market cap?
6518 fundamental statistics
Market CapJP¥4.99b
Earnings (TTM)JP¥852.00m
Revenue (TTM)JP¥17.75b

5.9x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6518 income statement (TTM)
RevenueJP¥17.75b
Cost of RevenueJP¥14.50b
Gross ProfitJP¥3.25b
Other ExpensesJP¥2.40b
EarningsJP¥852.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)187.83
Gross Margin18.30%
Net Profit Margin4.80%
Debt/Equity Ratio10.5%

How did 6518 perform over the long term?

See historical performance and comparison

Dividends

2.3%

Current Dividend Yield

13%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 6518 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6518?

Other financial metrics that can be useful for relative valuation.

6518 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.2x
Enterprise Value/EBITDA2.3x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does 6518's PE Ratio compare to its peers?

6518 PE Ratio vs Peers
The above table shows the PE ratio for 6518 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average7.6x
5906 MK Seiko
11.3xn/aJP¥5.0b
6469 Hoden Seimitsu Kako Kenkyusho
3.9xn/aJP¥4.6b
3441 SANNO
10.3xn/aJP¥4.7b
6392 Yamada
4.7xn/aJP¥5.7b
6518 Sanso ElectricLtd
5.9xn/aJP¥5.0b

Price-To-Earnings vs Peers: 6518 is good value based on its Price-To-Earnings Ratio (5.9x) compared to the peer average (7.6x).


Price to Earnings Ratio vs Industry

How does 6518's PE Ratio compare vs other companies in the JP Machinery Industry?

Price-To-Earnings vs Industry: 6518 is good value based on its Price-To-Earnings Ratio (5.9x) compared to the JP Machinery industry average (10.6x)


Price to Earnings Ratio vs Fair Ratio

What is 6518'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.

6518 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 6518's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 6518 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6518 (¥1100) is trading above our estimate of fair value (¥420.86)

Significantly Below Fair Value: 6518 is trading above our estimate of fair value.


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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Future Growth

How is Sanso ElectricLtd forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


8.1%

Forecasted Capital Goods industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Sanso ElectricLtd has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

Past Performance

How has Sanso ElectricLtd performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-4.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6518 has high quality earnings.

Growing Profit Margin: 6518's current net profit margins (4.8%) are higher than last year (3.9%).


Past Earnings Growth Analysis

Earnings Trend: 6518's earnings have declined by 4% per year over the past 5 years.

Accelerating Growth: 6518's earnings growth over the past year (61.7%) exceeds its 5-year average (-4% per year).

Earnings vs Industry: 6518 earnings growth over the past year (61.7%) exceeded the Machinery industry 25.3%.


Return on Equity

High ROE: 6518's Return on Equity (8.1%) is considered low.


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Financial Health

How is Sanso ElectricLtd's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6518's short term assets (¥11.7B) exceed its short term liabilities (¥5.7B).

Long Term Liabilities: 6518's short term assets (¥11.7B) exceed its long term liabilities (¥2.0B).


Debt to Equity History and Analysis

Debt Level: 6518 has more cash than its total debt.

Reducing Debt: 6518's debt to equity ratio has reduced from 30.1% to 10.5% over the past 5 years.

Debt Coverage: 6518's debt is well covered by operating cash flow (51.4%).

Interest Coverage: 6518 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Sanso ElectricLtd current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.27%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 6518's dividend (2.27%) is higher than the bottom 25% of dividend payers in the JP market (1.62%).

High Dividend: 6518's dividend (2.27%) is low compared to the top 25% of dividend payers in the JP market (3.61%).


Stability and Growth of Payments

Stable Dividend: 6518's dividends per share have been stable in the past 10 years.

Growing Dividend: 6518's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (13.3%), 6518's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: 6518 is paying a dividend but the company has no free cash flows.


Discover strong dividend paying companies

Management

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

7.2yrs

Average management tenure


CEO

Naoki Kuroda (63 yo)

16.17yrs

Tenure

Mr. Naoki Kuroda has been the President & CEO of Sanso Electric Co.,Ltd. since June 2006 and serves as its Chairman. Mr. Kuroda joined Sanso Electric Co.,Ltd.in March 1989 and served as its Manager of Qua...


Leadership Team

Experienced Management: 6518's management team is seasoned and experienced (7.2 years average tenure).


Board Members

Experienced Board: 6518's board of directors are considered experienced (6.7 years average tenure).


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

Sanso Electric Co.,Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Sanso Electric Co.,Ltd.
  • Ticker: 6518
  • Exchange: TSE
  • Founded: 1957
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Implied Market Cap: JP¥4.990b
  • Shares outstanding: 4.54m
  • Website: https://www.sanso-elec.co.jp

Number of Employees


Location

  • Sanso Electric Co.,Ltd.
  • 1-1-1 Aoyamakita
  • Himeji
  • Hyogo
  • 671-2288
  • Japan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/17 00:00
End of Day Share Price2022/08/17 00:00
Earnings2022/06/30
Annual Earnings2022/03/31


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.