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2185

CMCJASDAQ:2185 Stock Report

Market Cap

JP¥18.3b

7D

0.7%

1Y

19.6%

Updated

26 Nov, 2021

Data

Company Financials
2185 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends3/6

2185 Stock Overview

CMC Corporation, together with its subsidiaries, provides manual creation, business process management, training, translation, and interpretation services.

Price History & Performance

Summary of all time highs, changes and price drops for CMC
Historical stock prices
Current Share PriceJP¥1,375.00
52 Week HighJP¥1,490.50
52 Week LowJP¥1,066.00
Beta1.31
1 Month Change10.00%
3 Month Change-5.50%
1 Year Change19.62%
3 Year Change53.46%
5 Year Change169.17%
Change since IPO552.17%

Recent News & Updates

Mar 18
Returns On Capital At CMC (TYO:2185) Paint An Interesting Picture

Returns On Capital At CMC (TYO:2185) Paint An Interesting Picture

If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...

Shareholder Returns

2185JP Commercial ServicesJP Market
7D0.7%-0.5%-1.0%
1Y19.6%5.4%12.3%

Return vs Industry: 2185 exceeded the JP Commercial Services industry which returned 5.4% over the past year.

Return vs Market: 2185 exceeded the JP Market which returned 12.3% over the past year.

Price Volatility

Is 2185's price volatile compared to industry and market?
2185 volatility
2185 Average Weekly Movement5.5%
Commercial Services Industry Average Movement3.9%
Market Average Movement4.0%
10% most volatile stocks in JP Market7.9%
10% least volatile stocks in JP Market2.1%

Stable Share Price: 2185 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 2185's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1962972Yukiyasu Sasahttps://www.cmc.co.jp

CMC Corporation, together with its subsidiaries, provides manual creation, business process management, training, translation, and interpretation services. The company provides technical information solutions, such as user manuals, AR manuals, data structuring, and XML editor; personnel development solutions, including training events, staff manuals, training programs, and virtual work experiences; process improvement solutions, such as knowledge transfer and management, document management, and RPA applications; and marketing solutions, such as web/video, VR, and AR content, as well as event activation. It also offers various services, such as knowledge connect, ATOM knowledge, AR tools, VR showroom, hiyari hatto VR, AI contact, AI contents search, MaaS business development, multiplay VR, VR prototyping, AR repair manual, ICT for real estate promotion, workplace kaizen, VR content, digital sales support tools for real estate, Abook, automotive business development, and total printing, as well as manual writing, editing, and translation.

CMC Fundamentals Summary

How do CMC's earnings and revenue compare to its market cap?
2185 fundamental statistics
Market CapJP¥18.29b
Earnings (TTM)JP¥1.62b
Revenue (TTM)JP¥17.33b

11.3x

P/E Ratio

1.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
2185 income statement (TTM)
RevenueJP¥17.33b
Cost of RevenueJP¥10.79b
Gross ProfitJP¥6.54b
ExpensesJP¥4.92b
EarningsJP¥1.62b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)121.66
Gross Margin37.75%
Net Profit Margin9.34%
Debt/Equity Ratio0.09%

How did 2185 perform over the long term?

See historical performance and comparison

Dividends

1.8%

Current Dividend Yield

10%

Payout Ratio

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 2185 (¥1375) is trading below our estimate of fair value (¥3306.62)

Significantly Below Fair Value: 2185 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 2185 is good value based on its PE Ratio (11.3x) compared to the JP Commercial Services industry average (13.1x).

PE vs Market: 2185 is good value based on its PE Ratio (11.3x) compared to the JP market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 2185's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 2185 is overvalued based on its PB Ratio (1.2x) compared to the JP Commercial Services industry average (1x).


Future Growth

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

3.9%

Forecasted Commercial Services 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 CMC 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.


Past Performance

How has CMC performed over the past 5 years?

10.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2185 has high quality earnings.

Growing Profit Margin: 2185's current net profit margins (9.3%) are higher than last year (7.9%).


Past Earnings Growth Analysis

Earnings Trend: 2185's earnings have grown by 10.1% per year over the past 5 years.

Accelerating Growth: 2185's earnings growth over the past year (19.5%) exceeds its 5-year average (10.1% per year).

Earnings vs Industry: 2185 earnings growth over the past year (19.5%) underperformed the Commercial Services industry 30.5%.


Return on Equity

High ROE: 2185's Return on Equity (10.1%) is considered low.


Financial Health

How is CMC's financial position?


Financial Position Analysis

Short Term Liabilities: 2185's short term assets (¥15.3B) exceed its short term liabilities (¥3.5B).

Long Term Liabilities: 2185's short term assets (¥15.3B) exceed its long term liabilities (¥1.7B).


Debt to Equity History and Analysis

Debt Level: 2185 has more cash than its total debt.

Reducing Debt: 2185's debt to equity ratio has reduced from 1% to 0.09% over the past 5 years.

Debt Coverage: 2185's debt is well covered by operating cash flow (12800%).

Interest Coverage: 2185 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

1.82%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 2185's dividend (1.82%) is higher than the bottom 25% of dividend payers in the JP market (1.35%).

High Dividend: 2185's dividend (1.82%) is low compared to the top 25% of dividend payers in the JP market (3.22%).


Stability and Growth of Payments

Stable Dividend: 2185's dividend payments have been volatile in the past 10 years.

Growing Dividend: 2185's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (10.1%), 2185's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

1.8yrs

Average management tenure


CEO

Yukiyasu Sasa (57 yo)

9.92yrs

Tenure

Mr. Yukiyasu Sasa has been the President and Representative Executive Officer of CMC Corporation since December 2011 and served as its Chief Executive Officer. Mr. Sasa served as Senior Managing Executive...


Leadership Team

Experienced Management: 2185's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: 2185's board of directors are considered experienced (7.4 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

CMC Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: CMC Corporation
  • Ticker: 2185
  • Exchange: JASDAQ
  • Founded: 1962
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: JP¥18.286b
  • Shares outstanding: 13.30m
  • Website: https://www.cmc.co.jp

Number of Employees


Location

  • CMC Corporation
  • 1-1-19 Heiwa
  • Naka-ku
  • Nagoya
  • Aichi
  • 460-0021
  • Japan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/26 15:54
End of Day Share Price2021/11/26 00:00
Earnings2021/09/30
Annual Earnings2021/09/30


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.