SECOM CO., LTD.

TSE:9735 Stock Report

Market Cap: JP¥2.1t

SECOM Valuation

Is 9735 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • 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 9735 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 9735 (¥5192) is trading below our estimate of fair value (¥5869.95)

Significantly Below Fair Value: 9735 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 9735?

Key metric: As 9735 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 9735. This is calculated by dividing 9735's market cap by their current earnings.
What is 9735's PE Ratio?
PE Ratio20.9x
EarningsJP¥103.15b
Market CapJP¥2.12t

Price to Earnings Ratio vs Peers

How does 9735's PE Ratio compare to its peers?

The above table shows the PE ratio for 9735 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14.6x
2331 Sohgo Security ServicesLtd
21.4x8.0%JP¥533.6b
9740 Central Security Patrols
14.7x8.0%JP¥40.0b
7911 TOPPAN Holdings
13.6x-0.7%JP¥1.2t
7912 Dai Nippon Printing
8.6x1.7%JP¥1.1t
9735 SECOM
20.9x3.5%JP¥2.2t

Price-To-Earnings vs Peers: 9735 is expensive based on its Price-To-Earnings Ratio (20.9x) compared to the peer average (14.6x).

Price to Earnings Ratio vs Industry

How does 9735's PE Ratio compare vs other companies in the JP Commercial Services Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
7997 Kurogane Kosakusho
1.3xn/aUS$8.18m
No more companies available in this PE range
9735 20.9xIndustry Avg. 13.4xNo. of Companies19PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 9735 is expensive based on its Price-To-Earnings Ratio (20.9x) compared to the JP Commercial Services industry average (13.4x).

Price to Earnings Ratio vs Fair Ratio

What is 9735'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.

9735 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.9x
Fair PE Ratio22.5x

Price-To-Earnings vs Fair Ratio: 9735 is good value based on its Price-To-Earnings Ratio (20.9x) compared to the estimated Fair Price-To-Earnings Ratio (22.6x).

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 9735 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥5,192.00
JP¥5,491.67
+5.8%
6.8%JP¥6,000.00JP¥4,800.00n/a6
Nov ’25JP¥5,389.00
JP¥5,325.00
-1.2%
6.5%JP¥5,750.00JP¥4,800.00n/a6
Oct ’25JP¥5,313.00
JP¥5,325.00
+0.2%
6.5%JP¥5,750.00JP¥4,800.00n/a6
Sep ’25JP¥5,310.00
JP¥5,233.33
-1.4%
5.4%JP¥5,700.00JP¥4,800.00n/a6
Aug ’25JP¥4,705.50
JP¥5,083.33
+8.0%
4.1%JP¥5,450.00JP¥4,800.00n/a6
Jul ’25JP¥4,763.50
JP¥5,083.33
+6.7%
4.1%JP¥5,450.00JP¥4,800.00n/a6
Jun ’25JP¥4,886.00
JP¥5,183.33
+6.1%
3.0%JP¥5,450.00JP¥5,000.00n/a6
May ’25JP¥5,427.50
JP¥5,183.33
-4.5%
3.0%JP¥5,450.00JP¥5,000.00n/a6
Apr ’25JP¥5,400.00
JP¥5,183.33
-4.0%
3.0%JP¥5,450.00JP¥5,000.00n/a6
Mar ’25JP¥5,620.00
JP¥5,191.67
-7.6%
3.1%JP¥5,450.00JP¥5,000.00n/a6
Feb ’25JP¥5,387.50
JP¥4,957.14
-8.0%
7.6%JP¥5,350.00JP¥4,350.00n/a7
Jan ’25JP¥5,077.50
JP¥4,950.00
-2.5%
8.2%JP¥5,350.00JP¥4,350.00n/a6
Dec ’24JP¥5,170.00
JP¥4,907.14
-5.1%
7.4%JP¥5,350.00JP¥4,350.00n/a7
Nov ’24JP¥5,305.00
JP¥4,828.57
-9.0%
6.8%JP¥5,250.00JP¥4,350.00JP¥5,389.007
Oct ’24JP¥5,070.00
JP¥4,828.57
-4.8%
6.8%JP¥5,250.00JP¥4,350.00JP¥5,313.007
Sep ’24JP¥5,080.00
JP¥4,792.86
-5.7%
6.3%JP¥5,250.00JP¥4,350.00JP¥5,310.007
Aug ’24JP¥4,798.00
JP¥4,600.00
-4.1%
6.3%JP¥5,000.00JP¥4,050.00JP¥4,705.507
Jul ’24JP¥4,869.50
JP¥4,600.00
-5.5%
6.3%JP¥5,000.00JP¥4,050.00JP¥4,763.507
Jun ’24JP¥4,575.00
JP¥4,535.71
-0.9%
5.6%JP¥4,950.00JP¥4,050.00JP¥4,886.007
May ’24JP¥4,369.50
JP¥4,507.14
+3.2%
6.1%JP¥5,050.00JP¥4,050.00JP¥5,427.507
Apr ’24JP¥4,082.00
JP¥4,507.14
+10.4%
6.1%JP¥5,050.00JP¥4,050.00JP¥5,400.007
Mar ’24JP¥3,937.00
JP¥4,514.29
+14.7%
6.1%JP¥5,050.00JP¥4,050.00JP¥5,620.007
Feb ’24JP¥3,822.50
JP¥4,492.86
+17.5%
5.8%JP¥4,950.00JP¥4,000.00JP¥5,387.507
Jan ’24JP¥3,771.50
JP¥4,657.14
+23.5%
7.2%JP¥5,450.00JP¥4,400.00JP¥5,077.507
Dec ’23JP¥4,193.50
JP¥4,678.57
+11.6%
6.9%JP¥5,450.00JP¥4,400.00JP¥5,170.007
Nov ’23JP¥4,222.50
JP¥4,721.43
+11.8%
9.6%JP¥5,750.00JP¥4,200.00JP¥5,305.007

Analyst Forecast: Target price is less than 20% higher than the current share price.

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