JICHODOLtd (TSE:3597) - Share price, News & Analysis

3597 fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	4/6
Financial Health	5/6
Dividends	6/6

3597 Stock Overview

JICHODO Co.,Ltd. manufactures and sells uniforms in Japan and internationally.

Rewards

Trading at 80.9% below our estimate of its fair value

Earnings grew by 37.2% over the past year

Pays a high and reliable dividend of 4.48%

Risk Analysis

Earnings have declined by 11.2% per year over past 5 years

JICHODOLtd Competitors

Price History & Performance

Summary of all time highs, changes and price drops for JICHODOLtd
Historical stock prices
Current Share Price	JP¥6,700.00
52 Week High	JP¥7,840.00
52 Week Low	JP¥6,320.00
Beta	0.15
1 Month Change	-7.33%
3 Month Change	-2.48%
1 Year Change	-12.42%
3 Year Change	-6.29%
5 Year Change	-8.97%
Change since IPO	-15.90%

Shareholder Returns

	3597	JP Luxury	JP Market
7D	-3.6%	-0.6%	-0.7%
1Y	-12.4%	-2.8%	-6.4%

Return vs Industry: 3597 underperformed the JP Luxury industry which returned -2.8% over the past year.

Return vs Market: 3597 underperformed the JP Market which returned -6.4% over the past year.

Price Volatility

Is 3597's price volatile compared to industry and market?
3597 volatility
3597 Average Weekly Movement	2.4%
Luxury Industry Average Movement	3.7%
Market Average Movement	4.2%
10% most volatile stocks in JP Market	8.5%
10% least volatile stocks in JP Market	2.3%

Stable Share Price: 3597 is less volatile than 75% of JP stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: 3597's weekly volatility (2%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1924	231	Masanobu Idehara	https://www.jichodo.co.jp

JICHODO Co.,Ltd. manufactures and sells uniforms in Japan and internationally. It provides men’s casuals, medical white coats, and safety shoes.

JICHODOLtd Fundamentals Summary

How do JICHODOLtd's earnings and revenue compare to its market cap?
3597 fundamental statistics
Market Cap	JP¥19.49b
Earnings (TTM)	JP¥1.95b
Revenue (TTM)	JP¥17.29b

9.9x

P/E Ratio

1.1x

P/S Ratio

Is 3597 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
3597 income statement (TTM)
Revenue	JP¥17.29b
Cost of Revenue	JP¥11.75b
Gross Profit	JP¥5.54b
Other Expenses	JP¥3.59b
Earnings	JP¥1.95b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	677.81
Gross Margin	32.05%
Net Profit Margin	11.30%
Debt/Equity Ratio	0.09%

How did 3597 perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

44%

Payout Ratio

Does 3597 pay a reliable dividends?

See 3597 dividend history and benchmarks

When do you need to buy 3597 by to receive an upcoming dividend?
JICHODOLtd dividend dates
Ex Dividend Date	Jun 29 2022
Dividend Pay Date	Sep 30 2022
Days until Ex dividend	5 days
Days until Dividend pay date	98 days

Does 3597 pay a reliable dividends?

See 3597 dividend history and benchmarks

We’ve recently updated our valuation analysis.

Valuation

Is 3597 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3597?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 3597. This is calculated by dividing 3597's market cap by their current preferred multiple.
What is 3597's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	JP¥19.49b

3597 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/Revenue	0.7x
Enterprise Value/EBITDA	4.6x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 3597's PE Ratio compare to its peers?

3597 PE Ratio vs Peers

The above table shows the PE ratio for 3597 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	26.6x

Forward PE

Price-To-Earnings vs Peers: 3597 is good value based on its Price-To-Earnings Ratio (9.9x) compared to the peer average (26.6x).

Price to Earnings Ratio vs Industry

How does 3597's PE Ratio compare vs other companies in the Japanese Luxury Industry?

Price-To-Earnings vs Industry: 3597 is good value based on its Price-To-Earnings Ratio (9.9x) compared to the JP Luxury industry average (16.4x)

Price to Earnings Ratio vs Fair Ratio

What is 3597'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.

3597 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	9.9x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 3597's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of 3597 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3597 (¥6700) is trading below our estimate of fair value (¥35011.35)

Significantly Below Fair Value: 3597 is trading below fair value by more than 20%.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 3597's PEG Ratio to determine if it is good value.

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Future Growth

How is JICHODOLtd 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

16.9%

Forecasted Consumer Durables 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 JICHODOLtd 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.

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Examine whether JICHODOLtd is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.

Past Performance

How has JICHODOLtd 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

-11.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 3597 has high quality earnings.

Growing Profit Margin: 3597's current net profit margins (11.3%) are higher than last year (7.9%).

Past Earnings Growth Analysis

Earnings Trend: 3597's earnings have declined by 11.2% per year over the past 5 years.

Accelerating Growth: 3597's earnings growth over the past year (37.2%) exceeds its 5-year average (-11.2% per year).

Earnings vs Industry: 3597 earnings growth over the past year (37.2%) exceeded the Luxury industry 31.6%.

Return on Equity

High ROE: 3597's Return on Equity (5.8%) is considered low.

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Financial Health

How is JICHODOLtd's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 3597's short term assets (¥26.7B) exceed its short term liabilities (¥2.8B).

Long Term Liabilities: 3597's short term assets (¥26.7B) exceed its long term liabilities (¥1.2B).

Debt to Equity History and Analysis

Debt Level: 3597 has more cash than its total debt.

Reducing Debt: Insufficient data to determine if 3597's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 3597's debt is well covered by operating cash flow (15943.3%).

Interest Coverage: 3597 earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

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Dividend

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

Dividend Score

5/6

Dividend Score 5/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.48%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: 3597's dividend (4.48%) is higher than the bottom 25% of dividend payers in the JP market (1.7%).

High Dividend: 3597's dividend (4.48%) is in the top 25% of dividend payers in the JP market (3.76%)

Stability and Growth of Payments

Stable Dividend: 3597's dividends per share have been stable in the past 10 years.

Growing Dividend: 3597's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (44.2%), 3597's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (23.5%), 3597's dividend payments are well covered by cash flows.

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Management

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

12.9yrs

Average management tenure

CEO

Masanobu Idehara (54 yo)

11.92yrs

Tenure

Mr. Masanobu Idehara has been President at Jichodo Co., Ltd. since September 2014 and serves as its Chief Executive Officer. Mr. Idehara has been General Manager of Product Division at Jichodo Co., Ltd.si...

Leadership Team

Experienced Management: 3597's management team is seasoned and experienced (12.9 years average tenure).

Board Members

Experienced Board: 3597's board of directors are seasoned and experienced ( 13.8 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/23 00:00
End of Day Share Price	2022/06/23 00:00
Earnings	2022/03/31
Annual Earnings	2021/06/30