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Market Cap

JP¥73.4b

Last Updated

2021/04/17 08:15 UTC

Data Sources

Company Financials

Executive Summary

Japan Securities Finance Co., Ltd., together with its subsidiaries, engages in securities finance, trust banking, and real estate leasing businesses in Japan. More Details


Snowflake Analysis

Proven track record with mediocre balance sheet.

Share Price & News

How has Japan Securities Finance's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 8511 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 8511's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-1.4%

8511

0.2%

JP Diversified Financial

0.1%

JP Market


1 Year Return

62.3%

8511

38.5%

JP Diversified Financial

37.4%

JP Market

Return vs Industry: 8511 exceeded the JP Diversified Financial industry which returned 38.5% over the past year.

Return vs Market: 8511 exceeded the JP Market which returned 37.4% over the past year.


Shareholder returns

8511IndustryMarket
7 Day-1.4%0.2%0.1%
30 Day12.2%-2.4%-1.2%
90 Day52.7%1.4%5.7%
1 Year68.4%62.3%43.3%38.5%40.3%37.4%
3 Year33.3%19.0%11.0%-0.06%21.3%12.9%
5 Year109.5%73.5%36.7%16.1%57.3%40.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Japan Securities Finance undervalued compared to its fair value and its price relative to the market?

19.34x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 8511 (¥800) is trading above our estimate of fair value (¥325.84)

Significantly Below Fair Value: 8511 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 8511 is poor value based on its PE Ratio (19.3x) compared to the JP Diversified Financial industry average (15.6x).

PE vs Market: 8511 is poor value based on its PE Ratio (19.3x) compared to the JP market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 8511's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8511 is good value based on its PB Ratio (0.6x) compared to the JP Diversified Financial industry average (1.1x).


Future Growth

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

14.8%

Forecasted Diversified Financials 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 Japan Securities Finance 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 Japan Securities Finance performed over the past 5 years?

6.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8511 has high quality earnings.

Growing Profit Margin: 8511's current net profit margins (12.7%) are lower than last year (13%).


Past Earnings Growth Analysis

Earnings Trend: 8511's earnings have grown by 6% per year over the past 5 years.

Accelerating Growth: 8511's earnings growth over the past year (10.5%) exceeds its 5-year average (6% per year).

Earnings vs Industry: 8511 earnings growth over the past year (10.5%) exceeded the Diversified Financial industry -10.2%.


Return on Equity

High ROE: 8511's Return on Equity (2.9%) is considered low.


Financial Health

How is Japan Securities Finance's financial position?


Financial Position Analysis

Short Term Liabilities: 8511's short term assets (¥9,258.5B) do not cover its short term liabilities (¥9,995.7B).

Long Term Liabilities: 8511's short term assets (¥9,258.5B) exceed its long term liabilities (¥34.1B).


Debt to Equity History and Analysis

Debt Level: 8511's debt to equity ratio (1223.8%) is considered high.

Reducing Debt: 8511's debt to equity ratio has reduced from 1631.1% to 1223.8% over the past 5 years.

Debt Coverage: 8511's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 8511 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Japan Securities Finance current dividend yield, its reliability and sustainability?

2.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 8511's dividend (2.75%) is higher than the bottom 25% of dividend payers in the JP market (1.21%).

High Dividend: 8511's dividend (2.75%) is low compared to the top 25% of dividend payers in the JP market (2.79%).


Stability and Growth of Payments

Stable Dividend: 8511's dividend payments have been volatile in the past 10 years.

Growing Dividend: 8511's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (53.2%), 8511's dividend payments are 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

Eizo Kobayashi (72 yo)

8.83yrs

Tenure

Mr. Eizo Kobayashi has been Chairperson of Japan Securities Finance Co., Ltd. since 2019. He had been the President of Japan Securities Finance Co., Ltd. since June 2012 until 2019. Mr. Kobayashi served as...


Leadership Team

Experienced Management: 8511's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: 8511's board of directors are not considered experienced ( 1.8 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

Japan Securities Finance Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Japan Securities Finance Co., Ltd.
  • Ticker: 8511
  • Exchange: TSE
  • Founded: 1927
  • Industry: Specialized Finance
  • Sector: Diversified Financials
  • Market Cap: JP¥73.445b
  • Shares outstanding: 91.75m
  • Website: https://www.jsf.co.jp

Number of Employees


Location

  • Japan Securities Finance Co., Ltd.
  • 1-2-10 Nihonbashi-Kayabacho
  • Chuo-ku
  • Tokyo
  • 103-0025
  • Japan

Listings


Biography

Japan Securities Finance Co., Ltd., together with its subsidiaries, engages in securities finance, trust banking, and real estate leasing businesses in Japan. The company offers loans for margin transactio...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/17 08:15
End of Day Share Price2021/04/16 00:00
Earnings2020/12/31
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.