Ajinomoto Co., Inc.

TSE:2802 Stock Report

Market Cap: JP¥3.1t

Ajinomoto Valuation

Is 2802 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 2802 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 2802 (¥6206) is trading below our estimate of fair value (¥9506.86)

Significantly Below Fair Value: 2802 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2802?

Key metric: As 2802 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 2802. This is calculated by dividing 2802's market cap by their current earnings.
What is 2802's PE Ratio?
PE Ratio34.2x
EarningsJP¥90.89b
Market CapJP¥3.11t

Price to Earnings Ratio vs Peers

How does 2802's PE Ratio compare to its peers?

The above table shows the PE ratio for 2802 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.7x
2801 Kikkoman
25.6x2.8%JP¥1.6t
2897 Nissin Foods HoldingsLtd
22.8x5.1%JP¥1.2t
2875 Toyo Suisan Kaisha
17x2.2%JP¥1.1t
2267 Yakult HonshaLtd
17.2x1.3%JP¥903.4b
2802 Ajinomoto
34.2x11.9%JP¥3.1t

Price-To-Earnings vs Peers: 2802 is expensive based on its Price-To-Earnings Ratio (34.2x) compared to the peer average (20.7x).

Price to Earnings Ratio vs Industry

How does 2802's PE Ratio compare vs other companies in the JP Food Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
2215 First Baking
1.9xn/aUS$25.80m
No more companies available in this PE range
2802 34.2xIndustry Avg. 15.0xNo. of Companies14PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 2802 is expensive based on its Price-To-Earnings Ratio (34.2x) compared to the JP Food industry average (15x).

Price to Earnings Ratio vs Fair Ratio

What is 2802'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.

2802 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio34.2x
Fair PE Ratio25.4x

Price-To-Earnings vs Fair Ratio: 2802 is expensive based on its Price-To-Earnings Ratio (34.2x) compared to the estimated Fair Price-To-Earnings Ratio (25.4x).

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 2802 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥6,206.00
JP¥6,518.33
+5.0%
11.6%JP¥8,000.00JP¥5,300.00n/a12
Nov ’25JP¥5,775.00
JP¥6,480.83
+12.2%
10.8%JP¥7,700.00JP¥5,300.00n/a12
Oct ’25JP¥5,532.00
JP¥6,505.83
+17.6%
10.8%JP¥7,700.00JP¥5,300.00n/a12
Sep ’25JP¥5,597.00
JP¥6,370.77
+13.8%
12.9%JP¥7,600.00JP¥4,500.00n/a13
Aug ’25JP¥6,239.00
JP¥6,385.38
+2.3%
12.3%JP¥7,300.00JP¥4,500.00n/a13
Jul ’25JP¥5,738.00
JP¥6,254.62
+9.0%
13.1%JP¥7,400.00JP¥4,500.00n/a13
Jun ’25JP¥5,605.00
JP¥6,112.31
+9.1%
14.3%JP¥7,300.00JP¥4,500.00n/a13
May ’25JP¥5,906.00
JP¥5,989.23
+1.4%
14.3%JP¥7,300.00JP¥4,500.00n/a13
Apr ’25JP¥5,632.00
JP¥5,973.08
+6.1%
14.7%JP¥7,300.00JP¥4,500.00n/a13
Mar ’25JP¥5,555.00
JP¥5,937.50
+6.9%
15.3%JP¥7,300.00JP¥4,500.00n/a12
Feb ’25JP¥6,012.00
JP¥5,858.33
-2.6%
15.0%JP¥7,100.00JP¥4,500.00n/a12
Jan ’25JP¥5,440.00
JP¥5,903.85
+8.5%
15.5%JP¥7,400.00JP¥4,500.00n/a13
Dec ’24JP¥5,533.00
JP¥6,075.00
+9.8%
14.8%JP¥7,400.00JP¥4,500.00n/a14
Nov ’24JP¥5,589.00
JP¥6,123.08
+9.6%
16.8%JP¥7,500.00JP¥4,500.00JP¥5,775.0013
Oct ’24JP¥5,764.00
JP¥5,780.77
+0.3%
15.4%JP¥7,300.00JP¥4,500.00JP¥5,532.0013
Sep ’24JP¥6,132.00
JP¥5,638.46
-8.0%
15.1%JP¥7,300.00JP¥4,400.00JP¥5,597.0013
Aug ’24JP¥5,599.00
JP¥5,469.23
-2.3%
16.7%JP¥7,000.00JP¥3,900.00JP¥6,239.0013
Jul ’24JP¥5,724.00
JP¥5,231.54
-8.6%
13.6%JP¥6,600.00JP¥3,900.00JP¥5,738.0013
Jun ’24JP¥5,476.00
JP¥4,970.00
-9.2%
10.3%JP¥5,560.00JP¥3,900.00JP¥5,605.0013
May ’24JP¥4,951.00
JP¥4,708.46
-4.9%
13.7%JP¥5,560.00JP¥3,500.00JP¥5,906.0013
Apr ’24JP¥4,606.00
JP¥4,643.08
+0.8%
12.8%JP¥5,500.00JP¥3,500.00JP¥5,632.0013
Mar ’24JP¥4,392.00
JP¥4,572.14
+4.1%
13.1%JP¥5,500.00JP¥3,500.00JP¥5,555.0014
Feb ’24JP¥4,117.00
JP¥4,586.43
+11.4%
12.6%JP¥5,210.00JP¥3,500.00JP¥6,012.0014
Jan ’24JP¥4,031.00
JP¥4,547.33
+12.8%
13.4%JP¥5,210.00JP¥3,200.00JP¥5,440.0015
Dec ’23JP¥4,501.00
JP¥4,376.67
-2.8%
11.8%JP¥5,100.00JP¥3,200.00JP¥5,533.0015
Nov ’23JP¥4,117.00
JP¥4,196.67
+1.9%
10.9%JP¥5,000.00JP¥3,200.00JP¥5,589.0015

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

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