TSE:4921

Stock Analysis Report

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Market Cap

JP¥439.8b

Last Updated

2021/06/17 15:41 UTC

Data Sources

Company Financials +

Executive Summary

Fancl Corporation engages in the manufacture and sale of cosmetics and dietary supplements. More Details

Rewards

Earnings are forecast to grow 13.11% per year

Risk Analysis

No risks detected for 4921 from our risk checks.


Snowflake Analysis

Flawless balance sheet with moderate growth potential.

Share Price & News

How has Fancl's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 4921 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 4921's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

1.3%

4921

1.3%

JP Personal Products

0.4%

JP Market


1 Year Return

14.8%

4921

2.0%

JP Personal Products

22.6%

JP Market

Return vs Industry: 4921 exceeded the JP Personal Products industry which returned 1.8% over the past year.

Return vs Market: 4921 underperformed the JP Market which returned 23.1% over the past year.


Shareholder returns

4921IndustryMarket
7 Day1.3%1.3%0.4%
30 Day5.8%5.4%3.6%
90 Day-8.0%-0.7%-2.3%
1 Year15.9%14.8%3.3%2.0%25.3%22.6%
3 Year35.3%30.9%-15.1%-18.2%20.3%12.1%
5 Year499.0%448.9%88.8%76.3%78.4%58.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

54.86x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 4921 (¥3650) is trading above our estimate of fair value (¥2401.74)

Significantly Below Fair Value: 4921 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 4921 is poor value based on its PE Ratio (54.9x) compared to the JP Personal Products industry average (35.8x).

PE vs Market: 4921 is poor value based on its PE Ratio (54.9x) compared to the JP market (16.3x).


Price to Earnings Growth Ratio

PEG Ratio: 4921 is poor value based on its PEG Ratio (4.2x)


Price to Book Ratio

PB vs Industry: 4921 is overvalued based on its PB Ratio (6.2x) compared to the JP Personal Products industry average (3x).


Future Growth

How is Fancl forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

13.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 4921's forecast earnings growth (13.1% per year) is above the savings rate (0%).

Earnings vs Market: 4921's earnings (13.1% per year) are forecast to grow faster than the JP market (13.1% per year).

High Growth Earnings: 4921's earnings are forecast to grow, but not significantly.

Revenue vs Market: 4921's revenue (5.4% per year) is forecast to grow faster than the JP market (5.3% per year).

High Growth Revenue: 4921's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 4921's Return on Equity is forecast to be low in 3 years time (14.7%).


Past Performance

How has Fancl performed over the past 5 years?

22.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 4921 has high quality earnings.

Growing Profit Margin: 4921's current net profit margins (7%) are lower than last year (7.9%).


Past Earnings Growth Analysis

Earnings Trend: 4921's earnings have grown significantly by 22.7% per year over the past 5 years.

Accelerating Growth: 4921's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 4921 had negative earnings growth (-19.7%) over the past year, making it difficult to compare to the Personal Products industry average (-17.7%).


Return on Equity

High ROE: 4921's Return on Equity (11.3%) is considered low.


Financial Health

How is Fancl's financial position?


Financial Position Analysis

Short Term Liabilities: 4921's short term assets (¥52.0B) exceed its short term liabilities (¥14.8B).

Long Term Liabilities: 4921's short term assets (¥52.0B) exceed its long term liabilities (¥11.5B).


Debt to Equity History and Analysis

Debt Level: 4921's debt to equity ratio (14.3%) is considered satisfactory.

Reducing Debt: 4921 had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: 4921's debt is well covered by operating cash flow (98.6%).

Interest Coverage: 4921 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

0.93%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 4921's dividend (0.93%) isn’t notable compared to the bottom 25% of dividend payers in the JP market (1.31%).

High Dividend: 4921's dividend (0.93%) is low compared to the top 25% of dividend payers in the JP market (2.99%).


Stability and Growth of Payments

Stable Dividend: 4921's dividends per share have been stable in the past 10 years.

Growing Dividend: 4921's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (51.2%), 4921'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?

2.0yrs

Average management tenure


CEO

Kazuyuki Shimada (66 yo)

4.17yrs

Tenure

Mr. Kazuyuki Shimada has been the Chief Executive Officer and President of FANCL Corporation since April 1, 2017. Mr. Shimada was Senior Managing Director of FANCL Corporation and its General Manager of Gr...


Leadership Team

Experienced Management: 4921's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: 4921's board of directors are not considered experienced ( 1.2 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

Fancl Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fancl Corporation
  • Ticker: 4921
  • Exchange: TSE
  • Founded: 1980
  • Industry: Personal Products
  • Sector: Household
  • Market Cap: JP¥439.816b
  • Shares outstanding: 120.66m
  • Website: https://www.fancl.jp

Number of Employees


Location

  • Fancl Corporation
  • 89-1 Yamashita-cho
  • Naka-ku
  • Yokohama
  • Kanagawa
  • 231-8528
  • Japan

Listings


Biography

Fancl Corporation engages in the manufacture and sale of cosmetics and dietary supplements. It provides cosmetics, quasi-drugs, nutritional supplements, and other products in Japan and internationally. The...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/17 15:41
End of Day Share Price2021/06/17 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


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.