TSE:8113

Stock Analysis Report

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Market Cap

JP¥2.7t

Last Updated

2021/06/18 08:16 UTC

Data Sources

Company Financials +

Executive Summary

Unicharm Corporation engages in the manufacture and sale of baby and childcare, feminine care, health care, cosmetic, household, and pet care products in Japan and internationally. More Details

Rewards

Earnings are forecast to grow 5.9% per year

Earnings have grown 0.8% per year over the past 5 years

Risk Analysis

No risks detected for 8113 from our risk checks.


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 8113 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 8113's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.4%

8113

0.07%

JP Household Products

0.4%

JP Market


1 Year Return

2.2%

8113

-6.3%

JP Household Products

22.6%

JP Market

Return vs Industry: 8113 exceeded the JP Household Products industry which returned -6.3% over the past year.

Return vs Market: 8113 underperformed the JP Market which returned 22.6% over the past year.


Shareholder returns

8113IndustryMarket
7 Day0.4%0.07%0.4%
30 Day1.0%-0.3%3.6%
90 Day-1.7%-5.6%-2.3%
1 Year2.9%2.2%-5.5%-6.3%25.3%22.6%
3 Year36.8%33.8%15.0%11.5%20.3%12.1%
5 Year116.4%108.8%80.8%72.2%78.4%58.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

50.06x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 8113 (¥4469) is trading above our estimate of fair value (¥4168.81)

Significantly Below Fair Value: 8113 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 8113 is poor value based on its PE Ratio (50.2x) compared to the JP Household Products industry average (21.8x).

PE vs Market: 8113 is poor value based on its PE Ratio (50.2x) compared to the JP market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: 8113 is poor value based on its PEG Ratio (8.5x)


Price to Book Ratio

PB vs Industry: 8113 is overvalued based on its PB Ratio (5.1x) compared to the JP Household Products industry average (2.5x).


Future Growth

How is Unicharm forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

5.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8113's forecast earnings growth (5.9% per year) is above the savings rate (0%).

Earnings vs Market: 8113's earnings (5.9% per year) are forecast to grow slower than the JP market (12.9% per year).

High Growth Earnings: 8113's earnings are forecast to grow, but not significantly.

Revenue vs Market: 8113's revenue (4.4% per year) is forecast to grow slower than the JP market (5.2% per year).

High Growth Revenue: 8113's revenue (4.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 8113's Return on Equity is forecast to be low in 3 years time (13.9%).


Past Performance

How has Unicharm performed over the past 5 years?

0.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8113 has high quality earnings.

Growing Profit Margin: 8113's current net profit margins (7.3%) are higher than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: 8113's earnings have grown by 0.8% per year over the past 5 years.

Accelerating Growth: 8113's earnings growth over the past year (1.1%) exceeds its 5-year average (0.8% per year).

Earnings vs Industry: 8113 earnings growth over the past year (1.1%) underperformed the Household Products industry 6.4%.


Return on Equity

High ROE: 8113's Return on Equity (10.8%) is considered low.


Financial Health

How is Unicharm's financial position?


Financial Position Analysis

Short Term Liabilities: 8113's short term assets (¥501.3B) exceed its short term liabilities (¥221.4B).

Long Term Liabilities: 8113's short term assets (¥501.3B) exceed its long term liabilities (¥101.4B).


Debt to Equity History and Analysis

Debt Level: 8113's debt to equity ratio (6.1%) is considered satisfactory.

Reducing Debt: 8113's debt to equity ratio has reduced from 16.3% to 6.1% over the past 5 years.

Debt Coverage: 8113's debt is well covered by operating cash flow (350.3%).

Interest Coverage: 8113 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

0.81%

Current Dividend Yield


Upcoming Dividend Payment

TodayJun 18 2021Ex Dividend DateJun 29 2021Dividend Pay DateSep 02 202165 days from Ex DividendBuy in the next 11 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: 8113's dividend (0.81%) isn’t notable compared to the bottom 25% of dividend payers in the JP market (1.31%).

High Dividend: 8113's dividend (0.81%) is low compared to the top 25% of dividend payers in the JP market (2.99%).


Stability and Growth of Payments

Stable Dividend: 8113's dividends per share have been stable in the past 10 years.

Growing Dividend: 8113's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36%), 8113's dividend payments are well 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?

14.7yrs

Average management tenure


CEO

Takahisa Takahara (59 yo)

17yrs

Tenure

JP¥200,000,000

Compensation

Mr. Takahisa Takahara has been the Chief Executive Officer of Unicharm Corporation since June 2004 and has been its President since June 2001. Mr. Takahara served as an Executive Officer at Unicharm Corpor...


CEO Compensation Analysis

Compensation vs Market: Takahisa's total compensation ($USD1.82M) is about average for companies of similar size in the JP market ($USD1.82M).

Compensation vs Earnings: Takahisa's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: 8113's management team is seasoned and experienced (14.7 years average tenure).


Board Members

Experienced Board: 8113's board of directors are considered experienced (9.1 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.


Top Shareholders

Company Information

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


Key Information

  • Name: Unicharm Corporation
  • Ticker: 8113
  • Exchange: TSE
  • Founded: 1961
  • Industry: Household Products
  • Sector: Household
  • Market Cap: JP¥2.672t
  • Shares outstanding: 597.93m
  • Website: https://www.unicharm.co.jp

Number of Employees


Location

  • Unicharm Corporation
  • Sumitomo Fudosan Mita Twin Building
  • West Wing
  • Tokyo
  • 108-8575
  • Japan

Listings


Biography

Unicharm Corporation engages in the manufacture and sale of baby and childcare, feminine care, health care, cosmetic, household, and pet care products in Japan and internationally. Its baby and child care ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/18 08:16
End of Day Share Price2021/06/18 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.