| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 3/6 |
| Past Performance | 4/6 |
| Financial Health | 4/6 |
| Dividends | 4/6 |
3402 Stock Overview
Toray Industries, Inc., together with its subsidiaries, manufactures, processes, and sells fibers and textiles, performance chemicals, carbon fiber composite materials, environment and engineering products, and life science products in Japan, China, North America, Europe, and internationally.
Toray Industries Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | JP¥761.20 |
| 52 Week High | JP¥765.50 |
| 52 Week Low | JP¥550.50 |
| Beta | 1.13 |
| 1 Month Change | 14.24% |
| 3 Month Change | 20.33% |
| 1 Year Change | 2.42% |
| 3 Year Change | -5.66% |
| 5 Year Change | -21.23% |
| Change since IPO | 17.83% |
Recent News & Updates
Shareholder Returns
| 3402 | JP Chemicals | JP Market | |
|---|---|---|---|
| 7D | 4.4% | 3.3% | 2.3% |
| 1Y | 2.4% | -12.2% | -3.9% |
Return vs Industry: 3402 exceeded the JP Chemicals industry which returned -12.2% over the past year.
Return vs Market: 3402 exceeded the JP Market which returned -3.9% over the past year.
Price Volatility
| 3402 volatility | |
|---|---|
| 3402 Average Weekly Movement | 3.3% |
| Chemicals Industry Average Movement | 4.1% |
| Market Average Movement | 4.2% |
| 10% most volatile stocks in JP Market | 8.4% |
| 10% least volatile stocks in JP Market | 2.2% |
Stable Share Price: 3402 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 3402's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1926 | 46,267 | Akihiro Nikkaku | https://www.toray.co.jp |
Toray Industries, Inc., together with its subsidiaries, manufactures, processes, and sells fibers and textiles, performance chemicals, carbon fiber composite materials, environment and engineering products, and life science products in Japan, China, North America, Europe, and internationally. The company offers filament yarns, staple fibers, and spun yarns, as well as woven and knitted fabrics of nylon, polyester, acrylics, and others; non-woven fabrics; ultra-microfiber non-woven fabric with suede-texture; and apparel products. It also provides nylon, ABS, PBT, PPS, and other resins and molded products; polyolefin foam products; polyester, polyethylene, polypropylene, and other films; processed film products; raw materials for synthetic fibers and plastics; fine chemicals; electronic and information materials; and graphic materials.
Toray Industries Fundamentals Summary
| 3402 fundamental statistics | |
|---|---|
| Market Cap | JP¥1.20t |
| Earnings (TTM) | JP¥84.24b |
| Revenue (TTM) | JP¥2.23t |
14.5x
P/E Ratio0.5x
P/S RatioIs 3402 overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| 3402 income statement (TTM) | |
|---|---|
| Revenue | JP¥2.23t |
| Cost of Revenue | JP¥1.79t |
| Gross Profit | JP¥435.97b |
| Other Expenses | JP¥351.73b |
| Earnings | JP¥84.24b |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
Aug 09, 2022
| Earnings per share (EPS) | 52.62 |
| Gross Margin | 19.56% |
| Net Profit Margin | 3.78% |
| Debt/Equity Ratio | 59.9% |
How did 3402 perform over the long term?
See historical performance and comparisonDividends
2.4%
Current Dividend Yield30%
Payout RatioValuation
Is 3402 undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
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 3402?
Other financial metrics that can be useful for relative valuation.
| What is 3402's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | JP¥1.20t |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 0.9x |
| Enterprise Value/EBITDA | 9x |
| PEG Ratio | 1.3x |
Price to Earnings Ratio vs Peers
How does 3402's PE Ratio compare to its peers?
| 3402 PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 6.9x | ||
3407 Asahi Kasei | 8.9x | 6.3% | JP¥1.4t |
4183 Mitsui Chemicals | 5.1x | 2.2% | JP¥558.5b |
4042 Tosoh | 5x | -1.4% | JP¥536.2b |
3405 Kuraray | 8.3x | 0.8% | JP¥370.5b |
3402 Toray Industries | 14.5x | 11.3% | JP¥1.2t |
Price-To-Earnings vs Peers: 3402 is expensive based on its Price-To-Earnings Ratio (14.5x) compared to the peer average (6.8x).
Price to Earnings Ratio vs Industry
How does 3402's PE Ratio compare vs other companies in the JP Chemicals Industry?
Price-To-Earnings vs Industry: 3402 is expensive based on its Price-To-Earnings Ratio (14.5x) compared to the JP Chemicals industry average (9.4x)
Price to Earnings Ratio vs Fair Ratio
What is 3402'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 14.5x |
| Fair PE Ratio | 13.4x |
Price-To-Earnings vs Fair Ratio: 3402 is expensive based on its Price-To-Earnings Ratio (14.5x) compared to the estimated Fair Price-To-Earnings Ratio (13.4x).
Share Price vs Fair Value
What is the Fair Price of 3402 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: 3402 (¥761.2) is trading below our estimate of fair value (¥1061.29)
Significantly Below Fair Value: 3402 is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: 3402 is poor value based on its PEG Ratio (1.3x)
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Future Growth
How is Toray Industries forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
Future Growth Score
3/6Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
11.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 3402's forecast earnings growth (11.3% per year) is above the savings rate (0.04%).
Earnings vs Market: 3402's earnings (11.3% per year) are forecast to grow faster than the JP market (9% per year).
High Growth Earnings: 3402's earnings are forecast to grow, but not significantly.
Revenue vs Market: 3402's revenue (5.4% per year) is forecast to grow faster than the JP market (4.4% per year).
High Growth Revenue: 3402'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: 3402's Return on Equity is forecast to be low in 3 years time (8%).
Discover growth companies
Past Performance
How has Toray Industries performed over the past 5 years?
Past Performance Score
3/6Past Performance Score 3/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-9.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 3402 has a large one-off loss of ¥57.3B impacting its March 31 2022 financial results.
Growing Profit Margin: 3402's current net profit margins (3.8%) are higher than last year (2.4%).
Past Earnings Growth Analysis
Earnings Trend: 3402's earnings have declined by 9.9% per year over the past 5 years.
Accelerating Growth: 3402's earnings growth over the past year (83.9%) exceeds its 5-year average (-9.9% per year).
Earnings vs Industry: 3402 earnings growth over the past year (83.9%) exceeded the Chemicals industry 26.6%.
Return on Equity
High ROE: 3402's Return on Equity (6.2%) is considered low.
Discover strong past performing companies
Financial Health
How is Toray Industries's financial position?
Financial Health Score
4/6Financial Health Score 4/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: 3402's short term assets (¥1,373.2B) exceed its short term liabilities (¥738.1B).
Long Term Liabilities: 3402's short term assets (¥1,373.2B) exceed its long term liabilities (¥806.1B).
Debt to Equity History and Analysis
Debt Level: 3402's net debt to equity ratio (44.1%) is considered high.
Reducing Debt: 3402's debt to equity ratio has reduced from 64.7% to 59.9% over the past 5 years.
Debt Coverage: 3402's debt is not well covered by operating cash flow (15.4%).
Interest Coverage: 3402 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
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Dividend
What is Toray Industries's current dividend yield, its reliability and sustainability?
Dividend Score
3/6Dividend Score 3/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
2.36%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 3402's dividend (2.36%) is higher than the bottom 25% of dividend payers in the JP market (1.67%).
High Dividend: 3402's dividend (2.36%) is low compared to the top 25% of dividend payers in the JP market (3.67%).
Stability and Growth of Payments
Stable Dividend: 3402's dividend payments have been volatile in the past 10 years.
Growing Dividend: 3402's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its low payout ratio (18.7%), 3402's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonable cash payout ratio (62.5%), 3402's dividend payments are covered by cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
6.0yrs
Average management tenure
CEO
Akihiro Nikkaku (72 yo)
12.42yrs
Tenure
JP¥149,000,000
Compensation
Mr. Akihiro Nikkaku has been the President of Toray Industries, Inc. since June 2010 and serves as its Chief Executive Officer and Chief Operating Officer since 2020. Mr. Nikkaku served as an Executive Vic...
CEO Compensation Analysis
Compensation vs Market: Akihiro's total compensation ($USD1.09M) is about average for companies of similar size in the JP market ($USD1.10M).
Compensation vs Earnings: Akihiro's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: 3402's management team is seasoned and experienced (6 years average tenure).
Board Members
Experienced Board: 3402's board of directors are considered experienced (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.
Top Shareholders
Company Information
Toray Industries, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Toray Industries, Inc.
- Ticker: 3402
- Exchange: TSE
- Founded: 1926
- Industry: Commodity Chemicals
- Sector: Materials
- Implied Market Cap: JP¥1.204t
- Shares outstanding: 1.60b
- Website: https://www.toray.co.jp
Number of Employees
Location
- Toray Industries, Inc.
- Nihonbashi Mitsui Tower
- 1-1, Nihonbashi-Muromachi 2-chome
- Tokyo
- 103-8666
- Japan
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/06/30 00:00 |
| End of Day Share Price | 2022/06/30 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2022/03/31 |
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.