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3407

Asahi Kasei TSE:3407 Stock Report

Last Price

JP¥1.04k

Market Cap

JP¥1.4t

7D

-1.8%

1Y

-15.5%

Updated

17 May, 2022

Data

Company Financials +
3407 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance4/6
Financial Health5/6
Dividends4/6

3407 Stock Overview

Asahi Kasei Corporation manufactures, processes, and sells chemical products in Japan and internationally.

Asahi Kasei Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Asahi Kasei
Historical stock prices
Current Share PriceJP¥1,043.00
52 Week HighJP¥1,295.00
52 Week LowJP¥946.60
Beta0.96
1 Month Change-2.34%
3 Month Change-8.71%
1 Year Change-15.51%
3 Year Change-10.86%
5 Year Change-1.74%
Change since IPO43.86%

Recent News & Updates

Shareholder Returns

3407JP ChemicalsJP Market
7D-1.8%-1.4%-0.02%
1Y-15.5%-10.9%-3.6%

Return vs Industry: 3407 underperformed the JP Chemicals industry which returned -10.9% over the past year.

Return vs Market: 3407 underperformed the JP Market which returned -3.6% over the past year.

Price Volatility

Is 3407's price volatile compared to industry and market?
3407 volatility
3407 Average Weekly Movement4.8%
Chemicals Industry Average Movement4.6%
Market Average Movement4.6%
10% most volatile stocks in JP Market9.1%
10% least volatile stocks in JP Market2.5%

Stable Share Price: 3407 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 3407's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192244,497Koshiro Kudohttps://www.asahi-kasei.com

Asahi Kasei Corporation manufactures, processes, and sells chemical products in Japan and internationally. The company operates through three segments: Material, Homes, and Health Care. It provides caustic soda, chemical fertilizers, nitric acid, ammonia, acrylonitrile, methyl methacrylate, styrene, adipic acid, hexamethylene diamine, AH salt, propionitrile, sodium cyanide, acetonitrile, methacrylonitrile, cyclohexyl methacrylate, cyclohexanol, cyclohexane, and cyclohexene; polymers; chemical intermediates; additives; membranes and systems; clads and anchors; optical and printing materials; electronic materials; and lithium-ion battery and lead-acid battery separators.

Asahi Kasei Fundamentals Summary

How do Asahi Kasei's earnings and revenue compare to its market cap?
3407 fundamental statistics
Market CapJP¥1.43t
Earnings (TTM)JP¥161.88b
Revenue (TTM)JP¥2.46t

8.9x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
3407 income statement (TTM)
RevenueJP¥2.46t
Cost of RevenueJP¥1.69t
Gross ProfitJP¥769.77b
Other ExpensesJP¥607.89b
EarningsJP¥161.88b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)116.69
Gross Margin31.27%
Net Profit Margin6.58%
Debt/Equity Ratio44.6%

How did 3407 perform over the long term?

See historical performance and comparison

Dividends

3.3%

Current Dividend Yield

29%

Payout Ratio

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: 3407 (¥1043) is trading below our estimate of fair value (¥2483.48)

Significantly Below Fair Value: 3407 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 3407 is good value based on its PE Ratio (8.9x) compared to the JP Chemicals industry average (9.6x).

PE vs Market: 3407 is good value based on its PE Ratio (8.9x) compared to the JP market (12.1x).


Price to Earnings Growth Ratio

PEG Ratio: 3407 is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: 3407 is overvalued based on its PB Ratio (0.9x) compared to the JP Chemicals industry average (0.7x).


Future Growth

How is Asahi Kasei forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


6.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 3407's forecast earnings growth (6.7% per year) is above the savings rate (0.02%).

Earnings vs Market: 3407's earnings (6.7% per year) are forecast to grow slower than the JP market (8.7% per year).

High Growth Earnings: 3407's earnings are forecast to grow, but not significantly.

Revenue vs Market: 3407's revenue (3.6% per year) is forecast to grow slower than the JP market (4.1% per year).

High Growth Revenue: 3407's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 3407's Return on Equity is forecast to be low in 3 years time (10.1%).


Past Performance

How has Asahi Kasei performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-5.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 3407 has high quality earnings.

Growing Profit Margin: 3407's current net profit margins (6.6%) are higher than last year (3.8%).


Past Earnings Growth Analysis

Earnings Trend: 3407's earnings have declined by 5.9% per year over the past 5 years.

Accelerating Growth: 3407's earnings growth over the past year (102.9%) exceeds its 5-year average (-5.9% per year).

Earnings vs Industry: 3407 earnings growth over the past year (102.9%) exceeded the Chemicals industry 39%.


Return on Equity

High ROE: 3407's Return on Equity (9.5%) is considered low.


Financial Health

How is Asahi Kasei's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 3407's short term assets (¥1,334.2B) exceed its short term liabilities (¥923.9B).

Long Term Liabilities: 3407's short term assets (¥1,334.2B) exceed its long term liabilities (¥706.4B).


Debt to Equity History and Analysis

Debt Level: 3407's net debt to equity ratio (30.3%) is considered satisfactory.

Reducing Debt: 3407's debt to equity ratio has increased from 34.4% to 44.6% over the past 5 years.

Debt Coverage: 3407's debt is well covered by operating cash flow (24.9%).

Interest Coverage: 3407 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Asahi Kasei current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.26%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 3407's dividend (3.26%) is higher than the bottom 25% of dividend payers in the JP market (1.62%).

High Dividend: 3407's dividend (3.26%) is low compared to the top 25% of dividend payers in the JP market (3.65%).


Stability and Growth of Payments

Stable Dividend: 3407's dividends per share have been stable in the past 10 years.

Growing Dividend: 3407's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (29.1%), 3407's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (188.6%), 3407's dividend payments are not well covered by cash flows.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Koshiro Kudo (62 yo)

0.083

Tenure

Mr. Koshiro Kudo serves as Director at Asahi Kasei Corporation since 2021, he also serves as Chief Financial Officer and has been its Representative Director, President and Presidential Executive Officer s...


Leadership Team

Experienced Management: 3407's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: 3407's board of directors are considered experienced (3.4 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

Asahi Kasei Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Asahi Kasei Corporation
  • Ticker: 3407
  • Exchange: TSE
  • Founded: 1922
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Implied Market Cap: JP¥1.426t
  • Shares outstanding: 1.39b
  • Website: https://www.asahi-kasei.com

Number of Employees


Location

  • Asahi Kasei Corporation
  • Hibiya Mitsui Tower
  • 1-1-2 Yurakucho
  • Tokyo
  • 100-0006
  • Japan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/17 00:00
End of Day Share Price2022/05/17 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.