TSE:4027

Stock Analysis Report

Executive Summary

Tayca Corporation manufactures and sells various industrial chemical products in Japan.


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 4027's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

14.2%

4027

15.1%

JP Chemicals

10.7%

JP Market


1 Year Return

-40.2%

4027

-10.7%

JP Chemicals

-10.7%

JP Market

Return vs Industry: 4027 underperformed the JP Chemicals industry which returned -7.3% over the past year.

Return vs Market: 4027 underperformed the JP Market which returned -8.2% over the past year.


Shareholder returns

4027IndustryMarket
7 Day14.2%15.1%10.7%
30 Day7.6%-6.9%-5.2%
90 Day-18.4%-18.0%-16.6%
1 Year-38.9%-40.2%-8.2%-10.7%-8.4%-10.7%
3 Year6.2%1.4%-5.9%-12.4%2.3%-4.8%
5 Year97.7%81.6%8.7%-2.8%6.4%-5.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

44.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 4027 (¥1580) is trading below our estimate of fair value (¥2843.72)

Significantly Below Fair Value: 4027 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 4027 is good value based on its PE Ratio (9.5x) compared to the Chemicals industry average (11.9x).

PE vs Market: 4027 is good value based on its PE Ratio (9.5x) compared to the JP market (12.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 4027's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 4027 is overvalued based on its PB Ratio (0.8x) compared to the JP Chemicals industry average (0.7x).


Next Steps

Future Growth

How is Tayca forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

10.0%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Tayca has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Tayca performed over the past 5 years?

7.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 4027 has high quality earnings.

Growing Profit Margin: 4027's current net profit margins (8.6%) are higher than last year (7.1%).


Past Earnings Growth Analysis

Earnings Trend: 4027's earnings have grown by 7.8% per year over the past 5 years.

Accelerating Growth: 4027's earnings growth over the past year (17.1%) exceeds its 5-year average (7.8% per year).

Earnings vs Industry: 4027 earnings growth over the past year (17.1%) exceeded the Chemicals industry -12%.


Return on Equity

High ROE: 4027's Return on Equity (8.2%) is considered low.


Next Steps

Financial Health

How is Tayca's financial position?


Financial Position Analysis

Short Term Liabilities: 4027's short term assets (¥34.3B) exceed its short term liabilities (¥9.7B).

Long Term Liabilities: 4027's short term assets (¥34.3B) exceed its long term liabilities (¥6.8B).


Debt to Equity History and Analysis

Debt Level: 4027's debt to equity ratio (6.3%) is considered satisfactory.

Reducing Debt: 4027's debt to equity ratio has reduced from 7.5% to 6.3% over the past 5 years.

Debt Coverage: 4027's debt is well covered by operating cash flow (216.5%).

Interest Coverage: 4027 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 4027 has a high level of physical assets or inventory.

Debt Coverage by Assets: 4027's debt is covered by short term assets (assets are 11.4x debt).


Next Steps

Dividend

What is Tayca's current dividend yield, its reliability and sustainability?

2.28%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 4027's dividend (2.28%) is higher than the bottom 25% of dividend payers in the JP market (1.66%).

High Dividend: 4027's dividend (2.28%) is low compared to the top 25% of dividend payers in the JP market (3.7%).


Stability and Growth of Payments

Stable Dividend: 4027's dividends per share have been stable in the past 10 years.

Growing Dividend: 4027's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20.5%), 4027'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?

7.3yrs

Average board tenure


CEO

Masao Nagita (69yo)

5.75s

Tenure

Masao Nagita had been the President at Tayca Corporation since June 2014 until 2019 and has been its President Executive Officer since 2019 and served as its Head of Management Section since October 2010 a ...


Board Members

NamePositionTenureCompensationOwnership
Masao Nagita
President Executive Officer & Representative Director5.75yrsno data0.11% ¥41.1m
Hirofumi Yamazaki
Senior Managing Executive Officer & Representative Director8.75yrsno data0.039% ¥14.2m
Takeshi Hemmi
Managing Executive Officer & Director9.42yrsno data0.035% ¥12.6m
Masahiko Nishino
Senior Executive Officer & Directorno datano data0.013% ¥4.7m
Shunji Idei
Senior Executive Officer & Directorno datano data0.0043% ¥1.6m
Hiroyuki Yamada
Outside Directorno datano datano data
Hitoshi Tanaka
External Director5.75yrsno datano data
Koji Yamamoto
Outside Directorno datano datano data
Akira Miyazaki
Directorno datano data0.017% ¥6.3m
Mamiko Ozaki
External Directorno datano datano data

7.3yrs

Average Tenure

64yo

Average Age

Experienced Board: 4027's board of directors are considered experienced (7.3 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

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


Key Information

  • Name: Tayca Corporation
  • Ticker: 4027
  • Exchange: TSE
  • Founded: 1919
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: JP¥36.619b
  • Shares outstanding: 23.18m
  • Website: https://www.tayca.co.jp

Number of Employees


Location

  • Tayca Corporation
  • 3-6-13 Kitahama
  • Chuo-ku
  • Osaka
  • 541-0041
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
4027TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992

Biography

Tayca Corporation manufactures and sells various industrial chemical products in Japan. It operates through Business Related to Titanium Dioxide, and Other Business. The company offers general purpose products, including titanium dioxide, surfactants, and sulfuric acid; and specialty products, such as micro titanium dioxide, micro zinc oxide, surface treatment products, photocatalytic titanium dioxide, aluminum triphosphate, and titanium dioxide for shielding from infrared rays. It also provides electronic industry materials and other products comprising conductive polymers and related products, and electro-ceramic products, as well as anti-corrosive pigments. The company was formerly known as Teikoku Kako Co., Ltd. and changed its name to Tayca Corporation in August 1989. Tayca Corporation was founded in 1919 and is headquartered in Osaka, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 15:13
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


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.