Sanken Electric Co., Ltd.

TSE:6707 Stock Report

Market Cap: JP¥140.6b

Sanken Electric Valuation

Is 6707 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 6707 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6707 (¥5736) is trading above our estimate of fair value (¥3984.47)

Significantly Below Fair Value: 6707 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6707?

Key metric: As 6707 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 6707. This is calculated by dividing 6707's market cap by their current revenue.
What is 6707's PS Ratio?
PS Ratio0.6x
SalesJP¥225.14b
Market CapJP¥140.61b

Price to Sales Ratio vs Peers

How does 6707's PS Ratio compare to its peers?

The above table shows the PS ratio for 6707 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.5x
6966 Mitsui High-tec
0.7x12.4%JP¥140.7b
3445 RS Technologies
1.6x10.8%JP¥92.0b
7826 Furuya Metal
1.7x12.2%JP¥86.8b
6875 MegaChips
2.1x14.8%JP¥98.3b
6707 Sanken Electric
0.6x-17.1%JP¥140.6b

Price-To-Sales vs Peers: 6707 is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does 6707's PS Ratio compare vs other companies in the JP Semiconductor Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
3856 Abalance
0.07xn/aUS$95.48m
3374 Naigai Tec
0.2xn/aUS$49.47m
No more companies available in this PS range
6707 0.6xIndustry Avg. 1.4xNo. of Companies8PS012345+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 6707 is good value based on its Price-To-Sales Ratio (0.6x) compared to the JP Semiconductor industry average (1.4x).

Price to Sales Ratio vs Fair Ratio

What is 6707's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6707 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.6x
Fair PS Ratio0.8x

Price-To-Sales vs Fair Ratio: 6707 is good value based on its Price-To-Sales Ratio (0.6x) compared to the estimated Fair Price-To-Sales Ratio (0.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 6707 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥5,730.00
JP¥8,825.00
+54.0%
34.9%JP¥14,000.00JP¥6,000.00n/a4
Nov ’25JP¥5,752.00
JP¥8,825.00
+53.4%
34.9%JP¥14,000.00JP¥6,000.00n/a4
Oct ’25JP¥6,903.00
JP¥9,075.00
+31.5%
31.7%JP¥14,000.00JP¥7,000.00n/a4
Sep ’25JP¥6,978.00
JP¥8,962.50
+28.4%
33.6%JP¥14,000.00JP¥6,350.00n/a4
Aug ’25JP¥7,159.00
JP¥8,962.50
+25.2%
33.6%JP¥14,000.00JP¥6,350.00n/a4
Jul ’25JP¥6,801.00
JP¥8,962.50
+31.8%
33.6%JP¥14,000.00JP¥6,350.00n/a4
Jun ’25JP¥5,825.00
JP¥10,775.00
+85.0%
23.6%JP¥14,000.00JP¥7,000.00n/a4
May ’25JP¥6,890.00
JP¥10,233.33
+48.5%
30.3%JP¥14,000.00JP¥6,400.00n/a3
Apr ’25JP¥6,711.00
JP¥10,233.33
+52.5%
30.3%JP¥14,000.00JP¥6,400.00n/a3
Mar ’25JP¥7,878.00
JP¥8,350.00
+6.0%
23.4%JP¥10,300.00JP¥6,400.00n/a2
Feb ’25JP¥6,748.00
JP¥8,450.00
+25.2%
24.3%JP¥10,500.00JP¥6,400.00n/a2
Dec ’24JP¥7,210.00
JP¥10,200.00
+41.5%
14.2%JP¥11,800.00JP¥8,300.00n/a3
Nov ’24JP¥7,393.00
JP¥12,633.33
+70.9%
12.8%JP¥14,900.00JP¥11,200.00JP¥5,752.003
Oct ’24JP¥9,070.00
JP¥13,366.67
+47.4%
9.5%JP¥14,900.00JP¥11,800.00JP¥6,903.003
Sep ’24JP¥11,150.00
JP¥13,366.67
+19.9%
9.5%JP¥14,900.00JP¥11,800.00JP¥6,978.003
Aug ’24JP¥14,730.00
JP¥13,900.00
-5.6%
14.0%JP¥16,500.00JP¥11,800.00JP¥7,159.003
Jul ’24JP¥13,430.00
JP¥12,600.00
-6.2%
6.3%JP¥13,400.00JP¥11,800.00JP¥6,801.002
Jun ’24JP¥11,300.00
JP¥12,550.00
+11.1%
6.0%JP¥13,300.00JP¥11,800.00JP¥5,825.002
May ’24JP¥10,200.00
JP¥8,975.00
-12.0%
48.2%JP¥13,300.00JP¥4,650.00JP¥6,890.002
Apr ’24JP¥10,560.00
JP¥8,975.00
-15.0%
48.2%JP¥13,300.00JP¥4,650.00JP¥6,711.002
Mar ’24JP¥9,660.00
JP¥5,725.00
-40.7%
18.8%JP¥6,800.00JP¥4,650.00JP¥7,878.002
Nov ’23JP¥5,100.00
JP¥4,975.00
-2.5%
6.5%JP¥5,300.00JP¥4,650.00JP¥7,393.002

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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