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Market Cap

JP¥6.5b

Last Updated

2021/05/10 08:09 UTC

Data Sources

Company Financials

Executive Summary

Nakayo, Inc. manufactures and sells telecommunications equipment in Japan and internationally. More Details


Snowflake Analysis

Flawless balance sheet average dividend payer.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 6715 is less volatile than 75% of JP stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 6715's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

4.6%

6715

3.7%

JP Communications

1.6%

JP Market


1 Year Return

12.4%

6715

8.6%

JP Communications

31.3%

JP Market

Return vs Industry: 6715 exceeded the JP Communications industry which returned 8.6% over the past year.

Return vs Market: 6715 underperformed the JP Market which returned 31.3% over the past year.


Shareholder returns

6715IndustryMarket
7 Day4.6%3.7%1.6%
30 Day-0.6%-1.8%-1.4%
90 Day2.9%-0.5%0.1%
1 Year15.3%12.4%10.7%8.6%34.2%31.3%
3 Year-11.0%-19.6%-5.7%-10.1%15.0%7.1%
5 Year11.5%-5.0%31.4%21.1%61.1%43.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

42.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 6715 (¥1524) is trading below our estimate of fair value (¥2625.62)

Significantly Below Fair Value: 6715 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 6715 is poor value based on its PE Ratio (375x) compared to the JP Communications industry average (24.1x).

PE vs Market: 6715 is poor value based on its PE Ratio (375x) compared to the JP market (17.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 6715's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 6715 is good value based on its PB Ratio (0.4x) compared to the JP Communications industry average (0.7x).


Future Growth

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

26.4%

Forecasted Tech 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 Nakayo 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.


Past Performance

How has Nakayo performed over the past 5 years?

-13.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6715 has a large one-off loss of ¥40.0M impacting its December 31 2020 financial results.

Growing Profit Margin: 6715's current net profit margins (0.1%) are lower than last year (2.9%).


Past Earnings Growth Analysis

Earnings Trend: 6715's earnings have declined by 13.3% per year over the past 5 years.

Accelerating Growth: 6715's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6715 had negative earnings growth (-96.6%) over the past year, making it difficult to compare to the Communications industry average (17.3%).


Return on Equity

High ROE: 6715's Return on Equity (0.1%) is considered low.


Financial Health

How is Nakayo's financial position?


Financial Position Analysis

Short Term Liabilities: 6715's short term assets (¥14.2B) exceed its short term liabilities (¥3.7B).

Long Term Liabilities: 6715's short term assets (¥14.2B) exceed its long term liabilities (¥1.0B).


Debt to Equity History and Analysis

Debt Level: 6715 is debt free.

Reducing Debt: 6715 had no debt 5 years ago.

Debt Coverage: 6715 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 6715 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

3.28%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6715's dividend (3.28%) is higher than the bottom 25% of dividend payers in the JP market (1.24%).

High Dividend: 6715's dividend (3.28%) is in the top 25% of dividend payers in the JP market (2.83%)


Stability and Growth of Payments

Stable Dividend: 6715's dividends per share have been stable in the past 10 years.

Growing Dividend: 6715's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (1230.4%), 6715's dividend payments are not 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?

10.9yrs

Average management tenure


CEO

Yoshiji Tanimoto (68 yo)

11.92yrs

Tenure

Mr. Yoshiji Tanimoto has been the President of Nakayo, Inc. since June 2009 and served as its Chief Executive Officer since 2009. Mr. Tanimoto served as Senior Executive Director and Manager of Sales Dept....


Leadership Team

Experienced Management: 6715's management team is seasoned and experienced (10.9 years average tenure).


Board Members

Experienced Board: 6715's board of directors are seasoned and experienced ( 10.9 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

Nakayo, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nakayo, Inc.
  • Ticker: 6715
  • Exchange: TSE
  • Founded: 1944
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: JP¥6.457b
  • Shares outstanding: 4.43m
  • Website: https://www.nyc.co.jp

Number of Employees


Location

  • Nakayo, Inc.
  • 1-3-2, Soja-machi
  • Maebashi
  • Gunma
  • 371-0853
  • Japan

Listings


Biography

Nakayo, Inc. manufactures and sells telecommunications equipment in Japan and internationally. The company offers key telephone systems, telephone sets, telephone parts, switching equipment, and data equip...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/10 08:09
End of Day Share Price2021/05/10 00:00
Earnings2020/12/31
Annual Earnings2020/03/31


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.