Valuation Update With 7 Day Price Move • Apr 22
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to JP¥10,380, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 17x in the Electronic industry in Japan. Total returns to shareholders of 26% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥5,830 per share. Reported Earnings • Apr 17
First quarter 2026 earnings released: EPS: JP¥123 (vs JP¥86.54 in 1Q 2025) First quarter 2026 results: EPS: JP¥123 (up from JP¥86.54 in 1Q 2025). Revenue: JP¥11.4b (up 16% from 1Q 2025). Net income: JP¥1.65b (up 41% from 1Q 2025). Profit margin: 14% (up from 12% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 7.5% p.a. on average during the next 3 years, compared to a 7.4% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has increased by 4% per year. New Risk • Apr 16
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 7.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.5% average weekly change). Declared Dividend • Apr 11
Final dividend of JP¥100.00 announced Dividend of JP¥100.00 is the same as last year. Ex-date: 29th June 2026 Payment date: 12th August 2026 Dividend yield will be 2.5%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by both earnings (50% earnings payout ratio) and cash flows (81% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 50% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Feb 06
Hioki E.E. Corporation (TSE:6866) announces an Equity Buyback for 300,000 shares, representing 2.22% for ¥1,500 million. Hioki E.E. Corporation (TSE:6866) announces a share repurchase program. Under the program, the company will repurchase up to 300,000 shares, representing 2.22% of its issued share capital (excluding treasury stock), for ¥1,500 million. The purpose of the program is to enable further returns to shareholders and the execution of flexible capital policies that respond to changes in the business environment. The program will run until May 31, 2026. As of December 31, 2025, the company had 13,538,745 shares in issue (excluding treasury stock) and 485,620 shares in treasury. Announcement • Dec 09
Hioki E.E. Corporation to Report Fiscal Year 2025 Results on Jan 23, 2026 Hioki E.E. Corporation announced that they will report fiscal year 2025 results on Jan 23, 2026 Reported Earnings • Oct 16
Third quarter 2025 earnings released: EPS: JP¥93.36 (vs JP¥104 in 3Q 2024) Third quarter 2025 results: EPS: JP¥93.36 (down from JP¥104 in 3Q 2024). Revenue: JP¥9.68b (up 2.8% from 3Q 2024). Net income: JP¥1.26b (down 10% from 3Q 2024). Profit margin: 13% (down from 15% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 7.5% p.a. on average during the next 3 years, compared to a 6.3% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Sep 14
Hioki E.E. Corporation to Report Q3, 2025 Results on Oct 15, 2025 Hioki E.E. Corporation announced that they will report Q3, 2025 results on Oct 15, 2025 Declared Dividend • Aug 13
First half dividend of JP¥100.00 announced Dividend of JP¥100.00 is the same as last year. Ex-date: 29th December 2025 Payment date: 2nd March 2026 Dividend yield will be 3.3%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (46% earnings payout ratio) and cash flows (48% cash payout ratio). The dividend has increased by an average of 26% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 31% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jul 17
Second quarter 2025 earnings released Second quarter 2025 results: Net income: (down JP¥1.41b from profit in 2Q 2024). Announcement • Jul 08
Hioki E.E. Corporation Announces Executive Changes Hioki E.E. Corporation has resolved to implement the following personnel changes at the Board of Directors meeting scheduled for July 8, 2025.
Personnel Changes (Effective July 21, 2025): Name: Kenneth Soh, Previous position: Executive Officer, Director of Product & Marketing Division and Director of Marketing Communication Department to New Position: Executive Officer, Director of Product & Marketing Division. Name: Anna Yong as New position: Director of Marketing Communication Department. Personnel Changes (Effective August 1, 2025): Name: Pan Dongyun, Previous position: Executive Officer, Director of Asia-Pacific Market, Global Sales Division to New position: Executive Officer, Director of Asia-Pacific Market, Global Sales Division and President of HIOKI SINGAPORE PTE. LTD. Name: Seiichi Miyazawa, Previous position: President of HIOKI SINGAPORE PTE. LTD. to New position: Global Sales Division, Chief CRM Project Manager. Upcoming Dividend • Jun 20
Upcoming dividend of JP¥100.00 per share Eligible shareholders must have bought the stock before 27 June 2025. Payment date: 13 August 2025. Payout ratio is a comfortable 44% and this is well supported by cash flows. Trailing yield: 3.6%. Lower than top quartile of Japanese dividend payers (4.0%). Higher than average of industry peers (1.9%). Announcement • Jun 07
Hioki E.E. Corporation to Report Q2, 2025 Results on Jul 15, 2025 Hioki E.E. Corporation announced that they will report Q2, 2025 results on Jul 15, 2025 Reported Earnings • Apr 16
First quarter 2025 earnings released: EPS: JP¥86.54 (vs JP¥88.31 in 1Q 2024) First quarter 2025 results: EPS: JP¥86.54 (down from JP¥88.31 in 1Q 2024). Revenue: JP¥9.82b (up 7.7% from 1Q 2024). Net income: JP¥1.17b (down 2.9% from 1Q 2024). Profit margin: 12% (down from 13% in 1Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 8.8% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Declared Dividend • Apr 11
Final dividend of JP¥100.00 announced Shareholders will receive a dividend of JP¥100.00. Ex-date: 27th June 2025 Payment date: 13th August 2025 Dividend yield will be 3.3%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by both earnings (44% earnings payout ratio) and cash flows (51% cash payout ratio). The dividend has increased by an average of 17% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 27% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Buy Or Sell Opportunity • Apr 07
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 21% to JP¥5,760. The fair value is estimated to be JP¥7,598, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.3% over the last 3 years. Earnings per share has grown by 9.0%. For the next 3 years, revenue is forecast to grow by 8.7% per annum. Earnings are also forecast to grow by 10% per annum over the same time period. Announcement • Mar 11
Hioki E.E. Corporation to Report Q1, 2025 Results on Apr 15, 2025 Hioki E.E. Corporation announced that they will report Q1, 2025 results on Apr 15, 2025 Reported Earnings • Jan 27
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥455 (down from JP¥463 in FY 2023). Revenue: JP¥39.3b (flat on FY 2023). Net income: JP¥6.19b (down 2.2% from FY 2023). Profit margin: 16% (in line with FY 2023). Revenue exceeded analyst estimates by 3.0%. Earnings per share (EPS) also surpassed analyst estimates by 9.7%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 7.3% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 7% per year. Announcement • Jan 24
Hioki E.E. Corporation, Annual General Meeting, Feb 27, 2025 Hioki E.E. Corporation, Annual General Meeting, Feb 27, 2025. Upcoming Dividend • Dec 20
Upcoming dividend of JP¥100.00 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 28 February 2025. Payout ratio is a comfortable 69% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.6%). Reported Earnings • Oct 16
Third quarter 2024 earnings released: EPS: JP¥104 (vs JP¥101 in 3Q 2023) Third quarter 2024 results: EPS: JP¥104 (up from JP¥101 in 3Q 2023). Revenue: JP¥9.42b (up 2.0% from 3Q 2023). Net income: JP¥1.41b (up 2.0% from 3Q 2023). Profit margin: 15% (in line with 3Q 2023). Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 7.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Sep 06
Hioki E.E. Corporation to Report Q3, 2024 Results on Oct 15, 2024 Hioki E.E. Corporation announced that they will report Q3, 2024 results on Oct 15, 2024 Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to JP¥6,550, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 12x in the Electronic industry in Japan. Total loss to shareholders of 12% over the past three years. Reported Earnings • Jul 18
Second quarter 2024 earnings released: EPS: JP¥103 (vs JP¥133 in 2Q 2023) Second quarter 2024 results: EPS: JP¥103 (down from JP¥133 in 2Q 2023). Revenue: JP¥9.55b (down 7.3% from 2Q 2023). Net income: JP¥1.41b (down 22% from 2Q 2023). Profit margin: 15% (down from 18% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 9.4% p.a. on average during the next 3 years, compared to a 7.3% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jul 17
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to JP¥8,390, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 14x in the Electronic industry in Japan. Total returns to shareholders of 35% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥9,237 per share. Announcement • Jul 17
Hioki E.E. Corporation Provided Consolidated Earnings Guidance for the Full Year Ending December 31, 2024 Hioki E.E. Corporation provided consolidated earnings guidance for the full year ending December 31, 2024. For full year, the company expected net sales to be JPY 40,000 million, operating profit to be JPY 8,000 million, profit attributable to owners of parent to be JPY 6,360 million and earnings per share to be JPY 465.58. Announcement • Jul 10
Hioki E.E. Corporation (TSE:6866) announces an Equity Buyback for 200,000 shares, representing 1.46% for ¥1,000 million. Hioki E.E. Corporation (TSE:6866) announces a share repurchase program. Under the program, the company will repurchase up to 200,000 shares, representing 1.46% of its issued share capital (excluding treasury stock), for ¥1,000 million. The purpose of the program is to enable greater return of profits to shareholders and the implementation of flexible capital policies in response to changes in the business environment. The program will run until November 22, 2024. As of February 28, 2022, the company had 13,663,848 shares in issue (excluding treasury stock) and 360,517 shares in treasury. Upcoming Dividend • Jun 20
Upcoming dividend of JP¥100.00 per share Eligible shareholders must have bought the stock before 27 June 2024. Payment date: 14 August 2024. Payout ratio is a comfortable 42% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (1.4%). Announcement • Jun 15
Hioki E.E. Corporation to Report Q2, 2024 Results on Jul 16, 2024 Hioki E.E. Corporation announced that they will report Q2, 2024 results on Jul 16, 2024 Buy Or Sell Opportunity • May 13
Now 21% undervalued Over the last 90 days, the stock has risen 8.9% to JP¥7,190. The fair value is estimated to be JP¥9,067, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has grown by 23%. Revenue is forecast to grow by 17% in 2 years. Earnings are forecast to grow by 25% in the next 2 years. Valuation Update With 7 Day Price Move • May 02
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to JP¥7,120, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 14x in the Electronic industry in Japan. Total returns to shareholders of 39% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥9,051 per share. Reported Earnings • Apr 16
First quarter 2024 earnings released: EPS: JP¥88.31 (vs JP¥120 in 1Q 2023) First quarter 2024 results: EPS: JP¥88.31 (down from JP¥120 in 1Q 2023). Revenue: JP¥9.11b (down 9.1% from 1Q 2023). Net income: JP¥1.21b (down 26% from 1Q 2023). Profit margin: 13% (down from 16% in 1Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 7.6% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Declared Dividend • Apr 11
Final dividend of JP¥100.00 announced Shareholders will receive a dividend of JP¥100.00. Ex-date: 27th June 2024 Payment date: 14th August 2024 Dividend yield will be 2.7%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by both earnings (39% earnings payout ratio) and cash flows (50% cash payout ratio). The dividend has increased by an average of 26% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 29% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Mar 29
Hioki E.E. Corporation to Report Q1, 2024 Results on Apr 15, 2024 Hioki E.E. Corporation announced that they will report Q1, 2024 results on Apr 15, 2024 Board Change • Mar 21
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Outside Independent Director Osamu Mawatari was the last director to join the board, commencing their role in 2023. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Jan 26
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: JP¥463 (up from JP¥390 in FY 2022). Revenue: JP¥39.2b (up 14% from FY 2022). Net income: JP¥6.33b (up 19% from FY 2022). Profit margin: 16% (in line with FY 2022). Revenue exceeded analyst estimates by 2.1%. Earnings per share (EPS) also surpassed analyst estimates by 1.9%. Revenue is forecast to grow 6.5% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has only increased by 19% per year, which means it is significantly lagging earnings growth. Announcement • Jan 26
Hioki E.E. Corporation, Annual General Meeting, Feb 28, 2024 Hioki E.E. Corporation, Annual General Meeting, Feb 28, 2024. Upcoming Dividend • Dec 21
Upcoming dividend of JP¥90.00 per share at 2.9% yield Eligible shareholders must have bought the stock before 28 December 2023. Payment date: 28 February 2024. Payout ratio is a comfortable 18% but the company is paying out more than the cash it is generating. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (1.5%). Announcement • Dec 07
Hioki E.E. Corporation to Report Fiscal Year 2023 Results on Jan 25, 2024 Hioki E.E. Corporation announced that they will report fiscal year 2023 results on Jan 25, 2024 Reported Earnings • Oct 18
Third quarter 2023 earnings released: EPS: JP¥101 (vs JP¥109 in 3Q 2022) Third quarter 2023 results: EPS: JP¥101 (down from JP¥109 in 3Q 2022). Revenue: JP¥9.23b (up 2.5% from 3Q 2022). Net income: JP¥1.38b (down 7.1% from 3Q 2022). Profit margin: 15% (down from 17% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.8% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Announcement • Aug 31
Hioki E.E. Corporation to Report Q3, 2023 Results on Oct 16, 2023 Hioki E.E. Corporation announced that they will report Q3, 2023 results on Oct 16, 2023 Reported Earnings • Jul 20
Second quarter 2023 earnings released: EPS: JP¥133 (vs JP¥88.70 in 2Q 2022) Second quarter 2023 results: EPS: JP¥133 (up from JP¥88.70 in 2Q 2022). Revenue: JP¥10.3b (up 36% from 2Q 2022). Net income: JP¥1.81b (up 50% from 2Q 2022). Profit margin: 18% (up from 16% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.4% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 36% per year whereas the company’s share price has increased by 35% per year. Upcoming Dividend • Jun 22
Upcoming dividend of JP¥90.00 per share at 1.8% yield Eligible shareholders must have bought the stock before 29 June 2023. Payment date: 14 August 2023. Payout ratio is a comfortable 39% but the company is not cash flow positive. Trailing yield: 1.8%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (1.4%). Announcement • Jun 04
Hioki E.E. Corporation to Report Q2, 2023 Results on Jul 18, 2023 Hioki E.E. Corporation announced that they will report Q2, 2023 results on Jul 18, 2023 Reported Earnings • Apr 19
First quarter 2023 earnings released: EPS: JP¥120 (vs JP¥94.68 in 1Q 2022) First quarter 2023 results: EPS: JP¥120 (up from JP¥94.68 in 1Q 2022). Revenue: JP¥10.0b (up 21% from 1Q 2022). Net income: JP¥1.64b (up 27% from 1Q 2022). Profit margin: 16% (in line with 1Q 2022). Revenue is forecast to grow 7.7% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has increased by 46% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Mar 04
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: JP¥390 (up from JP¥331 in FY 2021). Revenue: JP¥34.4b (up 17% from FY 2021). Net income: JP¥5.33b (up 18% from FY 2021). Profit margin: 16% (in line with FY 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.9%. Revenue is forecast to grow 8.0% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 37% per year whereas the company’s share price has increased by 39% per year. Reported Earnings • Jan 26
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: JP¥390 (up from JP¥331 in FY 2021). Revenue: JP¥34.4b (up 17% from FY 2021). Net income: JP¥5.33b (up 18% from FY 2021). Profit margin: 16% (in line with FY 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.9%. Revenue is forecast to grow 6.6% p.a. on average during the next 2 years, compared to a 6.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has only increased by 23% per year, which means it is significantly lagging earnings growth. Announcement • Jan 26
Hioki E.E. Corporation, Annual General Meeting, Feb 27, 2023 Hioki E.E. Corporation, Annual General Meeting, Feb 27, 2023. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥80.00 per share Eligible shareholders must have bought the stock before 29 December 2022. Payment date: 28 February 2023. Payout ratio is a comfortable 4.0% and the cash payout ratio is 84%. Trailing yield: 2.6%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.8%). Announcement • Dec 06
Hioki E.E. Corporation to Report Fiscal Year 2022 Results on Jan 25, 2023 Hioki E.E. Corporation announced that they will report fiscal year 2022 results on Jan 25, 2023 Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent External Director Sumio Ohtsuji was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Price Target Changed • Oct 26
Price target decreased to JP¥8,100 Down from JP¥8,800, the current price target is provided by 1 analyst. New target price is 19% above last closing price of JP¥6,790. Stock is down 12% over the past year. The company is forecast to post earnings per share of JP¥398 for next year compared to JP¥331 last year. Reported Earnings • Oct 18
Third quarter 2022 earnings released: EPS: JP¥109 (vs JP¥70.42 in 3Q 2021) Third quarter 2022 results: EPS: JP¥109 (up from JP¥70.42 in 3Q 2021). Revenue: JP¥9.01b (up 31% from 3Q 2021). Net income: JP¥1.49b (up 55% from 3Q 2021). Profit margin: 17% (up from 14% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 8.4% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jul 17
Second quarter 2022 earnings released: EPS: JP¥88.70 (vs JP¥99.22 in 2Q 2021) Second quarter 2022 results: EPS: JP¥88.70 (down from JP¥99.22 in 2Q 2021). Revenue: JP¥7.60b (down 1.2% from 2Q 2021). Net income: JP¥1.21b (down 11% from 2Q 2021). Profit margin: 16% (down from 18% in 2Q 2021). Over the next year, revenue is forecast to grow 16%, compared to a 10% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Jun 22
Upcoming dividend of JP¥80.00 per share Eligible shareholders must have bought the stock before 29 June 2022. Payment date: 15 August 2022. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.6%). Major Estimate Revision • Apr 27
Consensus revenue estimates increase by 11% The consensus outlook for revenues in 2022 has improved. 2022 revenue forecast increased from JP¥31.4b to JP¥35.0b. EPS estimate increased from JP¥359 to JP¥414 per share. Net income forecast to grow 20% next year vs 7.8% growth forecast for Electronic industry in Japan. Consensus price target up from JP¥8,000 to JP¥8,800. Share price was steady at JP¥7,780 over the past week. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent External Director Sumio Ohtsuji was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Apr 19
Hioki E.E. Corporation Provides Consolidated Earnings guidance for the Six Months Ending June 30, 2022 and for the Full Year Ending December 31, 2022 Hioki E.E. Corporation provided consolidated earnings guidance for the six months ending June 30, 2022 and for the full year ending December 31, 2022. For six months, the company expected net sales to be JPY 17,000 million, operating profit to be JPY 3,570 million, profit attributable to owners of parent to be JPY 2,780 million and earnings per share to be JPY 203.71. For full year, the company expected net sales to be JPY 34,000 million, operating profit to be JPY 7,010 million, profit attributable to owners of parent to be JPY 5,410 million and earnings per share to be JPY 396.43. Reported Earnings • Apr 17
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2022 results: EPS: JP¥94.68 (up from JP¥79.04 in 1Q 2021). Revenue: JP¥8.29b (up 19% from 1Q 2021). Net income: JP¥1.29b (up 20% from 1Q 2021). Profit margin: 16% (in line with 1Q 2021). Revenue exceeded analyst estimates by 10%. Earnings per share (EPS) missed analyst estimates by 1.7%. Over the next year, revenue is forecast to grow 4.3%, compared to a 8.7% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 25% per year whereas the company’s share price has increased by 21% per year. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improved over the past week After last week's 16% share price gain to JP¥7,740, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 11x in the Electronic industry in Japan. Total returns to shareholders of 87% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥5,574 per share. Reported Earnings • Jan 26
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: JP¥331 (up from JP¥152 in FY 2020). Revenue: JP¥29.3b (up 35% from FY 2020). Net income: JP¥4.52b (up 118% from FY 2020). Profit margin: 15% (up from 9.6% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.7%. Over the next year, revenue is forecast to grow 7.4%, compared to a 9.8% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 17% per year and the company’s share price has also increased by 17% per year. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥90.00 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 26 February 2022. Payout ratio is a comfortable 36% and this is well supported by cash flows. Trailing yield: 1.5%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (1.1%). Valuation Update With 7 Day Price Move • Oct 22
Investor sentiment deteriorated over the past week After last week's 18% share price decline to JP¥7,710, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 13x in the Electronic industry in Japan. Total returns to shareholders of 112% over the past three years. Reported Earnings • Oct 16
Third quarter 2021 earnings released: EPS JP¥70.42 (vs JP¥15.10 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥6.90b (up 32% from 3Q 2020). Net income: JP¥961.0m (up 367% from 3Q 2020). Profit margin: 14% (up from 3.9% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 32% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Sep 06
Investor sentiment improved over the past week After last week's 17% share price gain to JP¥9,410, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 13x in the Electronic industry in Japan. Total returns to shareholders of 183% over the past three years. Valuation Update With 7 Day Price Move • Jul 29
Investor sentiment improved over the past week After last week's 15% share price gain to JP¥7,710, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 14x in the Electronic industry in Japan. Total returns to shareholders of 92% over the past three years. Reported Earnings • Jul 18
Second quarter 2021 earnings released: EPS JP¥99.22 (vs JP¥48.47 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: JP¥7.69b (up 59% from 2Q 2020). Net income: JP¥1.35b (up 105% from 2Q 2020). Profit margin: 18% (up from 14% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jul 13
Investor sentiment improved over the past week After last week's 16% share price gain to JP¥7,400, the stock trades at a forward P/E ratio of 37x. Average forward P/E is 15x in the Electronic industry in Japan. Total returns to shareholders of 68% over the past three years. Upcoming Dividend • Jun 22
Upcoming dividend of JP¥65.00 per share Eligible shareholders must have bought the stock before 29 June 2021. Payment date: 14 August 2021. Trailing yield: 1.2%. Lower than top quartile of Japanese dividend payers (3.0%). In line with average of industry peers (1.1%). Reported Earnings • Apr 17
First quarter 2021 earnings released: EPS JP¥79.04 (vs JP¥42.35 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: JP¥6.95b (up 19% from 1Q 2020). Net income: JP¥1.08b (up 87% from 1Q 2020). Profit margin: 16% (up from 9.9% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Feb 24
New 90-day low: JP¥3,660 The company is down 8.0% from its price of JP¥4,000 on 26 November 2020. The Japanese market is up 10.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Electronic industry, which is up 12% over the same period. Analyst Estimate Surprise Post Earnings • Jan 26
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 3.2%. Earnings per share (EPS) also surpassed analyst estimates by 9.1%. Over the next year, revenue is forecast to grow 6.2%, compared to a 6.6% growth forecast for the Electronic industry in Japan. Is New 90 Day High Low • Jan 12
New 90-day high: JP¥4,340 The company is up 16% from its price of JP¥3,745 on 14 October 2020. The Japanese market is up 12% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Electronic industry, which is up 21% over the same period.