TSE:6971

Stock Analysis Report

Executive Summary

Kyocera Corporation develops, produces, and distributes ceramic and electronic components, and telecommunications and information equipment worldwide.


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 6971's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.4%

6971

-3.3%

JP Electronic

-4.6%

JP Market


1 Year Return

-12.5%

6971

-10.7%

JP Electronic

-15.7%

JP Market

Return vs Industry: 6971 underperformed the JP Electronic industry which returned -6.2% over the past year.

Return vs Market: 6971 exceeded the JP Market which returned -12.1% over the past year.


Shareholder returns

6971IndustryMarket
7 Day-5.4%-3.3%-4.6%
30 Day-11.3%-9.5%-11.2%
90 Day-20.9%-22.0%-21.0%
1 Year-10.4%-12.5%-9.2%-10.7%-13.5%-15.7%
3 Year4.7%-1.9%16.5%11.1%-2.3%-9.2%
5 Year-6.0%-15.3%17.5%8.0%-1.1%-11.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

12.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 6971 (¥6098) is trading below our estimate of fair value (¥6778.93)

Significantly Below Fair Value: 6971 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 6971 is poor value based on its PE Ratio (17.7x) compared to the Electronic industry average (12.8x).

PE vs Market: 6971 is poor value based on its PE Ratio (17.7x) compared to the JP market (12.3x).


Price to Earnings Growth Ratio

PEG Ratio: 6971 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 6971 is overvalued based on its PB Ratio (0.9x) compared to the JP Electronic industry average (0.7x).


Next Steps

Future Growth

How is Kyocera forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

12.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6971's forecast earnings growth (12.1% per year) is above the savings rate (-0.09%).

Earnings vs Market: 6971's earnings (12.1% per year) are forecast to grow faster than the JP market (9.2% per year).

High Growth Earnings: 6971's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6971's revenue (4.3% per year) is forecast to grow faster than the JP market (3.3% per year).

High Growth Revenue: 6971's revenue (4.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6971's Return on Equity is forecast to be low in 3 years time (7.6%).


Next Steps

Past Performance

How has Kyocera performed over the past 5 years?

-3.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6971 has high quality earnings.

Growing Profit Margin: 6971's current net profit margins (7.8%) are higher than last year (4.3%).


Past Earnings Growth Analysis

Earnings Trend: 6971's earnings have declined by -3.2% per year over the past 5 years.

Accelerating Growth: 6971's earnings growth over the past year (76.4%) exceeds its 5-year average (-3.2% per year).

Earnings vs Industry: 6971 earnings growth over the past year (76.4%) exceeded the Electronic industry -9.8%.


Return on Equity

High ROE: 6971's Return on Equity (5.1%) is considered low.


Next Steps

Financial Health

How is Kyocera's financial position?


Financial Position Analysis

Short Term Liabilities: 6971's short term assets (¥1,253.9B) exceed its short term liabilities (¥360.3B).

Long Term Liabilities: 6971's short term assets (¥1,253.9B) exceed its long term liabilities (¥354.8B).


Debt to Equity History and Analysis

Debt Level: 6971 is debt free.

Reducing Debt: 6971 has no debt compared to 5 years ago when its debt to equity ratio was 1.6%.

Debt Coverage: 6971 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 6971 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 6971 has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 6971's debt is covered by short term assets.


Next Steps

Dividend

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

2.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6971's dividend (2.62%) is higher than the bottom 25% of dividend payers in the JP market (1.69%).

High Dividend: 6971's dividend (2.62%) is low compared to the top 25% of dividend payers in the JP market (3.87%).


Stability and Growth of Payments

Stable Dividend: 6971's dividend payments have been volatile in the past 10 years.

Growing Dividend: 6971's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40.5%), 6971'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?

7.0yrs

Average management tenure


CEO

Hideo Tanimoto (59yo)

3.17s

Tenure

JP¥132,000,000

Compensation

Mr. Hideo Tanimoto has been the President of Kyocera Corporation since February 2017 and is its Executive Officer. Mr. Tanimoto served as the General Manager of Corporate Fine Ceramics Group at Kyocera Cor ...


CEO Compensation Analysis

Compensation vs Market: Hideo's total compensation ($USD0.00) is below average for companies of similar size in the JP market ($USD1.82M).

Compensation vs Earnings: Insufficient data to compare Hideo's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Hideo Tanimoto
President & Representative Director3.17yrsJP¥132.00m0.0018% ¥39.0m
Kazuo Inamori
Founder & Chairman Emeritusno datano data2.82% ¥60.4b
Junichi Jinno
Managing Exec. Officer2.25yrsno data0.00094% ¥20.2m
Koichi Kano
Managing Exec. Officer4.25yrsno data0.0011% ¥24.2m
Takashi Sato
Managing Exec. Officer2.83yrsno data0.0018% ¥39.0m
Shoichi Aoki
Managing Exec. Officer10.83yrsno data0.0031% ¥66.2m
Masaki Iida
Senior Executive Officer & GM of Corporate Purchasing Groupno datano datano data
Hiroshi Fure
Sr. Managing Exec. Officer6.83yrsno data0.0015% ¥33.2m
Yoji Date
Senior Managing Exec. Officer6.83yrsno data0.0026% ¥56.2m
Masahiro Inagaki
Senior Executive Officer and GM of Corporate R&D Group7yrsno datano data

7.0yrs

Average Tenure

59.5yo

Average Age

Experienced Management: 6971's management team is seasoned and experienced (7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Hideo Tanimoto
President & Representative Director3.17yrsJP¥132.00m0.0018% ¥39.0m
Kazuo Inamori
Founder & Chairman Emeritusno datano data2.82% ¥60.4b
Junichi Jinno
Managing Exec. Officer2.25yrsno data0.00094% ¥20.2m
Koichi Kano
Managing Exec. Officer4.25yrsno data0.0011% ¥24.2m
Takashi Sato
Managing Exec. Officer2.83yrsno data0.0018% ¥39.0m
Shoichi Aoki
Managing Exec. Officer10.83yrsno data0.0031% ¥66.2m
Hiroshi Fure
Sr. Managing Exec. Officer6.83yrsno data0.0015% ¥33.2m
Yoji Date
Senior Managing Exec. Officer6.83yrsno data0.0026% ¥56.2m
Keiji Itsukushima
Managing Exec. Officer2.83yrsno data0.0012% ¥25.9m
Goro Yamaguchi
Chairman of the Board3yrsJP¥121.00m0.0077% ¥166.1m

3.8yrs

Average Tenure

60.5yo

Average Age

Experienced Board: 6971's board of directors are considered experienced (3.8 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

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


Key Information

  • Name: Kyocera Corporation
  • Ticker: 6971
  • Exchange: TSE
  • Founded: 1959
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: JP¥2.144t
  • Shares outstanding: 362.43m
  • Website: https://global.kyocera.com

Number of Employees


Location

  • Kyocera Corporation
  • 6, Takeda Tobadono-cho
  • Fushimi-ku
  • Kyoto
  • 612-8501
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KYOC.YOTCPK (Pink Sheets LLC)ADR-EACH CNV TO 1 ORD NPVUSUSDFeb 1976
KYRADB (Deutsche Boerse AG)ADR-EACH CNV TO 1 ORD NPVDEEURFeb 1976
6971TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1980
KYOC.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1980
KYRDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1980

Biography

Kyocera Corporation develops, produces, and distributes ceramic and electronic components, and telecommunications and information equipment worldwide. Its Industrial & Automotive Components Group segment offers fine ceramic components, automotive components, liquid crystal displays, and industrial tools to the industrial machinery, automotive, general industrial, and construction markets. The company’s Semiconductor Components Group segment provides inorganic and organic ceramic packages, and multilayer printing wiring boards for electronic components and devices, such as crystal components, SAW devices, and CMOS/CCD sensors for communication infrastructures and automotive-related markets. Its Electronic Devices Group segment offers electronic components and devices comprising capacitors, crystal devices, connectors, power semiconductor devices, etc., as well as printing devices for the information and communications equipment, industrial equipment, and automotive markets. The company’s Communications Group segment provides smartphones, mobile phones, and communication modules for the Internet of Things market; and information systems, telecommunication, and engineering services. Its Document Solutions Group offers printers, multifunctional products, document solutions, and supplies; and enterprise contents management and business process outsourcing services. The company’s Life & Environment Group segment provides solar modules for commercial and residential uses; solar energy products, including storage batteries and energy management systems; medical devices, such as prosthetic joints and dental prosthetics; jewellery; and kitchen accessories, including ceramic knives. It offers its products through sales personnel, sales companies, and third-party distributors. The company was formerly known as Kyoto Ceramic Kabushiki Kaisha and changed its name to Kyocera Corporation in 1982. Kyocera Corporation was founded in 1959 and is headquartered in Kyoto, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/02 15:26
End of Day Share Price2020/04/02 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.