TSE:6976

Stock Analysis Report

Executive Summary

Taiyo Yuden Co., Ltd. develops, manufactures, and sells electronic components worldwide.


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 6976's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.1%

6976

-3.3%

JP Electronic

-4.6%

JP Market


1 Year Return

7.6%

6976

-10.7%

JP Electronic

-15.7%

JP Market

Return vs Industry: 6976 exceeded the JP Electronic industry which returned -10.7% over the past year.

Return vs Market: 6976 exceeded the JP Market which returned -15.7% over the past year.


Shareholder returns

6976IndustryMarket
7 Day-7.1%-3.3%-4.6%
30 Day-16.5%-9.5%-11.2%
90 Day-22.5%-22.0%-21.0%
1 Year8.6%7.6%-9.2%-10.7%-13.5%-15.7%
3 Year106.7%100.6%16.5%11.1%-2.3%-9.2%
5 Year51.2%42.5%17.5%8.0%-1.1%-11.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

9.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 6976 (¥2600) is trading below our estimate of fair value (¥2870.52)

Significantly Below Fair Value: 6976 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 6976 is poor value based on its PE Ratio (13.9x) compared to the Electronic industry average (12.4x).

PE vs Market: 6976 is poor value based on its PE Ratio (13.9x) compared to the JP market (11.9x).


Price to Earnings Growth Ratio

PEG Ratio: 6976 is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: 6976 is overvalued based on its PB Ratio (1.5x) compared to the JP Electronic industry average (0.7x).


Next Steps

Future Growth

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

11.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6976's forecast earnings growth (11% per year) is above the savings rate (-0.09%).

Earnings vs Market: 6976's earnings (11% per year) are forecast to grow faster than the JP market (9.1% per year).

High Growth Earnings: 6976's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6976's revenue (6.6% per year) is forecast to grow faster than the JP market (3.3% per year).

High Growth Revenue: 6976's revenue (6.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6976's Return on Equity is forecast to be low in 3 years time (11.3%).


Next Steps

Past Performance

How has Taiyo Yuden performed over the past 5 years?

18.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6976 has high quality earnings.

Growing Profit Margin: 6976's current net profit margins (8.4%) are lower than last year (8.9%).


Past Earnings Growth Analysis

Earnings Trend: 6976's earnings have grown by 18.9% per year over the past 5 years.

Accelerating Growth: 6976's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6976 had negative earnings growth (-0.4%) over the past year, making it difficult to compare to the Electronic industry average (-10.9%).


Return on Equity

High ROE: 6976's Return on Equity (10.9%) is considered low.


Next Steps

Financial Health

How is Taiyo Yuden's financial position?


Financial Position Analysis

Short Term Liabilities: 6976's short term assets (¥192.3B) exceed its short term liabilities (¥83.5B).

Long Term Liabilities: 6976's short term assets (¥192.3B) exceed its long term liabilities (¥48.2B).


Debt to Equity History and Analysis

Debt Level: 6976's debt to equity ratio (26.6%) is considered satisfactory.

Reducing Debt: 6976's debt to equity ratio has reduced from 42.3% to 26.6% over the past 5 years.

Debt Coverage: 6976's debt is well covered by operating cash flow (88%).

Interest Coverage: 6976 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 6976 has a high level of physical assets or inventory.

Debt Coverage by Assets: 6976's debt is covered by short term assets (assets are 3.3x debt).


Next Steps

Dividend

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

0.85%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6976's dividend (0.85%) isn’t notable compared to the bottom 25% of dividend payers in the JP market (1.73%).

High Dividend: 6976's dividend (0.85%) is low compared to the top 25% of dividend payers in the JP market (4%).


Stability and Growth of Payments

Stable Dividend: 6976 is not paying a notable dividend for the JP market, therefore no need to check if payments are stable.

Growing Dividend: 6976 is not paying a notable dividend for the JP market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 6976 is not paying a notable dividend for the JP market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 6976's dividend in 3 years as they are not forecast to pay a notable one for the JP market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.5yrs

Average management tenure


CEO

Shoichi Tosaka (64yo)

4.42s

Tenure

Mr. Shoichi Tosaka has been Chief Executive Officer and President at Taiyo Yuden Co., Ltd., since November 04, 2015. Mr. Tosaka joined Taiyo Yuden Co., Ltd. in 1979, and was mainly engaged in materials dev ...


Leadership Team

NamePositionTenureCompensationOwnership
Shoichi Tosaka
President4.42yrsno data0.011% ¥35.6m
Koshi Anai
General Manager of Accounting Departmentno datano datano data
Kazuya Umezawa
Director1.25yrsno data0.0018% ¥5.7m
Shinji Masuyama
Senior Executive Operating Officer & Director6.83yrsno data0.0037% ¥12.0m
Osamu Takahashi
Executive Operating Officer & Director8.83yrsno data0.0045% ¥14.8m
Mitsuo Takagi
Senior Operating Officer1.25yrsno datano data
Katsuya Sase
Senior Executive Operating Officer & Director3.83yrsno data0.0035% ¥11.5m
Tomomitsu Fukuda
Senior Operating Officer1.25yrsno datano data
Susumu Higuchi
Senior Operating Officer1.25yrsno datano data

2.5yrs

Average Tenure

62yo

Average Age

Experienced Management: 6976's management team is considered experienced (2.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Shoichi Tosaka
President4.42yrsno data0.011% ¥35.6m
Kazuya Umezawa
Director1.25yrsno data0.0018% ¥5.7m
Shinji Masuyama
Senior Executive Operating Officer & Director6.83yrsno data0.0037% ¥12.0m
Osamu Takahashi
Executive Operating Officer & Director8.83yrsno data0.0045% ¥14.8m
Katsuya Sase
Senior Executive Operating Officer & Director3.83yrsno data0.0035% ¥11.5m
Katsushige Nakano
Audit & Supervisory Board Member3.83yrsno data0.014% ¥47.1m
Toshio Mishuku
Audit & Supervisory Board Member1.25yrsno data0.023% ¥76.2m
Masashi Hiraiwa
Outside Independent Director3.83yrsno datano data
Seiichi Koike
Outside Independent Director1.83yrsno datano data
Emiko Hamada
Outside Director0.83yrno data0.00080% ¥2.6m

3.8yrs

Average Tenure

62.5yo

Average Age

Experienced Board: 6976'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 been diluted in the past year, with total shares outstanding growing by 3.5%.


Top Shareholders

Company Information

Taiyo Yuden Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Taiyo Yuden Co., Ltd.
  • Ticker: 6976
  • Exchange: TSE
  • Founded: 1950
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: JP¥326.309b
  • Shares outstanding: 125.50m
  • Website: https://www.ty-top.com

Number of Employees


Location

  • Taiyo Yuden Co., Ltd.
  • Kyobashi East Building
  • 2-7-19, Kyobashi
  • Tokyo
  • 104-0031
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6976TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
TYC1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
TYOY.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDNov 1992

Biography

Taiyo Yuden Co., Ltd. develops, manufactures, and sells electronic components worldwide. It offers multilayer ceramic capacitors for use in smartphones, automobiles, and other devices; ferrite and applied products, such as inductors used in electronic equipment power and high-frequency circuits; integrated modules and devices, including film bulk acoustic resonator/surface acoustic wave devices for mobile communications and power supply modules; and other electronic components, such as energy devices used as backup power equipment for smart meters and other similar products, as well as peak current assistance for LED flashes. The company also provides noise suppression parts, such as bead inductors, common-mode choke coils, multilayer EMI suppression filters, and ring varistors; chip antennas; balun transformers; wireless modules; and aluminum electrolytic capacitors. Taiyo Yuden Co., Ltd. was founded in 1950 and is headquartered in Tokyo, 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 16:33
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.