Major Estimate Revision • May 01
Consensus EPS estimates increase by 38% The consensus outlook for earnings per share (EPS) in fiscal year 2027 has improved. 2027 revenue forecast increased from JP¥77.0b to JP¥78.0b. EPS estimate increased from JP¥95.58 to JP¥132 per share. Net income forecast to grow 24% next year vs 13% growth forecast for Electronic industry in Japan. Consensus price target of JP¥1,540 unchanged from last update. Share price fell 8.9% to JP¥1,832 over the past week. Reported Earnings • Apr 25
Full year 2026 earnings: EPS exceeds analyst expectations Full year 2026 results: EPS: JP¥106 (up from JP¥7.01 in FY 2025). Revenue: JP¥72.3b (up 13% from FY 2025). Net income: JP¥3.95b (up JP¥3.69b from FY 2025). Profit margin: 5.5% (up from 0.4% in FY 2025). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 18%. Revenue is forecast to grow 5.7% p.a. on average during the next 2 years, compared to a 7.6% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 48% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Announcement • Apr 24
KOA Corporation, Annual General Meeting, Jun 20, 2026 KOA Corporation, Annual General Meeting, Jun 20, 2026. Announcement • Apr 21
KOA Corporation to Report Fiscal Year 2026 Results on Apr 24, 2026 KOA Corporation announced that they will report fiscal year 2026 results on Apr 24, 2026 Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to JP¥2,028, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 17x in the Electronic industry in Japan. Total returns to shareholders of 26% over the past three years. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥15.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 23 June 2026. Payout ratio is a comfortable 38% but the company is not cash flow positive. Trailing yield: 2.0%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Major Estimate Revision • Mar 18
Consensus EPS estimates increase by 22% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has improved. 2026 revenue forecast increased from JP¥71.1b to JP¥71.9b. EPS estimate increased from JP¥74.10 to JP¥90.21 per share. Net income forecast to grow 19% next year vs 13% growth forecast for Electronic industry in Japan. Consensus price target up from JP¥1,220 to JP¥1,540. Share price was steady at JP¥1,746 over the past week. New Risk • Feb 24
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 6.9% 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. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Feb 24
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to JP¥1,984, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 17x in the Electronic industry in Japan. Total returns to shareholders of 18% over the past three years. Major Estimate Revision • Feb 04
Consensus EPS estimates increase by 63% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has improved. 2026 revenue forecast increased from JP¥70.1b to JP¥72.0b. EPS estimate increased from JP¥57.95 to JP¥94.20 per share. Net income forecast to grow 9.6% next year vs 11% growth forecast for Electronic industry in Japan. Consensus price target of JP¥1,220 unchanged from last update. Share price rose 8.7% to JP¥1,574 over the past week. Announcement • Jan 30
Koa Corporation Revises Consolidated Earnings Guidance for the Fiscal Year Ending March 31, 2026 KOA Corporation revised consolidated earnings guidance for the fiscal year ending March 31, 2026. For the period, the company now expects net sales of JPY 71,400 million, operating profit of JPY 3,710 million, profit attributable to owners of parent of JPY 3,410 million and earnings per share of JPY 91.84 compared to previous guidance of net sales of JPY 69,400 million, operating profit of JPY 2,980 million, profit attributable to owners of parent of JPY 2,150 million and earnings per share of JPY 57.91. Reasons for the revision: For the consolidated financial forecast for the fiscal year ending March 31, 2026, sales have increased and profitability has improved overall, supported by performance exceeding the previously announced forecasts in Japan, China, and other Asian regions, as well as the impact of a weaker yen. As a result, operating profit, ordinary profit, and profit attributable to owners of parent are expected to exceed the previously announced forecasts. Reported Earnings • Jan 29
Third quarter 2026 earnings released: EPS: JP¥54.07 (vs JP¥28.07 in 3Q 2025) Third quarter 2026 results: EPS: JP¥54.07 (up from JP¥28.07 in 3Q 2025). Revenue: JP¥18.5b (up 16% from 3Q 2025). Net income: JP¥2.01b (up 93% from 3Q 2025). Profit margin: 11% (up from 6.6% in 3Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.5% 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, the company's share price growth rate has exceeded its earnings growth rate by 60 percentage points per year, which is a significant difference in performance. Price Target Changed • Dec 02
Price target increased by 18% to JP¥1,220 Up from JP¥1,035, the current price target is provided by 1 analyst. New target price is 8.9% below last closing price of JP¥1,339. Stock is up 36% over the past year. The company is forecast to post earnings per share of JP¥57.95 for next year compared to JP¥7.01 last year. Declared Dividend • Dec 02
First half dividend of JP¥15.00 announced Shareholders will receive a dividend of JP¥15.00. Ex-date: 30th March 2026 Payment date: 23rd June 2026 Dividend yield will be 2.2%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by earnings (56% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 2.3% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 83% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Major Estimate Revision • Nov 04
Consensus EPS estimates increase by 34% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has improved. 2026 revenue forecast increased from JP¥68.5b to JP¥70.1b. EPS estimate increased from JP¥40.41 to JP¥53.99 per share. Net income forecast to grow 13% next year vs 12% growth forecast for Electronic industry in Japan. Consensus price target up from JP¥1,035 to JP¥1,060. Share price fell 7.5% to JP¥1,329 over the past week. Reported Earnings • Oct 24
Second quarter 2026 earnings released: EPS: JP¥19.79 (vs JP¥25.36 loss in 2Q 2025) Second quarter 2026 results: EPS: JP¥19.79 (up from JP¥25.36 loss in 2Q 2025). Revenue: JP¥17.8b (up 13% from 2Q 2025). Net income: JP¥735.0m (up JP¥1.68b from 2Q 2025). Profit margin: 4.1% (up from net loss in 2Q 2025). The move to profitability was driven by higher revenue. Revenue is forecast to grow 4.6% p.a. on average during the next 3 years, compared to a 6.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 63 percentage points per year, which is a significant difference in performance. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥15.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 02 December 2025. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Major Estimate Revision • Aug 16
Consensus EPS estimates increase by 36% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate increased from JP¥29.63 to JP¥40.41. Revenue forecast steady at JP¥68.5b. Net income forecast to grow 436% next year vs 17% growth forecast for Electronic industry in Japan. Consensus price target up from JP¥885 to JP¥1,035. Share price was steady at JP¥1,097 over the past week. Price Target Changed • Aug 14
Price target increased by 17% to JP¥1,035 Up from JP¥885, the current price target is an average from 2 analysts. New target price is 5.2% below last closing price of JP¥1,092. Stock is down 8.5% over the past year. The company posted earnings per share of JP¥7.01 last year. Reported Earnings • Jul 25
First quarter 2026 earnings released: EPS: JP¥11.29 (vs JP¥9.95 in 1Q 2025) First quarter 2026 results: EPS: JP¥11.29 (up from JP¥9.95 in 1Q 2025). Revenue: JP¥16.8b (up 3.9% from 1Q 2025). Net income: JP¥419.0m (up 14% from 1Q 2025). Profit margin: 2.5% (up from 2.3% in 1Q 2025). Revenue is forecast to grow 4.0% p.a. on average during the next 3 years, compared to a 6.1% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 49 percentage points per year, which is a significant difference in performance. Buy Or Sell Opportunity • Jul 24
Now 37% overvalued after recent price rise Over the last 90 days, the stock has risen 24% to JP¥1,018. The fair value is estimated to be JP¥742, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 3.8% over the last 3 years. Earnings per share has declined by 56%. For the next 3 years, revenue is forecast to grow by 4.0% per annum. Earnings are also forecast to grow by 58% per annum over the same time period. Declared Dividend • Jul 09
Final dividend of JP¥15.00 announced Shareholders will receive a dividend of JP¥15.00. Ex-date: 29th September 2025 Payment date: 2nd December 2025 Dividend yield will be 3.6%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is not covered by earnings (219% earnings payout ratio) and the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 2.3% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 144% to bring the payout ratio under control. EPS is expected to grow by 296% over the next 3 years, which is sufficient to bring the dividend into a sustainable range. Announcement • Jun 25
KOA Corporation Announces Change of Position of Shinsuke Chihara KOA CORPORATION has resolved the changes in Executive Officers at a meeting of the Board of Directors held on June 21, 2025. Shinsuke Chihara's position as of April 1, 2025 was Director & Senior Executive Officer and present position is Senior Executive Officer. Reported Earnings • Jun 25
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: JP¥7.01 (down from JP¥74.66 in FY 2024). Revenue: JP¥64.1b (down 1.1% from FY 2024). Net income: JP¥260.0m (down 91% from FY 2024). Profit margin: 0.4% (down from 4.3% in FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 26%. Revenue is forecast to grow 4.0% p.a. on average during the next 3 years, compared to a 6.0% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 56% per year but the company’s share price has only fallen by 21% per year, which means it has not declined as severely as earnings. Price Target Changed • Apr 30
Price target decreased by 11% to JP¥925 Down from JP¥1,035, the current price target is an average from 2 analysts. New target price is 13% above last closing price of JP¥821. Stock is down 49% over the past year. The company is forecast to post earnings per share of JP¥43.11 for next year compared to JP¥7.01 last year. Reported Earnings • Apr 24
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: JP¥7.01 (down from JP¥74.66 in FY 2024). Revenue: JP¥64.1b (down 1.1% from FY 2024). Net income: JP¥260.0m (down 91% from FY 2024). Profit margin: 0.4% (down from 4.3% in FY 2024). The decrease in margin was primarily driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 26%. Revenue is forecast to grow 5.0% p.a. on average during the next 2 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 fallen by 56% per year but the company’s share price has only fallen by 19% per year, which means it has not declined as severely as earnings. Announcement • Apr 23
KOA Corporation, Annual General Meeting, Jun 21, 2025 KOA Corporation, Annual General Meeting, Jun 21, 2025. New Risk • Apr 07
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 5.6% 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: Major Risk Dividend is not well covered by earnings and cash flows. Payout ratio: 219% Paying a dividend despite having no free cash flows. Minor Risks Share price has been volatile over the past 3 months (5.6% average weekly change). Profit margins are more than 30% lower than last year (1.3% net profit margin). Valuation Update With 7 Day Price Move • Apr 04
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥819, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 11x in the Electronic industry in Japan. Total loss to shareholders of 32% over the past three years. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥15.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 24 June 2025. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.7%). Announcement • Mar 07
KOA Corporation to Report Fiscal Year 2025 Results on Apr 23, 2025 KOA Corporation announced that they will report fiscal year 2025 results on Apr 23, 2025 Major Estimate Revision • Feb 03
Consensus EPS estimates increase by 75% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate increased from JP¥5.40 to JP¥9.45. Revenue forecast unchanged at JP¥63.4b. Net income forecast to grow 53% next year vs 13% growth forecast for Electronic industry in Japan. Consensus price target down from JP¥1,085 to JP¥1,035. Share price fell 9.1% to JP¥932 over the past week. Reported Earnings • Jan 28
Third quarter 2025 earnings released: EPS: JP¥28.07 (vs JP¥23.48 in 3Q 2024) Third quarter 2025 results: EPS: JP¥28.07 (up from JP¥23.48 in 3Q 2024). Revenue: JP¥15.9b (up 1.0% from 3Q 2024). Net income: JP¥1.04b (up 20% from 3Q 2024). Profit margin: 6.6% (up from 5.6% in 3Q 2024). Revenue is forecast to grow 5.9% 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 fallen by 41% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Declared Dividend • Dec 03
First half dividend of JP¥15.00 announced Shareholders will receive a dividend of JP¥15.00. Ex-date: 28th March 2025 Payment date: 24th June 2025 Dividend yield will be 4.1%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is not covered by earnings (137% earnings payout ratio) and the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 2.3% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 53% to bring the payout ratio under control. EPS is expected to grow by 389% over the next 3 years, which is sufficient to bring the dividend into a sustainable range. Major Estimate Revision • Oct 31
Consensus EPS estimates fall by 93% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from JP¥68.1b to JP¥63.1b. EPS estimate also fell from JP¥74.15 per share to JP¥5.40 per share. Net income forecast to grow 101% next year vs 8.8% growth forecast for Electronic industry in Japan. Consensus price target down from JP¥1,465 to JP¥1,065. Share price was steady at JP¥1,024 over the past week. Price Target Changed • Oct 29
Price target decreased by 21% to JP¥1,215 Down from JP¥1,540, the current price target is an average from 2 analysts. New target price is 17% above last closing price of JP¥1,035. Stock is down 28% over the past year. The company is forecast to post earnings per share of JP¥67.40 for next year compared to JP¥74.66 last year. Reported Earnings • Oct 24
Second quarter 2025 earnings released: JP¥25.35 loss per share (vs JP¥12.51 profit in 2Q 2024) Second quarter 2025 results: JP¥25.35 loss per share (down from JP¥12.51 profit in 2Q 2024). Revenue: JP¥15.7b (down 5.3% from 2Q 2024). Net loss: JP¥941.0m (down 303% from profit in 2Q 2024). Revenue is forecast to grow 8.0% p.a. on average during the next 3 years, compared to a 7.1% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 27% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥25.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 02 December 2024. Payout ratio is on the higher end at 89% but the company is not cash flow positive. Trailing yield: 4.3%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.5%). New Risk • Aug 05
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 6.5% 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 Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.5% average weekly change). Profit margins are more than 30% lower than last year (3.2% net profit margin). Major Estimate Revision • Jul 30
Consensus EPS estimates fall by 18% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from JP¥98.38 to JP¥80.90 per share. Revenue forecast steady at JP¥68.9b. Net income forecast to grow 56% next year vs 12% growth forecast for Electronic industry in Japan. Consensus price target down from JP¥1,775 to JP¥1,625. Share price fell 13% to JP¥1,308 over the past week. Reported Earnings • Jul 26
First quarter 2025 earnings released: EPS: JP¥9.95 (vs JP¥28.54 in 1Q 2024) First quarter 2025 results: EPS: JP¥9.95 (down from JP¥28.54 in 1Q 2024). Revenue: JP¥16.2b (down 4.5% from 1Q 2024). Net income: JP¥369.0m (down 65% from 1Q 2024). Profit margin: 2.3% (down from 6.2% in 1Q 2024). Revenue is forecast to grow 8.6% 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 fallen by 9% per year and the company’s share price has also fallen by 9% per year. Valuation Update With 7 Day Price Move • Jul 24
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥1,321, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 13x in the Electronic industry in Japan. Total loss to shareholders of 18% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,173 per share. Announcement • Jul 23
KOA Corporation Provides Consolidated Earnings Guidance for the Fiscal Year Ending March 31, 2025 KOA Corporation provided consolidated earnings guidance for the fiscal year ending March 31, 2025. For the year, the company expects net sales of JPY 71,900 million, operating profit of JPY 3,900 million, profit attributable to owners of parent of JPY 3,200 million and earnings per share of JPY 86.27. Declared Dividend • Jul 11
Final dividend of JP¥25.00 announced Dividend of JP¥25.00 is the same as last year. Ex-date: 27th September 2024 Payment date: 2nd December 2024 Dividend yield will be 3.2%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by earnings (50% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 9.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 85% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jun 26
KOA Corporation Appoints Tadao Hanagata as CEO At the Board of Directors meeting held June 25, 2024, KOA Corporation resolved to introduce an Executive Officer System and implement personnel changes. The company appointed Tadao Hanagata as Representative Director, President & CEO from Representative Director and President. Implementation date of the Executive Officer System is June 24, 2024. Announcement • Jun 06
KOA Corporation to Report Q1, 2025 Results on Jul 23, 2024 KOA Corporation announced that they will report Q1, 2025 results on Jul 23, 2024 Announcement • Apr 24
KOA Corporation, Annual General Meeting, Jun 22, 2024 KOA Corporation, Annual General Meeting, Jun 22, 2024. Reported Earnings • Apr 24
Full year 2024 earnings: Revenues and EPS in line with analyst expectations Full year 2024 results: EPS: JP¥74.66 (down from JP¥199 in FY 2023). Revenue: JP¥64.8b (down 14% from FY 2023). Net income: JP¥2.77b (down 62% from FY 2023). Profit margin: 4.3% (down from 9.8% in FY 2023). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 7.9% p.a. on average during the next 2 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 7% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Announcement • Apr 19
KOA Corporation Revises Consolidated Earnings Guidance for the Financial Forecast for the Year Ended March 31, 2024 KOA Corporation revised consolidated earnings guidance for the financial forecast for the year ended March 31, 2024. For the year, the company revises net sales of JPY 64,835 million, operating profit of JPY 3,313 million, profit attributable to owners of parent of JPY 2,769 million and earnings per share of JPY 74.66 compared to previous guidance of net sales of JPY 65,100 million, operating profit of JPY 2,300 million, profit attributable to owners of parent of JPY 2,200 million and earnings per share of JPY 59.33. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥25.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 26 June 2024. Payout ratio is a comfortable 50% but the company is not cash flow positive. Trailing yield: 3.4%. Within top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.4%). Announcement • Mar 02
KOA Corporation to Report Q3, 2024 Results on Apr 23, 2024 KOA Corporation announced that they will report Q3, 2024 results on Apr 23, 2024 Declared Dividend • Jan 29
Dividend of JP¥25.00 announced Dividend of JP¥25.00 is the same as last year. Ex-date: 28th March 2024 Payment date: 26th June 2024 Dividend yield will be 3.2%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by earnings (25% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 9.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 46% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jan 27
Third quarter 2024 earnings released: EPS: JP¥23.48 (vs JP¥41.08 in 3Q 2023) Third quarter 2024 results: EPS: JP¥23.48 (down from JP¥41.08 in 3Q 2023). Revenue: JP¥15.7b (down 19% from 3Q 2023). Net income: JP¥871.0m (down 43% from 3Q 2023). Profit margin: 5.6% (down from 7.9% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 8.3% 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 24% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Major Estimate Revision • Jan 24
Consensus EPS estimates fall by 15% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from JP¥84.50 to JP¥71.47. Revenue forecast unchanged from JP¥66.0b at last update. Net income forecast to shrink 19% next year vs 9.2% growth forecast for Electronic industry in Japan . Consensus price target of JP¥2,000 unchanged from last update. Share price rose 3.5% to JP¥1,568 over the past week. Announcement • Dec 03
KOA Corporation to Report Q3, 2024 Results on Jan 26, 2024 KOA Corporation announced that they will report Q3, 2024 results on Jan 26, 2024 Price Target Changed • Oct 31
Price target decreased by 10% to JP¥2,300 Down from JP¥2,567, the current price target is an average from 3 analysts. New target price is 60% above last closing price of JP¥1,440. Stock is down 32% over the past year. The company is forecast to post earnings per share of JP¥90.35 for next year compared to JP¥199 last year. Announcement • Oct 29
KOA Corporation Revises Earnings Guidance for the Year Ending March 31, 2024 KOA Corporation revised earnings guidance for the year ending March 31, 2024. For the year ending March 31, 2024, the company expects net sales of JPY 65,100 million, operating profit of JPY 2,300 million and profit attributable to owners of parent of JPY 2,200 million or JPY 59.33 per share against net sales of JPY 71,900 million, operating profit of JPY 6,700 million and profit attributable to owners of parent of JPY 5,600 million or JPY 151.07 per share. Reported Earnings • Oct 26
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: JP¥12.51 (down from JP¥58.46 in 2Q 2023). Revenue: JP¥16.6b (down 14% from 2Q 2023). Net income: JP¥464.0m (down 79% from 2Q 2023). Profit margin: 2.8% (down from 11% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 1.8%. Earnings per share (EPS) also missed analyst estimates by 23%. Revenue is forecast to grow 9.0% p.a. on average during the next 3 years, compared to a 6.4% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Oct 25
Consensus EPS estimates fall by 33% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from JP¥72.4b to JP¥70.8b. EPS estimate also fell from JP¥153 per share to JP¥103 per share. Net income forecast to shrink 11% next year vs 5.3% growth forecast for Electronic industry in Japan . Consensus price target of JP¥2,533 unchanged from last update. Share price fell 15% to JP¥1,448 over the past week. Valuation Update With 7 Day Price Move • Oct 25
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥1,448, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 13x in the Electronic industry in Japan. Total returns to shareholders of 14% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,136 per share. Buying Opportunity • Oct 19
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 9.1%. The fair value is estimated to be JP¥2,136, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 56%. Revenue is forecast to grow by 11% in 2 years. Earnings is forecast to grow by 24% in the next 2 years. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥25.00 per share at 2.8% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 01 December 2023. Payout ratio is a comfortable 31% but the company is not cash flow positive. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (1.4%). Reported Earnings • Jul 26
First quarter 2024 earnings released: EPS: JP¥28.54 (vs JP¥63.37 in 1Q 2023) First quarter 2024 results: EPS: JP¥28.54 (down from JP¥63.37 in 1Q 2023). Revenue: JP¥17.0b (down 9.0% from 1Q 2023). Net income: JP¥1.06b (down 55% from 1Q 2023). Profit margin: 6.2% (down from 13% in 1Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 6.9% 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 56% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Announcement • Jun 28
KOA Corporation to Report Q2, 2024 Results on Oct 24, 2023 KOA Corporation announced that they will report Q2, 2024 results on Oct 24, 2023 Price Target Changed • Jun 07
Price target decreased by 11% to JP¥2,567 Down from JP¥2,900, the current price target is an average from 3 analysts. New target price is 52% above last closing price of JP¥1,686. Stock is down 7.1% over the past year. The company is forecast to post earnings per share of JP¥173 for next year compared to JP¥199 last year. Announcement • Jun 01
KOA Corporation to Report Q1, 2024 Results on Jul 25, 2023 KOA Corporation announced that they will report Q1, 2024 results on Jul 25, 2023 Reported Earnings • Apr 26
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: EPS: JP¥199 (up from JP¥129 in FY 2022). Revenue: JP¥75.1b (up 16% from FY 2022). Net income: JP¥7.37b (up 54% from FY 2022). Profit margin: 9.8% (up from 7.3% in FY 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.8%. Revenue is forecast to grow 3.4% p.a. on average during the next 2 years, compared to a 6.4% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 65% per year but the company’s share price has only increased by 23% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥25.00 per share at 2.8% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 20 June 2023. Payout ratio is a comfortable 24% but the company is not cash flow positive. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Price Target Changed • Feb 02
Price target decreased by 7.7% to JP¥3,000 Down from JP¥3,250, the current price target is an average from 2 analysts. New target price is 65% above last closing price of JP¥1,817. Stock is up 25% over the past year. The company is forecast to post earnings per share of JP¥214 for next year compared to JP¥129 last year. Buying Opportunity • Feb 01
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 15%. The fair value is estimated to be JP¥2,324, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 16% over the last 3 years. Earnings per share has grown by 67%. Revenue is forecast to grow by 16% in 2 years. Earnings is forecast to grow by 25% in the next 2 years. Reported Earnings • Jan 28
Third quarter 2023 earnings released: EPS: JP¥41.08 (vs JP¥31.32 in 3Q 2022) Third quarter 2023 results: EPS: JP¥41.08 (up from JP¥31.32 in 3Q 2022). Revenue: JP¥19.3b (up 20% from 3Q 2022). Net income: JP¥1.52b (up 32% from 3Q 2022). Profit margin: 7.9% (up from 7.2% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 9.2% 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 67% per year but the company’s share price has only increased by 18% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Jan 16
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be JP¥2,362, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has grown by 70%. Revenue is forecast to grow by 22% in 2 years. Earnings is forecast to grow by 40% in the next 2 years. Announcement • Nov 30
KOA Corporation to Report Q3, 2023 Results on Jan 27, 2023 KOA Corporation announced that they will report Q3, 2023 results on Jan 27, 2023 Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 7 non-independent directors. Independent Outside Director Koji Takahashi was the last independent director to join the board, commencing their role in 2022. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 27
Second quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2023 results: EPS: JP¥58.45 (up from JP¥32.15 in 2Q 2022). Revenue: JP¥19.3b (up 23% from 2Q 2022). Net income: JP¥2.17b (up 82% from 2Q 2022). Profit margin: 11% (up from 7.6% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.4%. Earnings per share (EPS) missed analyst estimates by 3.3%. Revenue is forecast to grow 9.8% 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 70% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth.