Riken Keiki Co., Ltd.

TSE:7734 Stock Report

Market Cap: JP¥173.0b

Riken Keiki Valuation

Is 7734 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 7734 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7734 (¥3715) is trading below our estimate of fair value (¥3776.13)

Significantly Below Fair Value: 7734 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7734?

Key metric: As 7734 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7734. This is calculated by dividing 7734's market cap by their current earnings.
What is 7734's PE Ratio?
PE Ratio23.3x
EarningsJP¥7.41b
Market CapJP¥173.04b

Price to Earnings Ratio vs Peers

How does 7734's PE Ratio compare to its peers?

The above table shows the PE ratio for 7734 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average21.7x
7732 Topcon
37.6x30.2%JP¥165.2b
6744 Nohmi Bosai
17.2x7.2%JP¥170.9b
7762 Citizen Watch
10.1x-0.4%JP¥220.0b
6754 Anritsu
21.9x13.4%JP¥155.7b
7734 Riken Keiki
23.3x18.0%JP¥173.0b

Price-To-Earnings vs Peers: 7734 is expensive based on its Price-To-Earnings Ratio (23.3x) compared to the peer average (21.7x).

Price to Earnings Ratio vs Industry

How does 7734's PE Ratio compare vs other companies in the JP Electronic Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
7734 23.3xIndustry Avg. 13.3xNo. of Companies22PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 7734 is expensive based on its Price-To-Earnings Ratio (23.3x) compared to the JP Electronic industry average (13.3x).

Price to Earnings Ratio vs Fair Ratio

What is 7734's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

7734 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio23.3x
Fair PE Ratio17.4x

Price-To-Earnings vs Fair Ratio: 7734 is expensive based on its Price-To-Earnings Ratio (23.3x) compared to the estimated Fair Price-To-Earnings Ratio (17.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 7734 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥3,715.00
JP¥4,050.00
+9.0%
13.6%JP¥4,600.00JP¥3,500.00n/a2
Nov ’25JP¥4,205.00
JP¥4,100.00
-2.5%
14.6%JP¥4,700.00JP¥3,500.00n/a2
Oct ’25JP¥3,830.00
JP¥4,100.00
+7.0%
14.6%JP¥4,700.00JP¥3,500.00n/a2
Sep ’25JP¥4,135.00
JP¥4,000.00
-3.3%
12.5%JP¥4,500.00JP¥3,500.00n/a2
Aug ’25JP¥4,200.00
JP¥4,000.00
-4.8%
12.5%JP¥4,500.00JP¥3,500.00n/a2
Jul ’25JP¥4,105.00
JP¥4,000.00
-2.6%
12.5%JP¥4,500.00JP¥3,500.00n/a2
Jun ’25JP¥3,965.00
JP¥4,000.00
+0.9%
12.5%JP¥4,500.00JP¥3,500.00n/a2
May ’25JP¥3,930.00
JP¥4,050.00
+3.1%
13.6%JP¥4,600.00JP¥3,500.00n/a2
Apr ’25JP¥3,760.00
JP¥4,050.00
+7.7%
13.6%JP¥4,600.00JP¥3,500.00n/a2
Mar ’25JP¥3,870.00
JP¥4,050.00
+4.7%
13.6%JP¥4,600.00JP¥3,500.00n/a2
Feb ’25JP¥3,810.00
JP¥3,625.00
-4.9%
3.4%JP¥3,750.00JP¥3,500.00n/a2
Jan ’25JP¥3,445.00
JP¥3,625.00
+5.2%
3.4%JP¥3,750.00JP¥3,500.00n/a2
Dec ’24JP¥3,265.00
JP¥3,625.00
+11.0%
3.4%JP¥3,750.00JP¥3,500.00n/a2
Nov ’24JP¥3,165.00
JP¥3,525.00
+11.4%
0.7%JP¥3,550.00JP¥3,500.00JP¥4,205.002

Analyst Forecast: Target price is less than 20% higher than the current share price.

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