Executive Summary
KDDI Corporation provides telecommunications services in Japan and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with proven track record and pays a dividend.
Similar Companies
Share Price & News
How has KDDI's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 9433 is less volatile than 75% of JP stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 9433's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
0.9%
9433
2.9%
JP Wireless Telecom
-0.05%
JP Market
1 Year Return
-2.8%
9433
27.1%
JP Wireless Telecom
7.3%
JP Market
Return vs Industry: 9433 underperformed the JP Wireless Telecom industry which returned 27.1% over the past year.
Return vs Market: 9433 underperformed the JP Market which returned 7.3% over the past year.
Shareholder returns
| 9433 | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.9% | 2.9% | -0.05% |
| 30 Day | 6.9% | 2.4% | 3.3% |
| 90 Day | 18.6% | 19.3% | 12.5% |
| 1 Year | 1.1%-2.8% | 31.9%27.1% | 9.9%7.3% |
| 3 Year | 31.5%17.3% | 61.9%49.0% | 6.5%-0.9% |
| 5 Year | 35.1%14.2% | 120.5%91.8% | 53.2%36.0% |
Long-Term Price Volatility Vs. Market
How volatile is KDDI's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is KDDI undervalued compared to its fair value and its price relative to the market?
49.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 9433 (¥3232) is trading below our estimate of fair value (¥6424.16)
Significantly Below Fair Value: 9433 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 9433 is good value based on its PE Ratio (11.2x) compared to the JP Wireless Telecom industry average (17.4x).
PE vs Market: 9433 is good value based on its PE Ratio (11.2x) compared to the JP market (17.3x).
Price to Earnings Growth Ratio
PEG Ratio: 9433 is poor value based on its PEG Ratio (5.2x)
Price to Book Ratio
PB vs Industry: 9433 is good value based on its PB Ratio (1.6x) compared to the JP Wireless Telecom industry average (4x).
Next Steps
Future Growth
How is KDDI forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
2.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 9433's forecast earnings growth (2.1% per year) is above the savings rate (0%).
Earnings vs Market: 9433's earnings (2.1% per year) are forecast to grow slower than the JP market (17.6% per year).
High Growth Earnings: 9433's earnings are forecast to grow, but not significantly.
Revenue vs Market: 9433's revenue (1.9% per year) is forecast to grow slower than the JP market (5.5% per year).
High Growth Revenue: 9433's revenue (1.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 9433's Return on Equity is forecast to be low in 3 years time (13.4%).
Next Steps
Past Performance
How has KDDI performed over the past 5 years?
6.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 9433 has high quality earnings.
Growing Profit Margin: 9433's current net profit margins (12.8%) are higher than last year (12%).
Past Earnings Growth Analysis
Earnings Trend: 9433's earnings have grown by 6% per year over the past 5 years.
Accelerating Growth: 9433's earnings growth over the past year (7.3%) exceeds its 5-year average (6% per year).
Earnings vs Industry: 9433 earnings growth over the past year (7.3%) underperformed the Wireless Telecom industry 7.3%.
Return on Equity
High ROE: 9433's Return on Equity (14.2%) is considered low.
Next Steps
Financial Health
How is KDDI's financial position?
Financial Position Analysis
Short Term Liabilities: 9433's short term assets (¥3,075.4B) do not cover its short term liabilities (¥3,093.1B).
Long Term Liabilities: 9433's short term assets (¥3,075.4B) exceed its long term liabilities (¥1,703.2B).
Debt to Equity History and Analysis
Debt Level: 9433's debt to equity ratio (26.8%) is considered satisfactory.
Reducing Debt: 9433's debt to equity ratio has increased from 25.7% to 26.8% over the past 5 years.
Debt Coverage: 9433's debt is well covered by operating cash flow (109.2%).
Interest Coverage: 9433's interest payments on its debt are well covered by EBIT (291.7x coverage).
Balance Sheet
Next Steps
Dividend
What is KDDI current dividend yield, its reliability and sustainability?
3.71%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: 9433's dividend (3.71%) is higher than the bottom 25% of dividend payers in the JP market (1.22%).
High Dividend: 9433's dividend (3.71%) is in the top 25% of dividend payers in the JP market (2.97%)
Stability and Growth of Payments
Stable Dividend: 9433's dividend payments have been volatile in the past 10 years.
Growing Dividend: 9433's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (41.5%), 9433'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?
2.8yrs
Average management tenure
CEO
Makoto Takahashi (59 yo)
2.75yrs
Tenure
JP¥148,000,000
Compensation
Mr. Makoto Takahashi serves as Executive Director of Corporate & Marketing Communications at KDDI Corporation since April 2019. Mr. Takahashi has been the President at KDDI Corporation since April 01, 2018...
CEO Compensation Analysis
Compensation vs Market: Makoto's total compensation ($USD0.00) is below average for companies of similar size in the JP market ($USD2.01M).
Compensation vs Earnings: Insufficient data to compare Makoto's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.75yrs | JP¥148.00m | 0.0013% ¥ 98.6m | |
| GM of Gen. Admn. & HR Division | no data | no data | no data | |
| General Manager of Investor Relations Department | no data | no data | no data | |
| Managing Executive Officer | 1.58yrs | no data | 0.0017% ¥ 124.8m | |
| Managing Executive Officer | no data | no data | no data | |
| EVP, Executive Director of Personal Business & Global Consumer Business and Representative Director | 4.58yrs | no data | 0.00054% ¥ 40.3m | |
| Executive VP | 4.58yrs | no data | 0.00045% ¥ 33.6m | |
| Senior Managing Executive Officer | 3.58yrs | no data | 0.00059% ¥ 44.1m | |
| Managing Executive Officer | 2.58yrs | no data | 0.00056% ¥ 41.8m | |
| Deputy General Manager of Corporate Management Division and Administrative Officer | no data | no data | no data | |
| Managing Executive Officer | 3.75yrs | no data | no data | |
| Managing Executive Officer | 0.58yr | no data | 0.00041% ¥ 30.6m |
2.8yrs
Average Tenure
60yo
Average Age
Experienced Management: 9433's management team is considered experienced (2.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.75yrs | JP¥148.00m | 0.0013% ¥ 98.6m | |
| Managing Executive Officer | 1.58yrs | no data | 0.0017% ¥ 124.8m | |
| EVP, Executive Director of Personal Business & Global Consumer Business and Representative Director | 4.58yrs | no data | 0.00054% ¥ 40.3m | |
| Executive VP | 4.58yrs | no data | 0.00045% ¥ 33.6m | |
| Senior Managing Executive Officer | 3.58yrs | no data | 0.00059% ¥ 44.1m | |
| Managing Executive Officer | 2.58yrs | no data | 0.00056% ¥ 41.8m | |
| Managing Executive Officer | 0.58yr | no data | 0.00041% ¥ 30.6m | |
| Executive Officer | 0.58yr | no data | 0.000060% ¥ 4.5m | |
| Independent Outside Director | 3.58yrs | no data | 0.00032% ¥ 23.9m | |
| Outside & Independent Director | 2.58yrs | no data | 0.000090% ¥ 6.7m | |
| Chairman of the Board | 2.75yrs | JP¥124.00m | 0.0027% ¥ 204.7m | |
| Independent Outside Director | 1.58yrs | no data | 0.000010% ¥ 747.1k |
2.7yrs
Average Tenure
60yo
Average Age
Experienced Board: 9433's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.
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
KDDI Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: KDDI Corporation
- Ticker: 9433
- Exchange: TSE
- Founded: 1953
- Industry: Wireless Telecommunication Services
- Sector: Telecom
- Market Cap: JP¥7.471t
- Shares outstanding: 2.28b
- Website: https://www.kddi.com
Number of Employees
Location
- KDDI Corporation
- Garden Air Tower
- 3-10-10, Iidabashi
- Tokyo
- 102-8460
- Japan
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| DIP | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | May 1994 |
| 9433 | TSE (The Tokyo Stock Exchange) | Yes | Common Stock | JP | JPY | May 1994 |
| KDDI.F | OTCPK (Pink Sheets LLC) | Yes | Common Stock | US | USD | May 1994 |
| KDDI.Y | OTCPK (Pink Sheets LLC) | ADR | US | USD | Oct 2008 |
Biography
KDDI Corporation provides telecommunications services in Japan and internationally. It operates through four segments: Personal Services, Life Design Services, Business Services, and Global Services. The P...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/18 08:10 |
| End of Day Share Price | 2021/01/18 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2020/03/31 |
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.