OTCPK:FELT.Y

Stock Analysis Report

Executive Summary

Fuji Electric Co., Ltd., together with its subsidiaries, operates in the power electronics systems, power and new energy, electronic devices, and food and beverage distribution businesses worldwide.

Rewards

Trading at 27.8% below its fair value

Earnings are forecast to grow 10.57% per year

Pays a reliable dividend of 2.38%

Risk Analysis

No risks detected for FELT.Y from our risk checks.


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FELT.Y has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.8%

FELT.Y

-0.1%

US Electrical

-1.1%

US Market


1 Year Return

-5.9%

FELT.Y

12.7%

US Electrical

17.9%

US Market

Return vs Industry: FELT.Y underperformed the US Electrical industry which returned 12.7% over the past year.

Return vs Market: FELT.Y underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

FELT.YIndustryMarket
7 Day-3.8%-0.1%-1.1%
30 Day-7.5%1.1%1.4%
90 Day-3.1%4.5%6.9%
1 Year-5.1%-5.9%15.0%12.7%20.3%17.9%
3 Year7.2%6.3%35.5%27.7%47.8%38.3%
5 Year38.7%37.6%50.6%35.6%71.9%53.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

27.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FELT.Y ($7.48) is trading below our estimate of fair value ($10.36)

Significantly Below Fair Value: FELT.Y is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FELT.Y is good value based on its PE Ratio (14x) compared to the Electrical industry average (21.1x).

PE vs Market: FELT.Y is good value based on its PE Ratio (14x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: FELT.Y is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: FELT.Y is good value based on its PB Ratio (1.3x) compared to the US Electrical industry average (1.8x).


Next Steps

Future Growth

How is Fuji Electric forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

10.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FELT.Y's forecast earnings growth (10.6% per year) is above the savings rate (1.7%).

Earnings vs Market: FELT.Y's earnings (10.6% per year) are forecast to grow slower than the US market (14.1% per year).

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

Revenue vs Market: FELT.Y's revenue (2% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: FELT.Y's revenue (2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FELT.Y's Return on Equity is forecast to be low in 3 years time (10.3%).


Next Steps

Past Performance

How has Fuji Electric performed over the past 5 years?

8.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FELT.Y has high quality earnings.

Growing Profit Margin: FELT.Y's current net profit margins (3.8%) are lower than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: FELT.Y's earnings have grown by 8% per year over the past 5 years.

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

Earnings vs Industry: FELT.Y had negative earnings growth (-16.1%) over the past year, making it difficult to compare to the Electrical industry average (0.6%).


Return on Equity

High ROE: FELT.Y's Return on Equity (9.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Fuji Electric's financial position?


Financial Position Analysis

Short Term Liabilities: FELT.Y's short term assets (¥579.0B) exceed its short term liabilities (¥428.5B).

Long Term Liabilities: FELT.Y's short term assets (¥579.0B) exceed its long term liabilities (¥151.3B).


Debt to Equity History and Analysis

Debt Level: FELT.Y's debt to equity ratio (30.5%) is considered satisfactory.

Reducing Debt: FELT.Y's debt to equity ratio has reduced from 68.6% to 30.5% over the past 5 years.

Debt Coverage: FELT.Y's debt is well covered by operating cash flow (31.2%).

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


Balance Sheet

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

Debt Coverage by Assets: FELT.Y's debt is covered by short term assets (assets are 4.7x debt).


Next Steps

Dividend

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

2.38%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FELT.Y's dividend (2.38%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: FELT.Y's dividend (2.38%) is low compared to the top 25% of dividend payers in the US market (3.73%).


Stability and Growth of Payments

Stable Dividend: FELT.Y's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (33.4%), FELT.Y'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?

1.1yrs

Average management tenure


CEO

Michihiro Kitazawa 0

Mr. Michihiro Kitazawa serves as the President and Chairman of Fuji Electric Co., Ltd. and served as its Executive Vice President. Mr. Kitazawa serves as Representative Director of Fuji Electric Co., Ltd. 


Leadership Team

NamePositionTenureCompensationOwnership
Michihiro Kitazawa
President & Chairman of the Board 0yrsno data0.029% ¥1.3m
Susumu Shinmura
Executive Officer & Corporate GM of Sales Group1.1yrsno datano data
Takeshi Kadoshima
Executive Officer and GM of HR & General Affairs Office0yrsno datano data
Michio Abe
Senior Managing Executive Officer & Director0yrsno data0.015% ¥630.7k
Kenzo Sugai
Executive VP0yrsno data0.013% ¥540.6k
Masatsugu Tomotaka
Senior Managing Executive Officer & Director3.7yrsno data0.0063% ¥270.3k
Kenji Goto
Executive Officer & Deputy Corporate GM of Power Electronics Systems Energy Business Group1.1yrsno datano data
Masahiro Morimoto
Executive Officer & Corporate GM of Power Electronics Systems Energy Business Group3.8yrsno datano data
Toru Housen
Managing Executive Officer & Corporate GM of Electronic Devices Business Group2.8yrsno datano data
Shiro Kondo
Executive Officer and Corporate General Manager of Corporate R&D Headquarters2.8yrsno datano data

1.1yrs

Average Tenure

Experienced Management: FELT.Y's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Michihiro Kitazawa
President & Chairman of the Board 0yrsno data0.029% ¥1.3m
Michio Abe
Senior Managing Executive Officer & Director0yrsno data0.015% ¥630.7k
Kenzo Sugai
Executive VP0yrsno data0.013% ¥540.6k
Masatsugu Tomotaka
Senior Managing Executive Officer & Director3.7yrsno data0.0063% ¥270.3k
Junichi Arai
Managing Exec. Officer3.7yrsno data0.0063% ¥270.3k
Yoshio Okuno
Standing Auditor3.7yrsno data0.013% ¥570.6k
Junichi Matsumoto
Standing Auditor2.6yrsno data0.011% ¥480.5k
Toshihito Tamba
Outside Director3.7yrsno datano data
Naoomi Tachikawa
Outside Director3.7yrsno data0.0028% ¥120.1k
Yoshitsugu Hayashi
Outside Director2.6yrsno datano data

3.7yrs

Average Tenure

Experienced Board: FELT.Y's board of directors are considered experienced (3.7 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

Fuji Electric Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fuji Electric Co., Ltd.
  • Ticker: FELT.Y
  • Exchange: OTCPK
  • Founded: 1923
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: JP¥479.240b
  • Listing Market Cap: JP¥4.291b
  • Shares outstanding: 142.84m
  • Website: https://www.fujielectric.co.jp

Number of Employees


Location

  • Fuji Electric Co., Ltd.
  • Gate City Ohsaki
  • East Tower
  • Tokyo
  • 141-0032
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FELT.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
6504TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
FJEDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
FELT.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDOct 2008

Biography

Fuji Electric Co., Ltd., together with its subsidiaries, operates in the power electronics systems, power and new energy, electronic devices, and food and beverage distribution businesses worldwide. It offers AC drives, motors, and servo systems; semiconductors, photoconductors, and storage devices; uninterruptible power systems, solar inverters, data centers, rectifiers, and formers; instrumentation products and sensors, and radiation monitoring systems; factory automation Systems; and LV and MV distributions, motor controls, and energy control equipment. The company also provides oil-immersed transformers, shunt reactors, cast resin transformers, gas insulated switchgears, MV and LV switchgears and control centers, vacuum circuit breakers, and pure water vaporization cooling silicon rectifiers; tunnel ventilation systems, marine environment protection systems, and electrical equipment for railcars; thermal, geothermal, nuclear, and fuel cell power generation equipment and plants; power system simulators; system solutions; and service solutions and after sales services, as well as upgrade services for equipment. In addition, it offers multipurpose vending machines, can vending machines, coin mechanisms, and bill validators. The company was formerly known as Fuji Electric Holdings Co., Ltd. and changed its name to Fuji Electric Co., Ltd. in 2011. Fuji Electric Co., Ltd. was founded in 1923 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 Analysis2020/02/23 01:24
End of Day Share Price2020/02/21 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.