OTCPK:IHIC.F

Stock Analysis Report

Executive Summary

IHI Corporation, together with its subsidiaries, manufactures and sells machinery and equipment in Japan, the Americas, Europe, the Asia Pacific, and internationally.

Snowflake

Fundamentals

Undervalued with adequate balance sheet and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

OTCPK:IHIC.F

-0.3%

US Machinery

0.2%

US Market


1 Year Return

n/a

OTCPK:IHIC.F

-8.0%

US Machinery

-0.7%

US Market

No trading data on IHIC.F.

No trading data on IHIC.F.


Share holder returns

IHIC.FIndustryMarket
7 Day0%-0.3%0.2%
30 Day0%-7.9%-2.7%
90 Day0%-2.4%1.6%
1 Yearn/a-6.1%-8.0%1.6%-0.7%
3 Year1303.3%1303.3%35.5%26.7%40.0%30.9%
5 Year579.2%579.2%36.8%19.8%53.8%36.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is IHI undervalued based on future cash flows and its price relative to the stock market?

42%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

IHI's share price is below the future cash flow value, and at a moderate discount (> 20%).

IHI's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

IHI is good value based on earnings compared to the US Machinery industry average.

IHI is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

IHI is poor value based on expected growth next year.


Price Based on Value of Assets

IHI is good value based on assets compared to the US Machinery industry average.


Next Steps

Future Growth

How is IHI expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

9.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

IHI's revenue is expected to grow by 0.7% yearly, however this is not considered high growth (20% yearly).

IHI's earnings are expected to grow by 9.8% yearly, however this is not considered high growth (20% yearly).

IHI's revenue growth is positive but not above the United States of America market average.

IHI's earnings growth is positive but not above the United States of America market average.

IHI's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

IHI is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has IHI performed over the past 5 years?

-8.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

IHI's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

IHI's 1-year earnings growth exceeds its 5-year average (34.5% vs -8.6%)

IHI's earnings growth has exceeded the US Machinery industry average in the past year (34.5% vs 27.9%).


Return on Equity

IHI has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

IHI used its assets less efficiently than the US Machinery industry average last year based on Return on Assets.


Return on Capital Employed

IHI has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is IHI's financial position?


Financial Position Analysis

IHI is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

IHI's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

IHI's level of debt (112.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (117.8% vs 112.4% today).

Debt is not well covered by operating cash flow (12.6%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 96x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2.5x debt.


Next Steps

Dividend

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

3.14%

Expected Dividend Yield


Dividend Yield and Payments Analysis

IHI's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.4%).

IHI's dividend is below the markets top 25% of dividend payers in United States of America (3.64%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.5x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of IHI's salary, the management and board of directors tenure and is there insider trading?

3.0yrs

Average management tenure


CEO

Tsugio Mitsuoka (64yo)

0.0yrs

Tenure

0

Mr. Tsugio Mitsuoka has been the President at IHI Corporation since April 01, 2016 and has been its Chief Executive Officer and also served as its Chief Operating Officer since April 2017. Mr. Mitsuoka ser ...


Management Age and Tenure

3.0yrs

Average Tenure

63.5yo

Average Age

The tenure for the IHI management team is about average.


Board Age and Tenure

3.0yrs

Average Tenure

63yo

Average Age

The tenure for the IHI board of directors is about average.


Insider Trading

No 3 month insider trading information.


Ownership Breakdown


Management Team

  • Tamotsu Saito (66yo)

    Chairman & GM of Monozukuri System Strategy Planning Headquarters

    • Tenure: 3.0yrs
    • Compensation: JP¥115.00m
  • Hiroyuki Otani (63yo)

    Executive VP

    • Tenure: 4.8yrs
  • Takeshi Yamada (60yo)

    Senior Executive Officer

    • Tenure: 1.8yrs
  • Junichi Sakaki (64yo)

    Managing Executive Officer

    • Tenure: 3.0yrs
  • Yoshinori Kawasaki

    Managing Executive Officer and VP of Industrial Systems & General-Purpose Machinery Business Area

    • Tenure: 0.0yrs
  • Hiroshi Ide

    Managing Executive Officer and President of Resources

    • Tenure: 0.0yrs
  • Tomoharu Shikina (60yo)

    Managing Executive Officer & Director

    • Tenure: 2.8yrs
  • Tsugio Mitsuoka (64yo)

    President

    • Tenure: 0.0yrs
  • Yutaka Kunisada

    Managing Executive Officer and GM of Solution

    • Tenure: 0.0yrs
  • Takayoshi Shirai

    General Manager of Public Relations Division

    • Tenure: 0.0yrs

Board Members

  • Tamotsu Saito (66yo)

    Chairman & GM of Monozukuri System Strategy Planning Headquarters

    • Tenure: 3.0yrs
    • Compensation: JP¥115.00m
  • Hiroyuki Otani (63yo)

    Executive VP

    • Tenure: 4.8yrs
  • Takeshi Yamada (60yo)

    Senior Executive Officer

    • Tenure: 1.8yrs
  • Tomoharu Shikina (60yo)

    Managing Executive Officer & Director

    • Tenure: 2.8yrs
  • Nobuko Mizumoto

    Managing Executive Officer & Director

    • Tenure: 0.0yrs
  • Masafumi Nagano

    Managing Executive Officer & Director

    • Tenure: 0.0yrs
  • Tsugio Mitsuoka (64yo)

    President

    • Tenure: 0.0yrs
  • Yayoi Tanaka (58yo)

    Outside Director

    • Tenure: 1.8yrs
  • Taketsugu Fujiwara (71yo)

    Outside Director

    • Tenure: 3.8yrs
  • Kouichi Murakami

    Managing Executive Officer & Director

    • Tenure: 0.0yrs

Company Information

IHI Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: IHI Corporation
  • Ticker: IHIC.F
  • Exchange: OTCPK
  • Founded: 1853
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: JP¥423.139b
  • Listing Market Cap: JP¥3.781b
  • Shares outstanding: 154.26m
  • Website: https://www.ihi.co.jp

Number of Employees


Location

  • IHI Corporation
  • Toyosu IHI Building
  • 1-1, Toyosu 3-chome
  • Tokyo
  • 135-8710
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
7013TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
IHIC.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
IWJDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
IHIC.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDJan 2013

Biography

IHI Corporation, together with its subsidiaries, manufactures and sells machinery and equipment in Japan, the Americas, Europe, the Asia Pacific, and internationally. It offers boilers, environment respons ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/04/24 00:17
End of Day Share Price2019/01/24 00:00
Earnings2018/12/31
Annual Earnings2018/03/31


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.