OTCPK:MKEW.F

Stock Analysis Report

Executive Summary

Makita Corporation engages in the manufacture and wholesale of electric power tools, woodworking machines, pneumatic tools, and gardening and household equipment.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

MKEW.F

-1.9%

US Machinery

-0.2%

US Market


1 Year Return

-35.0%

MKEW.F

-6.8%

US Machinery

1.1%

US Market

MKEW.F underperformed the Machinery industry which returned -5.4% over the past year.

MKEW.F underperformed the Market in United States of America which returned 1.6% over the past year.


Share holder returns

MKEW.FIndustryMarket
7 Day0%-1.9%-0.2%
30 Day1.6%6.4%2.5%
90 Dayn/a-1.2%1.6%
1 Year-35.0%-35.0%-4.8%-6.8%3.4%1.1%
3 Yearn/a49.2%39.5%45.2%35.8%
5 Year-48.5%-48.5%55.2%36.1%62.6%44.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

16.36x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Makita's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Makita's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

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

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


Price Based on Expected Growth

Makita is poor value based on expected growth next year.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is Makita expected to perform in the next 1 to 3 years based on estimates from 16 analysts?

5.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Makita's revenue is expected to grow by 4% yearly, however this is not considered high growth (20% yearly).

Makita's earnings are expected to grow by 5.6% yearly, however this is not considered high growth (20% yearly).

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

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

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Makita performed over the past 5 years?

6.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Makita's year on year earnings growth rate has been positive over the past 5 years.

Makita's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Makita's 1-year earnings growth is negative, it can't be compared to the US Machinery industry average.


Return on Equity

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


Return on Assets

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


Return on Capital Employed

Makita's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Makita's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Makita's level of debt (1.9%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (0.7% vs 1.9% today).

Debt is well covered by operating cash flow (230%, greater than 20% of total debt).

Makita earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 42.9x debt.


Next Steps

Dividend

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

1.84%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Makita's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Makita's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.2x 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 Makita's salary, the management and board of directors tenure and is there insider trading?

15.3yrs

Average management tenure


CEO

Munetoshi Goto 0

0yrs

Tenure

0

Mr. Munetoshi Goto serves as President & Representative Director of Makita Corporation and served as its General Manager of International Sales Headquarters, Corporate Officer. 


Management Age and Tenure

15.3yrs

Average Tenure

69yo

Average Age

The average tenure for the Makita management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

12.3yrs

Average Tenure

70yo

Average Age

The average tenure for the Makita board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Tadayoshi Torii (73yo)

    Managing Corporate Officer

    • Tenure: 18.3yrs
  • Hisayoshi Niwa (70yo)

    Corporate Officer

    • Tenure: 16.3yrs
  • Shinichiro Tomita (68yo)

    Corporate Officer

    • Tenure: 12.3yrs
  • Tetsuhisa Kaneko (64yo)

    Corporate Officer

    • Tenure: 12.3yrs
  • Tomoyuki Ota

    Corporate Officer

    • Tenure: 0yrs
  • Munetoshi Goto

    President & Representative Director

    • Tenure: 0yrs
  • Takashi Omote

    Corporate Officer

    • Tenure: 0yrs
  • Takashi Tsuchiya

    Corporate Officer

    • Tenure: 4.3yrs
  • Masaki Yoshida

    Corporate Officer

    • Tenure: 4.3yrs
  • Tomoharu Yasuda

    Corporate Officer and Assistant GM of Domestic Sales & Marketing Headquarters for Tokyo Area

    • Tenure: 4.3yrs

Board Members

  • Masahiko Goto (73yo)

    Chairman of the Board

    • Tenure: 0yrs
  • Tadayoshi Torii (73yo)

    Managing Corporate Officer

    • Tenure: 18.3yrs
  • Hisayoshi Niwa (70yo)

    Corporate Officer

    • Tenure: 16.3yrs
  • Shinichiro Tomita (68yo)

    Corporate Officer

    • Tenure: 12.3yrs
  • Tetsuhisa Kaneko (64yo)

    Corporate Officer

    • Tenure: 12.3yrs
  • Tomoyuki Ota

    Corporate Officer

    • Tenure: 0yrs
  • Munetoshi Goto

    President & Representative Director

    • Tenure: 0yrs
  • Takashi Omote

    Corporate Officer

    • Tenure: 0yrs
  • Takashi Tsuchiya

    Corporate Officer

    • Tenure: 4.3yrs
  • Masaki Yoshida

    Corporate Officer

    • Tenure: 4.3yrs

Company Information

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


Key Information

  • Name: Makita Corporation
  • Ticker: MKEW.F
  • Exchange: OTCPK
  • Founded: 1915
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: JP¥889.054b
  • Listing Market Cap: JP¥8.230b
  • Shares outstanding: 271.47m
  • Website: https://www.makita.co.jp

Number of Employees


Location

  • Makita Corporation
  • 3-11-8, Sumiyoshi-cho
  • Anjo
  • Aichi
  • 446-8502
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MKTA.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDDec 1975
6586TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYDec 1975
MKEW.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDDec 1975
MK2ADB (Deutsche Boerse AG)YesCommon StockDEEURDec 1975

Biography

Makita Corporation engages in the manufacture and wholesale of electric power tools, woodworking machines, pneumatic tools, and gardening and household equipment. The company operates through Japan Group,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 00:43
End of Day Share Price2019/08/30 00:00
Earnings2019/06/30
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.