OTCPK:SKIG.F

Stock Analysis Report

Executive Summary

Sanki Engineering Co., Ltd. provides various social infrastructure services in Japan.

Snowflake

Fundamentals

Excellent balance sheet with proven track record.

Risks

  • Sanki Engineering is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

OTCPK:SKIG.F

-0.5%

US Construction

-1.6%

US Market


1 Year Return

13.4%

OTCPK:SKIG.F

-13.9%

US Construction

-3.0%

US Market

SKIG.F outperformed the Construction industry which returned -1.3% over the past year.

SKIG.F outperformed the Market in United States of America which returned 5.3% over the past year.


Share holder returns

SKIG.FIndustryMarket
7 Day0%-0.5%-1.6%
30 Day0%-10.6%-5.7%
90 Day0%-2.6%0.2%
1 Year13.4%13.4%-13.3%-13.9%-0.8%-3.0%
3 Year36.6%36.6%7.8%5.5%38.1%29.1%
5 Yearn/a-1.9%-5.0%50.8%34.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

19%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Sanki Engineering's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Sanki Engineering's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Sanki Engineering is good value based on earnings compared to the US Construction industry average.

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


Price Based on Expected Growth

Sanki Engineering earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Sanki Engineering is good value based on assets compared to the US Construction industry average.


Next Steps

Future Growth

How is Sanki Engineering expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

-11.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Sanki Engineering's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Sanki Engineering's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Sanki Engineering's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Sanki Engineering's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Sanki Engineering's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Sanki Engineering performed over the past 5 years?

19.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

Sanki Engineering's 1-year earnings growth exceeds its 5-year average (131.6% vs 19.2%)

Sanki Engineering's earnings growth has exceeded the US Construction industry average in the past year (131.6% vs -7.4%).


Return on Equity

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


Return on Assets

Sanki Engineering used its assets less efficiently than the US Construction industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is Sanki Engineering's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Sanki Engineering's level of debt (14.2%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (9.3% vs 14.2% today).

Debt is well covered by operating cash flow (53.2%, greater than 20% of total debt).

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


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 11.1x debt.


Next Steps

Dividend

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

4.78%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Sanki Engineering's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.41%).

Sanki Engineering's dividend is below the markets top 25% of dividend payers in United States of America (3.68%).

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 (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 Sanki Engineering's salary, the management and board of directors tenure and is there insider trading?

5.8yrs

Average management tenure


CEO

Tsutomu Hasegawa (66yo)

4.3yrs

Tenure

0

Mr. Tsutomu Hasegawa serves as President of Sanki Engineering Co., Ltd. and has been its Chief Executive Officer since April 2015. Mr. Hasegawa served as Senior Managing Executive Officer and General Manag ...


Management Age and Tenure

5.8yrs

Average Tenure

67yo

Average Age

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


Board Age and Tenure

5.6yrs

Average Tenure

67yo

Average Age

The tenure for the Sanki Engineering board of directors is about average.


Insider Trading

No 3 month individual insider trading information.


Ownership Breakdown


Management Team

  • Tsutomu Hasegawa (66yo)

    CEO, President & Representative Director

    • Tenure: 4.3yrs
  • Kazuo Saito

    Managing Executive Officer & Overall Technology GM of Construction Facilities Division

    • Tenure: 0.0yrs
  • Hideo Natori

    Chief of Overall Real Estate Business Office & Executive Officer

    • Tenure: 0.0yrs
  • Kazuo Miyazaki

    Executive Officer & Head of Overseas Business

    • Tenure: 0.0yrs
  • Shigeru Sugiura

    Managing Executive Officer & Chief of Supervisors’ Office

    • Tenure: 0.0yrs
  • Hidemi Fujii (68yo)

    Executive VP & Representative Director

    • Tenure: 6.1yrs
  • Nobuo Kumura (70yo)

    Executive VP & Representative Director

    • Tenure: 6.1yrs
  • Eiji Mitsuishi (67yo)

    Senior Managing Executive Officer

    • Tenure: 0.0yrs
  • Yoshio Kawabe (59yo)

    Executive Officer & GM of Accounting Division

    • Tenure: 0.0yrs
  • Tadayuki Motokawa

    Executive Officer and GM of General Affairs & Personnel Division

    • Tenure: 0.0yrs

Board Members

  • Masato Komura (72yo)

    Director

    • Tenure: 0.0yrs
  • Takuichi Kajiura (76yo)

    Chairman of Board of Directors

    • Tenure: 4.3yrs
  • Tsutomu Hasegawa (66yo)

    CEO, President & Representative Director

    • Tenure: 4.3yrs
  • Hirokazu Ishida (67yo)

    Managing Executive Officer

    • Tenure: 0.0yrs
  • Hidemi Fujii (68yo)

    Executive VP & Representative Director

    • Tenure: 6.1yrs
  • Nobuo Kumura (70yo)

    Executive VP & Representative Director

    • Tenure: 6.1yrs
  • Yukio Yamamoto (66yo)

    External Director

    • Tenure: 5.1yrs
  • Masayuki Kudo

    Managing Executive Officer & Director

    • Tenure: 0.0yrs
  • Eiji Mitsuishi (67yo)

    Senior Managing Executive Officer

    • Tenure: 0.0yrs
  • Takashi Motomatsu (66yo)

    Managing Executive Officer

    • Tenure: 4.1yrs

Company Information

Sanki Engineering Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sanki Engineering Co., Ltd.
  • Ticker: SKIG.F
  • Exchange: OTCPK
  • Founded: 1925
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: JP¥74.849b
  • Listing Market Cap: JP¥689.538m
  • Shares outstanding: 59.59m
  • Website: https://www.sanki.co.jp

Number of Employees


Location

  • Sanki Engineering Co., Ltd.
  • 8-1, Akashicho
  • Chuo-ku
  • Tokyo
  • 104-8506
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1961TSE (The Tokyo Stock Exchange)YesCommon SharesJPJPYJan 1992
SKIG.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 1992

Biography

Sanki Engineering Co., Ltd. provides various social infrastructure services in Japan. The company offers heating, ventilation, and air conditioning (HVAC), as well as plumbing services for buildings, such  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/08 00:09
End of Day Share Price2019/04/09 00:00
Earnings2019/03/31
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.