OTCPK:THKL.F

Stock Analysis Report

Executive Summary

THK Co., Ltd. manufactures and supplies machinery components worldwide.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

OTCPK:THKL.F

-2.5%

US Machinery

-1.6%

US Market


1 Year Return

n/a

OTCPK:THKL.F

-9.9%

US Machinery

-3.0%

US Market

No trading data on THKL.F.

No trading data on THKL.F.


Share holder returns

THKL.FIndustryMarket
7 Day0%-2.5%-1.6%
30 Day0%-12.1%-5.8%
90 Dayn/a-4.2%0.2%
1 Yearn/a-8.0%-9.9%-0.8%-3.0%
3 Year15.3%15.3%32.5%23.9%38.0%29.1%
5 Yearn/a32.8%16.3%50.8%34.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

12.26x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

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

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


Price Based on Expected Growth

THK is poor value based on expected growth next year.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is THK expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

11.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

THK's revenue is expected to grow by 4.6% yearly, however this is not considered high growth (20% yearly).

THK's earnings are expected to grow by 11.3% yearly, however this is not considered high growth (20% yearly).

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

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

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has THK performed over the past 5 years?

13.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

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

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


Return on Equity

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


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is THK's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

THK's level of debt (32%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (31.4% vs 32% today).

Debt is well covered by operating cash flow (42.5%, greater than 20% of total debt).

THK 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 3x debt.


Next Steps

Dividend

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

2.33%

Expected Dividend Yield


Dividend Yield and Payments Analysis

THK's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

THK's dividend is below the markets top 25% of dividend payers in United States of America (3.82%).

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 (3.3x 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 THK's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Akihiro Teramachi (68yo)

0.0yrs

Tenure

JP¥152,000,000

Compensation

Mr. Akihiro Teramachi serves as the Chief Executive Officer of THK Co., Ltd. and has been its President since January 1997. Mr. Teramachi serves as Chairman of Nano Control Co., Ltd., Talk System Co., Ltd. ...


CEO Compensation Analysis

Akihiro's remuneration is lower than average for companies of similar size in United States of America.

Akihiro's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

3.8yrs

Average Tenure

63yo

Average Age

The tenure for the THK management team is about average.


Board Age and Tenure

7.2yrs

Average Tenure

63yo

Average Age

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


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Akihiro Teramachi (68yo)

    CEO, President & Director

    • Tenure: 0.0yrs
    • Compensation: JP¥152.00m
  • Toshihiro Teramachi (61yo)

    Executive VP

    • Tenure: 7.2yrs
  • Masato Sawada

    Managing Exec. Officer

    • Tenure: 0.0yrs
  • Takashi Okubo (63yo)

    Managing Executive Officer

    • Tenure: 0.0yrs
  • Nobuyuki Maki (59yo)

    Senior Managing Executive Officer

    • Tenure: 9.2yrs
  • Tetsuya Hayashida

    Managing Executive Officer & Special Appointive Officer to President

    • Tenure: 2.2yrs
  • Hiroshi Imano (65yo)

    CFO, Executive VP & Director

    • Tenure: 7.2yrs
  • Junji Shimomaki (66yo)

    Managing Exec. Officer

    • Tenure: 3.2yrs
  • Takanobu Hoshino (59yo)

    Managing Exec. Officer & GM of IMT Division - Industrial Machinery Headquarters

    • Tenure: 0.0yrs
  • Katsumi Fujita

    Head of Human Resources & General Affairs Department

    • Tenure: 0.0yrs

Board Members

  • Akihiro Teramachi (68yo)

    CEO, President & Director

    • Tenure: 0.0yrs
    • Compensation: JP¥152.00m
  • Toshihiro Teramachi (61yo)

    Executive VP

    • Tenure: 7.2yrs
  • Masato Sawada

    Managing Exec. Officer

    • Tenure: 0.0yrs
  • Junichi Sakai (72yo)

    Director

    • Tenure: 15.2yrs
  • Takashi Okubo (63yo)

    Managing Executive Officer

    • Tenure: 0.0yrs
  • Nobuyuki Maki (59yo)

    Senior Managing Executive Officer

    • Tenure: 9.2yrs
  • Hiroshi Imano (65yo)

    CFO, Executive VP & Director

    • Tenure: 7.2yrs
  • Junji Shimomaki (66yo)

    Managing Exec. Officer

    • Tenure: 3.2yrs
  • Takanobu Hoshino (59yo)

    Managing Exec. Officer & GM of IMT Division - Industrial Machinery Headquarters

    • Tenure: 0.0yrs
  • Takashi Teramachi (41yo)

    Senior Managing Exec. Officer

    • Tenure: 5.2yrs

Company Information

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


Key Information

  • Name: THK Co., Ltd.
  • Ticker: THKL.F
  • Exchange: OTCPK
  • Founded: 1971
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: JP¥314.395b
  • Listing Market Cap: JP¥2.978b
  • Shares outstanding: 126.57m
  • Website: https://www.thk.com

Number of Employees


Location

  • THK Co., Ltd.
  • 2-12-10
  • Shibaura
  • Tokyo
  • 108-8506
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6481TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
THKL.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
1TKDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
THKL.YOTCPK (Pink Sheets LLC)UNSPONSOD ADRUSUSDOct 2008

Biography

THK Co., Ltd. manufactures and supplies machinery components worldwide. It provides linear motion (LM) guides, LM actuators, spline nuts, LM strokes, cross roller guides, linear ball slides, flat rollers,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 00:01
End of Day Share Price2019/07/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.