OTCPK:MNXB.Y

Stock Analysis Report

Executive Summary

Monex Group, Inc., together with its subsidiaries, provides online securities brokerage services to individual investors and businesses in Japan, the United States, and the Asia-Pacific.


Snowflake Analysis

Moderate growth potential unattractive dividend payer.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

MNXB.Y

-8.0%

US Capital Markets

-7.4%

US Market


1 Year Return

n/a

MNXB.Y

8.3%

US Capital Markets

10.5%

US Market

Return vs Industry: Insufficient data to determine how MNXB.Y performed against the US Capital Markets industry.

Return vs Market: Insufficient data to determine how MNXB.Y performed against the US Market.


Shareholder returns

MNXB.YIndustryMarket
7 Day0%-8.0%-7.4%
30 Day0%-4.0%-3.6%
90 Dayn/a-2.1%-0.6%
1 Yearn/a10.4%8.3%12.8%10.5%
3 Year-4.0%-4.0%27.5%20.4%37.4%28.6%
5 Yearn/a70.2%54.4%61.3%43.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Monex Group undervalued compared to its fair value and its price relative to the market?

83.58x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate MNXB.Y's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate MNXB.Y's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: MNXB.Y is poor value based on its PE Ratio (83.6x) compared to the Capital Markets industry average (32.3x).

PE vs Market: MNXB.Y is poor value based on its PE Ratio (83.6x) compared to the US market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: MNXB.Y is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: MNXB.Y is good value based on its PB Ratio (0.8x) compared to the US Capital Markets industry average (6.6x).


Next Steps

Future Growth

How is Monex Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

33.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MNXB.Y's forecast earnings growth (33.3% per year) is above the savings rate (1.7%).

Earnings vs Market: MNXB.Y's earnings (33.3% per year) are forecast to grow faster than the US market (13.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MNXB.Y's revenue (1.7% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: MNXB.Y's revenue (1.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if MNXB.Y's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Monex Group performed over the past 5 years?

-8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MNXB.Y has a large one-off loss of ¥1.9B impacting its December 31 2019 financial results.

Growing Profit Margin: MNXB.Y's current net profit margins (1.5%) are lower than last year (9%).


Past Earnings Growth Analysis

Earnings Trend: MNXB.Y's earnings have declined by -8.4% per year over the past 5 years.

Accelerating Growth: MNXB.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: MNXB.Y had negative earnings growth (-84.5%) over the past year, making it difficult to compare to the Capital Markets industry average (8.4%).


Return on Equity

High ROE: MNXB.Y's Return on Equity (0.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Monex Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: MNXB.Y has a low level of unsold assets or inventory.

Debt Coverage by Assets: MNXB.Y's debt is covered by short term assets (assets are 4.2x debt).


Financial Institutions Analysis

Asset Level: MNXB.Y's level of assets compared to its equity is moderate.

Allowance for Bad Loans: Insufficient data to determine if MNXB.Y has a sufficient allowance for bad loans.

Low Risk Liabilities: MNXB.Y reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if MNXB.Y has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MNXB.Y has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if MNXB.Y has an appropriate level of bad loans.


Next Steps

Dividend

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

2.30%

Current Dividend Yield


Dividend Yield vs Market

company2.3%marketbottom25%1.5%markettop25%3.9%industryaverage2.1%forecastin3Years7.5%

Current dividend yield vs market & industry

Notable Dividend: MNXB.Y's dividend (2.3%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: MNXB.Y's dividend (2.3%) is low compared to the top 25% of dividend payers in the US market (3.9%).


Stability and Growth of Payments

Stable Dividend: MNXB.Y's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (192.1%), MNXB.Y's dividend payments are not 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?

0.3yrs

Average management tenure


CEO

Oki Matsumoto (56yo)

15.5yrs

Tenure

0

Mr. Oki Matsumoto has been the Chief Executive Officer of Monex Group, Inc. since August 2004. Mr. Matsumoto has been the President and Representative Executive Officer of Monex Group, Inc. since June 2013 ...


Leadership Team

NamePositionTenureCompensationOwnership
Oki Matsumoto
President15.5yrsno data9.68% ¥52.9m
Shoji Kuwashima
Vice Chairman9yrsno data0.087% ¥476.5k
Toshihiko Katsuya
CFO & Senior Executive Officer0.3yrsno data0.044% ¥242.6k
Yuko Seimei
COO & Representative Executive Officer0.3yrsno data0.027% ¥149.4k
Masayuki Okamoto
Chief Administrative Officer0.2yrsno datano data
Akiko Kato
General Manager of Corporate Communications Office2.3yrsno datano data
Takuya Yamanaka
General Manager of Human Resources Department and Executive Director0.8yrsno datano data
Katsuki Mandai
Executive Officer0.08yrsno datano data
Masaki Ueda
Executive Director0yrsno data0.11% ¥600.5k
Satoshi Hasuo
Executive Officer0.08yrsno data0.016% ¥87.1k

0.3yrs

Average Tenure

55yo

Average Age

Experienced Management: MNXB.Y's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Shoji Kuwashima
Vice Chairman9yrsno data0.087% ¥476.5k
Masaki Ueda
Executive Director0yrsno data0.11% ¥600.5k
Nobuyuki Idei
Outside & Independent Director6.7yrsno data0.035% ¥192.1k
Jun Makihara
Lead Independent Director4.8yrsno data0.0078% ¥42.7k
Fujiyo Ishiguro
Outside & Independent Director5.7yrsno data0.0039% ¥21.4k
Nobuo Domae
Outside & Independent Director3.7yrsno data0.012% ¥64.0k
Masaaki Koizumi
Outside & Independent Director1.7yrsno datano data
Shiho Konno
Outside & Independent Director1.7yrsno datano data

4.8yrs

Average Tenure

58.5yo

Average Age

Experienced Board: MNXB.Y's board of directors are considered experienced (4.8 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

Monex Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Monex Group, Inc.
  • Ticker: MNXB.Y
  • Exchange: OTCPK
  • Founded: 1999
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: JP¥60.161b
  • Listing Market Cap: JP¥546.350m
  • Shares outstanding: 256.01m
  • Website: https://www.monexgroup.jp

Number of Employees


Location

  • Monex Group, Inc.
  • ARK Mori Building
  • 25th Floor
  • Tokyo
  • 107-6025
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MNXB.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDAug 2004
8698TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYAug 2004
NNLDB (Deutsche Boerse AG)YesCommon StockDEEURAug 2004
MNXB.YOTCPK (Pink Sheets LLC)ADR NEWUSUSDJan 2007

Biography

Monex Group, Inc., together with its subsidiaries, provides online securities brokerage services to individual investors and businesses in Japan, the United States, and the Asia-Pacific. It offers equities, mutual funds, and odd lot stock trading schemes; margin trading, initial public offerings, and stock lending services; and foreign exchange margin trading, fixed income products, futures and option trading, exchange equity index margin contracts, bullion trading, etc. The company also engages in the research and development of methods of investments for marketable securities; wrap account services; and venture capital investment and technology development businesses. In addition, it is involved in the researching, planning, studying, developing, and consulting of cryptocurrency services, as well as operates cryptocurrency exchange. The company was formerly known as Monex Beans Holdings, Inc. and changed its name to Monex Group, Inc. in July 2008. Monex Group, Inc. was founded in 1999 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 Analysis2020/02/26 00:47
End of Day Share Price2020/01/07 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.