OTCPK:OCPN.Y

Stock Analysis Report

Executive Summary

Olympus Corporation manufactures and sells precision machineries and instruments worldwide.


Snowflake Analysis

Excellent balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

1.3%

OCPN.Y

11.3%

US Medical Equipment

5.3%

US Market


1 Year Return

32.9%

OCPN.Y

-4.5%

US Medical Equipment

-10.7%

US Market

Return vs Industry: OCPN.Y exceeded the US Medical Equipment industry which returned -5% over the past year.

Return vs Market: OCPN.Y exceeded the US Market which returned -10.4% over the past year.


Shareholder returns

OCPN.YIndustryMarket
7 Day1.3%11.3%5.3%
30 Day-22.4%-8.5%-13.6%
90 Dayn/a-15.6%-19.8%
1 Year32.9%32.9%-3.8%-4.5%-8.9%-10.7%
3 Year50.2%50.2%47.0%43.0%15.5%8.0%
5 Year57.9%57.9%78.8%60.2%35.2%20.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

21.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OCPN.Y ($14) is trading below our estimate of fair value ($18.5)

Significantly Below Fair Value: OCPN.Y is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: OCPN.Y is good value based on its PE Ratio (33x) compared to the Medical Equipment industry average (38.6x).

PE vs Market: OCPN.Y is poor value based on its PE Ratio (33x) compared to the US market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: OCPN.Y is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: OCPN.Y is overvalued based on its PB Ratio (4.9x) compared to the US Medical Equipment industry average (3.1x).


Next Steps

Future Growth

How is Olympus forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

18.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OCPN.Y's forecast earnings growth (18.9% per year) is above the savings rate (1.7%).

Earnings vs Market: OCPN.Y's earnings (18.9% per year) are forecast to grow faster than the US market (12.2% per year).

High Growth Earnings: OCPN.Y's earnings are forecast to grow, but not significantly.

Revenue vs Market: OCPN.Y's revenue (4.7% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: OCPN.Y's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OCPN.Y's Return on Equity is forecast to be high in 3 years time (21.9%)


Next Steps

Past Performance

How has Olympus performed over the past 5 years?

10.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OCPN.Y has a large one-off loss of ¥32.8B impacting its December 31 2019 financial results.

Growing Profit Margin: OCPN.Y's current net profit margins (7.5%) are higher than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: OCPN.Y's earnings have grown by 10.9% per year over the past 5 years.

Accelerating Growth: OCPN.Y's earnings growth over the past year (290.6%) exceeds its 5-year average (10.9% per year).

Earnings vs Industry: OCPN.Y earnings growth over the past year (290.6%) exceeded the Medical Equipment industry 1%.


Return on Equity

High ROE: OCPN.Y's Return on Equity (15.3%) is considered low.


Next Steps

Financial Health

How is Olympus's financial position?


Financial Position Analysis

Short Term Liabilities: OCPN.Y's short term assets (¥483.6B) exceed its short term liabilities (¥276.8B).

Long Term Liabilities: OCPN.Y's short term assets (¥483.6B) exceed its long term liabilities (¥313.9B).


Debt to Equity History and Analysis

Debt Level: OCPN.Y's debt to equity ratio (65%) is considered high.

Reducing Debt: OCPN.Y's debt to equity ratio has reduced from 87.9% to 65% over the past 5 years.

Debt Coverage: OCPN.Y's debt is well covered by operating cash flow (52.7%).

Interest Coverage: OCPN.Y's interest payments on its debt are well covered by EBIT (10767.4x coverage).


Balance Sheet

Inventory Level: OCPN.Y has a high level of physical assets or inventory.

Debt Coverage by Assets: OCPN.Y's debt is covered by short term assets (assets are 1.9x debt).


Next Steps

Dividend

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

0.64%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: OCPN.Y's dividend (0.66%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.95%).

High Dividend: OCPN.Y's dividend (0.66%) is low compared to the top 25% of dividend payers in the US market (5.4%).


Stability and Growth of Payments

Stable Dividend: OCPN.Y is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: OCPN.Y is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: OCPN.Y is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of OCPN.Y's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.9yrs

Average management tenure


CEO

Yasuo Takeuchi (62yo)

0.92

Tenure

Mr. Yasuo Takeuchi has been Chief Executive Officer and President of Olympus Corporation since April 1, 2019 and has been its Representative Executive Officer since 2019. He served as Chief Financial Offic ...


Leadership Team

NamePositionTenureCompensationOwnership
Hiroyuki Tsuji
Directorno dataJP¥119.16mno data
Yasuo Takeuchi
President0.92yrno data0.0042% ¥789.4k
Yasushi Sakai
CFO & Corporate Managing Officer0.92yrno data0.0017% ¥319.1k
Akihiro Taguchi
COO & Senior Corporate Managing Executive Officer0.92yrno data0.0029% ¥548.7k
Haruo Ogawa
CTO & Senior Executive Managing Officer3.92yrsno data0.0024% ¥455.4k
Stefan Kaufmann
Chief Administrative Officer0.75yrno datano data
Donna Miller
Head of HQ Legal and Global General Counsel3.92yrsno datano data
Caroline H. West
Chief Compliance Officer3.92yrsno datano data
Mark Miller
Global Chief Communications Officer0.92yrno datano data
Masamichi Handa
Managing Corporate Officer & Assistant to Chief Administrative Officer2.42yrsno datano data

0.9yrs

Average Tenure

61yo

Average Age

Experienced Management: OCPN.Y's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Yasuo Takeuchi
President0.92yrno data0.0042% ¥789.4k
Stefan Kaufmann
Chief Administrative Officer0.75yrno datano data
Sumitaka Fujita
Independent Chairman of the Boardno datano data0.00062% ¥115.7k
Nobuyuki Koga
Director0.75yrno data0.0041% ¥761.4k
Takayuki Katayama
Outside Director3.75yrsno data0.00022% ¥41.1k
Susumu Kaminaga
Outside Director3.75yrsno data0.000090% ¥16.8k
Michijiro Kikawa
Outside Director3.75yrsno datano data
Masashi Shimizu
Director0.75yrno data0.00078% ¥145.6k
Katsuya Natori
Outside Director0.75yrno data0.00062% ¥115.7k
Hiroyuki Sasa
Director7.92yrsJP¥114.98m0.0047% ¥877.1k

3.8yrs

Average Tenure

64yo

Average Age

Experienced Board: OCPN.Y's board of directors are considered experienced (3.7 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

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


Key Information

  • Name: Olympus Corporation
  • Ticker: OCPN.Y
  • Exchange: OTCPK
  • Founded: 1919
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: JP¥2.008t
  • Listing Market Cap: JP¥18.662b
  • Shares outstanding: 1.29b
  • Website: https://www.olympus-global.com

Number of Employees


Location

  • Olympus Corporation
  • Shinjuku Monolith
  • 3-1 Nishi-Shinjuku 2-chome
  • Tokyo
  • 163-0914
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OCPN.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
7733TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
OLY1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
OCPN.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDSep 1995

Biography

Olympus Corporation manufactures and sells precision machineries and instruments worldwide. The company operates through four segments: Medical Business, Scientific Solutions Business, Imaging Business, and Others. It offers video endoscopy systems; gastrointestinal, colono, duodeno, and broncho endoscopes; ultrasound endoscopes and probes, endoscopic ultrasound observation devices, and capsule endoscope systems; reprocessing products for cleaning, disinfection, and sterilization of endoscopy equipment; integrated documentation system for capturing information relevant to endoscopy, therapeutic, and other ancillary equipment; endotherapy devices; endoscopy products for gastrointestinal surgery, bronchial surgery, urology, gynecology, orthopedic surgery, neurosurgery, and anesthesiology; ear, nose, and throat endoscope products; and surgical endoscope ancillary equipment. The company also provides upright, polarizing, inverted, laser scanning confocal, stereo, and macro fluorescence microscopes; box-type fluorescence imaging devices, microscope digital cameras, life science imaging software, bio-imaging systems, and virtual slide systems; metallurgical, semiconductor and flat-panel display inspection, laser scanning, and measuring microscopes; microscopic 3D measurement instruments, and industrial microscope ancillary equipment; and industrial videoscopes and fiberscopes, industrial rigidscopes and ancillary equipment, ultrasonic flaw detectors, eddy current and phased array flaw detectors, and X-ray fluorescence and X-ray diffraction analyzers. In addition, it offers interchangeable lens cameras, compact digital cameras, digital camera accessories, lens barrels units, optical components, digital audio recorders, binoculars, and related software applications. The company was formerly known as Olympus Optical Co., Ltd. and changed its name to Olympus Corporation in October 2003. Olympus Corporation was founded in 1919 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 Analysis2020/04/01 00:38
End of Day Share Price2020/03/31 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.