OTCPK:MMSM.Y

Stock Analysis Report

Mitsui Mining & Smelting

Executive Summary

Mitsui Mining & Smelting Co., Ltd. produces and sells nonferrous metal products in Japan.

Snowflake

Fundamentals

Adequate balance sheet and overvalued.

Share Price & News

How has Mitsui Mining & Smelting's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.9%

MMSM.Y

1.9%

US Metals and Mining

1.3%

US Market


1 Year Return

-17.8%

MMSM.Y

-10.7%

US Metals and Mining

5.9%

US Market

Return vs Industry: MMSM.Y underperformed the US Metals and Mining industry which returned -10.7% over the past year.

Return vs Market: MMSM.Y underperformed the US Market which returned 5.9% over the past year.


Shareholder returns

MMSM.YIndustryMarket
7 Day3.9%1.9%1.3%
30 Day2.7%-4.3%-1.9%
90 Day3.9%-5.3%-1.8%
1 Year-17.8%-17.8%-8.0%-10.7%8.3%5.9%
3 Year15.2%15.2%13.4%7.5%45.6%36.2%
5 Yearn/a-1.5%-8.9%66.1%47.9%

Price Volatility Vs. Market

How volatile is Mitsui Mining & Smelting's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Mitsui Mining & Smelting undervalued compared to its fair value and its price relative to the market?

54.89x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: MMSM.Y ($4.91) is trading above our estimate of fair value ($3.11)

Significantly Undervalued: MMSM.Y is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: MMSM.Y is poor value based on its PE Ratio (54.9x) compared to the Metals and Mining industry average (13.3x).

PE vs Market: MMSM.Y is poor value based on its PE Ratio (54.9x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: MMSM.Y is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: MMSM.Y is good value based on its PB Ratio (0.9x) compared to the US Metals and Mining industry average (1.4x).


Next Steps

Future Growth

How is Mitsui Mining & Smelting forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

13.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MMSM.Y's forecast earnings growth (13.8% per year) is above the savings rate (2.7%).

Earnings vs Market: MMSM.Y's earnings (13.8% per year) are forecast to grow slower than the US market (14.4% per year).

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

Revenue vs Market: MMSM.Y's revenue (1.5% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: MMSM.Y's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: MMSM.Y's Return on Equity is forecast to be low in 3 years time (9.3%).


Next Steps

Past Performance

How has Mitsui Mining & Smelting performed over the past 5 years?

-5.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

Accelerating Growth: MMSM.Y has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MMSM.Y has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (26.6%).


Return on Equity

High ROE: MMSM.Y's Return on Equity (1.8%) is considered low.


Return on Assets

ROA vs Industry: MMSM.Y's Return on Assets is below or equal to the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: MMSM.Y has not improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Mitsui Mining & Smelting's financial position?


Financial Position Analysis

Short Term Liabilities: MMSM.Y's short term assets (¥244.9B) exceeds its short term liabilities (¥178.0B)

Long Term Liabilities: MMSM.Y's short term assets (244.9B) exceeds its long term liabilities (164.6B)


Debt to Equity History and Analysis

Debt Level: MMSM.Y's debt to equity ratio (125.8%) is considered high

Reducing Debt: MMSM.Y's debt to equity ratio has reduced from 127.1% to 125.8% over the past 5 years.

Debt Coverage: MMSM.Y's debt is not well covered by operating cash flow (18.3%).

Interest Coverage: MMSM.Y earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: MMSM.Y's debt is covered by short term assets (assets are 1.103520x debt).


Next Steps

Dividend

What is Mitsui Mining & Smelting's current dividend yield, its reliability and sustainability?

2.64%

Current Dividend Yield


Dividend Yield vs Market

company2.6%marketbottom25%1.5%markettop25%3.8%industryaverage2.6%forecastin3Years2.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: MMSM.Y's dividend (2.64%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: MMSM.Y's dividend (2.64%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: MMSM.Y has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: MMSM.Y's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (144.9%), MMSM.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

What is the CEO of Mitsui Mining & Smelting's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Keiji Nishida (62yo)

3.5yrs

Tenure

0

Mr. Keiji Nishida has been President, Chief Executive Officer and Representative Director at Mitsui Mining & Smelting Co. since April 2016. Mr. Nishida joined Mitsui Mining and Smelting Co Ltd. in April 19 ...


Management Age and Tenure

2.5yrs

Average Tenure

61yo

Average Age

Experienced Management: MMSM.Y's management team is considered experienced (2.5 years average tenure).


Board Age and Tenure

3.8yrs

Average Tenure

62yo

Average Age

Experienced Board: MMSM.Y's board of directors are considered experienced (3.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Keiji Nishida (62yo)

    President

    • Tenure: 3.5yrs
  • Isshi Hisaoka (62yo)

    Senior Executive Officer

    • Tenure: 6.3yrs
  • Ken Tsunoda

    Managing Executive Officer & Head of Metals Division

    • Tenure: 0.8yrs
  • Takashi Oshima (61yo)

    Sr. Executive Officer

    • Tenure: 5.3yrs
  • Hisakazu Kibe (59yo)

    Senior Executive Officer

    • Tenure: 0yrs
  • Yoshihiro Sera

    Executive Officer

    • Tenure: 0yrs
  • Takeshi Nou (58yo)

    MD, Senior Executive Officer

    • Tenure: 4.5yrs
  • Masayuki Misawa

    Executive Officer

    • Tenure: 0yrs
  • Noriyuki Maruyama

    Executive Officer

    • Tenure: 0yrs
  • Kiyotaka Yasuda

    Executive Officer

    • Tenure: 2.5yrs

Board Members

  • Keiji Nishida (62yo)

    President

    • Tenure: 3.5yrs
  • Isshi Hisaoka (62yo)

    Senior Executive Officer

    • Tenure: 6.3yrs
  • Akira Yoshida (62yo)

    Corporate Auditor

    • Tenure: 1.3yrs
  • Masaharu Miura (71yo)

    Outside Director

    • Tenure: 0.3yrs
  • Takashi Oshima (61yo)

    Sr. Executive Officer

    • Tenure: 5.3yrs
  • Takeshi Nou (58yo)

    MD, Senior Executive Officer

    • Tenure: 4.5yrs
  • Takashi Kadowaki (62yo)

    Corporate Auditor

    • Tenure: 4.3yrs
  • Morio Matsunaga (70yo)

    Outside Director

    • Tenure: 3.3yrs
  • Toru Ishida (67yo)

    Outside Auditor

    • Tenure: 1.3yrs
  • Keiko Takegawa

    Outside Auditor

    • Tenure: 0.3yrs

Company Information

Mitsui Mining & Smelting Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mitsui Mining & Smelting Co., Ltd.
  • Ticker: MMSM.Y
  • Exchange: OTCPK
  • Founded: 1950
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: JP¥151.447b
  • Listing Market Cap: JP¥1.397b
  • Shares outstanding: 57.11m
  • Website: https://www.mitsui-kinzoku.co.jp

Number of Employees


Location

  • Mitsui Mining & Smelting Co., Ltd.
  • West Tower
  • 19th Floor
  • Tokyo
  • 141-8584
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
5706TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
MMGDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
XZJC.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
MMSM.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDDec 2012

Biography

Mitsui Mining & Smelting Co., Ltd. produces and sells nonferrous metal products in Japan. It manufactures battery materials, including battery-use zinc powders, hydrogen storage alloys, and lithium mangane ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 00:26
End of Day Share Price2019/10/14 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.