OTCPK:MITE.F

Stock Analysis Report

Executive Summary

Mitsubishi Estate Co., Ltd. engages in the real estate activities in Japan and internationally.

Snowflake

Fundamentals

Mediocre balance sheet with acceptable track record.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

MITE.F

-0.2%

US Real Estate

0.07%

US Market


1 Year Return

18.6%

MITE.F

8.6%

US Real Estate

8.9%

US Market

Return vs Industry: MITE.F exceeded the US Real Estate industry which returned 8.6% over the past year.

Return vs Market: MITE.F exceeded the US Market which returned 8.9% over the past year.


Shareholder returns

MITE.FIndustryMarket
7 Day0%-0.2%0.07%
30 Day0%-1.4%-0.3%
90 Dayn/a-2.0%-1.6%
1 Year18.6%18.6%9.6%8.6%11.3%8.9%
3 Year2.3%2.3%27.9%24.9%46.3%36.8%
5 Year-11.0%-11.0%8.5%5.0%62.1%44.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

21.59x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: MITE.F ($19.16) is trading above our estimate of fair value ($3.91)

Significantly Below Fair Value: MITE.F is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: MITE.F is poor value based on its PE Ratio (21.6x) compared to the Real Estate industry average (21.6x).

PE vs Market: MITE.F is poor value based on its PE Ratio (21.6x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: MITE.F is poor value based on its PEG Ratio (6x)


Price to Book Ratio

PB vs Industry: MITE.F is overvalued based on its PB Ratio (1.7x) compared to the US Real Estate industry average (1.5x).


Next Steps

Future Growth

How is Mitsubishi Estate forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MITE.F's forecast earnings growth (3.6% per year) is above the savings rate (2.7%).

Earnings vs Market: MITE.F's earnings (3.6% per year) are forecast to grow slower than the US market (14.5% per year).

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

Revenue vs Market: MITE.F's revenue (1.9% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: MITE.F's revenue (1.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MITE.F's Return on Equity is forecast to be low in 3 years time (7.6%).


Next Steps

Past Performance

How has Mitsubishi Estate performed over the past 5 years?

14.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: MITE.F's earnings have grown by 14.2% per year over the past 5 years.

Accelerating Growth: MITE.F's earnings growth over the past year (6.2%) is below its 5-year average (14.2% per year).

Earnings vs Industry: MITE.F earnings growth over the past year (6.2%) exceeded the Real Estate industry -22.6%.


Return on Equity

High ROE: MITE.F's Return on Equity (7.9%) is considered low.


Return on Assets

ROA vs Industry: MITE.F's Return on Assets is below or equal to the Real Estate industry average last year.


Return on Capital Employed

ROCE Improving: MITE.F has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Mitsubishi Estate's financial position?


Financial Position Analysis

Short Term Liabilities: MITE.F's short term assets (¥1,153.5B) exceeds its short term liabilities (¥772.6B)

Long Term Liabilities: MITE.F's short term assets (1,153.5B) do not cover its long term liabilities (3,163.6B)


Debt to Equity History and Analysis

Debt Level: MITE.F's debt to equity ratio (127.6%) is considered high

Reducing Debt: MITE.F's debt to equity ratio has reduced from 138.9% to 127.6% over the past 5 years.

Debt Coverage: MITE.F's debt is not well covered by operating cash flow (15.1%).

Interest Coverage: MITE.F's interest payments on its debt are well covered by EBIT (15.3x coverage).


Balance Sheet

Inventory Level: MITE.F has a high level of physical assets or inventory.

Debt Coverage by Assets: MITE.F's debt is not covered by short term assets (assets are 0.5x debt).


Next Steps

Dividend

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

1.42%

Current Dividend Yield


Dividend Yield vs Market

company1.4%marketbottom25%1.4%markettop25%3.7%industryaverage2.4%forecastin3Years1.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: MITE.F's dividend (1.42%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: MITE.F's dividend (1.42%) is low compared to the top 25% of dividend payers in the US market (3.68%).

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

Growing Dividend: MITE.F's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.7%), MITE.F's dividend payments are 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 Mitsubishi Estate's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Junichi Yoshida (61yo)

2.5yrs

Tenure

0

Mr. Junichi Yoshida has been Representative Corporate Executive Officer, President and Chief Executive Officer of Mitsubishi Estate Co., Ltd., since April 2017 and served as its Senior Executive Officer si ...


Management Age and Tenure

2.5yrs

Average Tenure

61yo

Average Age

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


Board Age and Tenure

2.9yrs

Average Tenure

65yo

Average Age

Experienced Board: MITE.F's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


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

  • Kenichi Iwata

    Executive Vice President

    • Tenure: 0yrs
  • Atsuo Kyono

    Representative Corporate Executive Officer & Executive VP

    • Tenure: 3.3yrs
  • Tetsuji Arimori (62yo)

    Representative Corporate Executive Officer

    • Tenure: 1.3yrs
  • Junichi Tanisawa (61yo)

    Representative Corporate Executive Officer

    • Tenure: 5.3yrs
  • Hiroshi Katayama (60yo)

    Senior Executive Officer & Director

    • Tenure: 3.3yrs
  • Junichi Yoshida (61yo)

    President

    • Tenure: 2.5yrs
  • Noboru Nishigai (59yo)

    Representative Corporate Executive Officer & Executive VP

    • Tenure: 2.5yrs
  • Futoshi Chiba

    Representative Corporate Executive Officer & Executive VP

    • Tenure: 1.5yrs
  • Masato Kawasaki

    General Manager of Corporate Communications Department

    • Tenure: 0yrs
  • Akio Tamagawa

    Investor Relations Officer

    • Tenure: 0yrs

Board Members

  • Hirotaka Sugiyama (70yo)

    Chairman

    • Tenure: 2.5yrs
    • Compensation: JP¥162.00m
  • Tetsuji Arimori (62yo)

    Representative Corporate Executive Officer

    • Tenure: 1.3yrs
  • Junichi Tanisawa (61yo)

    Representative Corporate Executive Officer

    • Tenure: 5.3yrs
  • Jo Kato (65yo)

    Director

    • Tenure: 8.3yrs
  • Hiroshi Katayama (60yo)

    Senior Executive Officer & Director

    • Tenure: 3.3yrs
  • Junichi Yoshida (61yo)

    President

    • Tenure: 2.5yrs
  • Bunroku Naganuma

    Senior Executive Officer & Director

    • Tenure: 0.8yrs
  • Shin Ebihara (71yo)

    Outside Director

    • Tenure: 4.3yrs
  • Tsuyoshi Okamoto (72yo)

    Outside Director

    • Tenure: 0.3yrs
  • Tetsuo Narukawa (70yo)

    Outside Director

    • Tenure: 1.3yrs

Company Information

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


Key Information

  • Name: Mitsubishi Estate Co., Ltd.
  • Ticker: MITE.F
  • Exchange: OTCPK
  • Founded: 1890
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: JP¥2.899t
  • Listing Market Cap: JP¥26.709b
  • Shares outstanding: 1.37b
  • Website: https://www.mec.co.jp

Number of Employees


Location

  • Mitsubishi Estate Co., Ltd.
  • Otemachi Building
  • 1-1, Otemachi 1-chome
  • Tokyo
  • 100-8133
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MITE.YOTCPK (Pink Sheets LLC)ADRUSUSDJan 1975
MITE.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1975
8802TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1975
MESDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1975

Biography

Mitsubishi Estate Co., Ltd. engages in the real estate activities in Japan and internationally. The company engages in the development, leasing, property management, and sale of office buildings. It also o ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:48
End of Day Share Price2019/08/23 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.