OTCPK:ATEY.Y

Stock Analysis Report

Executive Summary

Advantest Corporation manufactures and sells semiconductor and component test system products and mechatronics-related products.

Snowflake

Fundamentals

Outstanding track record with flawless balance sheet.

Risks

  • Advantest has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

ATEY.Y

-2.5%

US Semiconductor

-0.6%

US Market


1 Year Return

110.2%

ATEY.Y

7.5%

US Semiconductor

0.6%

US Market

ATEY.Y outperformed the Semiconductor industry which returned 9.4% over the past year.

ATEY.Y outperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

ATEY.YIndustryMarket
7 Day1.5%-2.5%-0.6%
30 Day14.1%3.2%2.2%
90 Day73.1%10.1%1.1%
1 Year110.2%110.2%9.6%7.5%2.9%0.6%
3 Year228.6%228.6%79.9%69.3%44.6%35.2%
5 Year245.0%245.0%119.3%97.0%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

16.46x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Advantest is good value based on earnings compared to the US Semiconductor industry average.

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


Price Based on Expected Growth

Advantest is poor value based on expected growth next year.


Price Based on Value of Assets

Advantest is overvalued based on assets compared to the US Semiconductor industry average.


Next Steps

Future Growth

How is Advantest expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

12.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Advantest's revenue is expected to grow by 6.4% yearly, however this is not considered high growth (20% yearly).

Advantest's earnings are expected to grow by 12.1% yearly, however this is not considered high growth (20% yearly).

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

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

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Advantest performed over the past 5 years?

52.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Advantest has delivered over 20% year on year earnings growth in the past 5 years.

Advantest's 1-year earnings growth exceeds its 5-year average (78% vs 52.9%)

Advantest's earnings growth has exceeded the US Semiconductor industry average in the past year (78% vs -6.2%).


Return on Equity

Advantest has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Advantest used its assets more efficiently than the US Semiconductor industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is Advantest's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Advantest has no debt.

Advantest has no debt compared to 5 years ago when it was 48%.

Advantest has no debt, it does not need to be covered by operating cash flow.

Advantest has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Advantest has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

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

1.44%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Advantest's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Advantest's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

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 (3.1x 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 Advantest's salary, the management and board of directors tenure and is there insider trading?

5.3yrs

Average management tenure


CEO

Yoshiaki Yoshida (61yo)

2.7yrs

Tenure

0

Mr. Yoshiaki Yoshida has been the Chief Executive Officer and President at Advantest Corporation since January 26, 2017. Mr. Yoshida served as the Managing Executive Officer of Corporate Planning & Corpora ...


Management Age and Tenure

5.3yrs

Average Tenure

59yo

Average Age

The average tenure for the Advantest management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

2.3yrs

Average Tenure

61yo

Average Age

The average tenure for the Advantest board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Hans-Juergen Wagner (59yo)

    Managing Executive Officer & Director

    • Tenure: 2.3yrs
  • Yoshiaki Yoshida (61yo)

    CEO, President & Representative Director

    • Tenure: 2.7yrs
  • Soichi Tsukakoshi (59yo)

    Executive VP of Production Group

    • Tenure: 2.3yrs
  • Makoto Nakahara (60yo)

    Senior VP of Sales Group & Executive Officer

    • Tenure: 8.3yrs
  • Toshiyuki Okayasu (57yo)

    Executive VP of New Concept Product Initiative & Managing Executive Officer

    • Tenure: 0.7yrs
  • Kazuhiro Yamashita (58yo)

    Managing Executive Officer

    • Tenure: 7.3yrs
  • Isao Sasaki

    Executive VP of Quality Assurance Group & Managing Executive Officer

    • Tenure: 5.3yrs
  • Keith Hardwick

    Global HR Executive VP & Managing Executive Officer

    • Tenure: 0yrs
  • Kimiya Sakamoto

    Executive VP of Sales Group & Managing Executive Officer

    • Tenure: 0.7yrs
  • Atsushi Fujita (60yo)

    CFO, Executive VP of Corporate Administration Group

    • Tenure: 0.3yrs

Board Members

  • Yuichi Kurita (70yo)

    Director

    • Tenure: 4.3yrs
  • Osamu Karatsu (72yo)

    Outside Director

    • Tenure: 7.3yrs
  • Shinichiro Kuroe (60yo)

    Senior Executive Advisor

    • Tenure: 6.3yrs
  • Hans-Juergen Wagner (59yo)

    Managing Executive Officer & Director

    • Tenure: 2.3yrs
  • Yoshiaki Yoshida (61yo)

    CEO, President & Representative Director

    • Tenure: 2.7yrs
  • Soichi Tsukakoshi (59yo)

    Executive VP of Production Group

    • Tenure: 2.3yrs
  • Toshimitsu Urabe (65yo)

    Outside Director

    • Tenure: 0.3yrs
  • Atsushi Fujita (60yo)

    CFO, Executive VP of Corporate Administration Group

    • Tenure: 0.3yrs
  • Tsuneko Murata (61yo)

    Outside Director

    • Tenure: 1.3yrs
  • Kouichi Nanba (70yo)

    Outside Director

    • Tenure: 0.3yrs

Company Information

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


Key Information

  • Name: Advantest Corporation
  • Ticker: ATEY.Y
  • Exchange: OTCPK
  • Founded: 1954
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Market Cap: JP¥932.251b
  • Listing Market Cap: JP¥8.637b
  • Shares outstanding: 197.93m
  • Website: https://www.advantest.com

Number of Employees


Location

  • Advantest Corporation
  • Shin Marunouchi Center Building
  • 1-6-2, Marunouchi
  • Tokyo
  • 100-0005
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6857TSE (The Tokyo Stock Exchange)YesOrdinary SharesJPJPYJan 1992
ADTT.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
VANDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
ATEY.YOTCPK (Pink Sheets LLC)SPON ADR EACH REP 1 ORD SHSUSUSDSep 2001
VANADB (Deutsche Boerse AG)SPON ADR EACH REP 1 ORD SHSDEEURSep 2001

Biography

Advantest Corporation manufactures and sells semiconductor and component test system products and mechatronics-related products. It operates through Semiconductor and Component Test System; Mechatronics Sy ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 23:31
End of Day Share Price2019/09/20 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.