OTCPK:RNEC.Y

Stock Analysis Report

Executive Summary

Renesas Electronics Corporation, together with its subsidiaries, researches, develops, designs, manufactures, sells, and services semiconductors in Japan, North America, Europe, and Asia.

Snowflake

Fundamentals

Moderate growth potential with imperfect balance sheet.

Risks

  • Renesas Electronics has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

4.2%

OTCPK:RNEC.Y

2.0%

US Semiconductor

1.2%

US Market


1 Year Return

-2.7%

OTCPK:RNEC.Y

10.9%

US Semiconductor

1.7%

US Market

RNEC.Y underperformed the Semiconductor industry which returned 10.9% over the past year.

RNEC.Y underperformed the Market in United States of America which returned 1.7% over the past year.


Share holder returns

RNEC.YIndustryMarket
7 Day4.2%2.0%1.2%
30 Day16.1%10.8%4.9%
90 Day41.9%17.2%3.7%
1 Year-2.7%-2.7%13.0%10.9%3.9%1.7%
3 Year9.1%9.1%83.8%73.0%47.2%37.7%
5 Year-25.6%-25.6%122.5%100.0%60.0%42.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

17%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Renesas Electronics's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Renesas Electronics's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Renesas Electronics is loss making, we can't compare its value to the US Semiconductor industry average.

Renesas Electronics is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Renesas Electronics, we can't assess if its growth is good value.


Price Based on Value of Assets

Renesas Electronics is good value based on assets compared to the US Semiconductor industry average.


Next Steps

Future Growth

How is Renesas Electronics expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

32.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

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

Renesas Electronics's earnings are expected to grow significantly at over 20% yearly.

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

Renesas Electronics's earnings growth is expected to exceed the United States of America market average.

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Renesas Electronics performed over the past 5 years?

-5.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Renesas Electronics does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Renesas Electronics's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Renesas Electronics's 1-year growth to the US Semiconductor industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Renesas Electronics has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

Renesas Electronics used its assets less efficiently than the US Semiconductor industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if Renesas Electronics improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Renesas Electronics's financial position?


Financial Position Analysis

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

Renesas Electronics's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Renesas Electronics's level of debt (139.7%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (116.3% vs 139.7% today).

Debt is well covered by operating cash flow (21.9%, greater than 20% of total debt).

Renesas Electronics is making a loss, therefore interest payments are not well covered by earnings.


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.4x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Renesas Electronics's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Renesas Electronics's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Renesas Electronics has not reported any payouts.

Unable to verify if Renesas Electronics's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Renesas Electronics has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Renesas Electronics's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Renesas Electronics's salary, the management and board of directors tenure and is there insider trading?

0.4yrs

Average management tenure


CEO

Hidetoshi Shibata (47yo)

0.2yrs

Tenure

0

Mr. Hidetoshi Shibata has been Chief Financial Officer and Executive Vice President of Renesas Electronics Singapore Pte. Ltd. since November 1, 2013 and served as its Managing Executive Officer. Mr. Shiba ...


Management Age and Tenure

0.4yrs

Average Tenure

52yo

Average Age

The average tenure for the Renesas Electronics management team is less than 2 years, this suggests a new team.


Board Age and Tenure

1.5yrs

Average Tenure

61.5yo

Average Age

The average tenure for the Renesas Electronics 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

  • Hidetoshi Shibata (47yo)

    President

    • Tenure: 0.2yrs
  • Sailesh Chittipeddi (56yo)

    Executive VP and GM of IoT & Infrastructure Business Unit

    • Tenure: 0.4yrs
  • Roger Wendelken (52yo)

    Senior VP and Head of MCU Business

    • Tenure: 0.4yrs
  • Shingo Yamamoto (53yo)

    Executive VP & GM of Automotive Solution Business Unit

    • Tenure: 1.5yrs
  • Shinichi Yoshioka

    Senior VP & CTO

    • Tenure: 0.08yrs
  • Chris Allexandre (44yo)

    Senior VP and Head of Sales

    • Tenure: 0.4yrs
  • Masahiko Nozaki

    Executive VP and GM of Production & Technology Unit

    • Tenure: 0.4yrs
  • Olav Schulte (52yo)

    Senior VP & Deputy GM of Automotive Solution Business Unit

    • Tenure: 1.2yrs
  • Shuhei Shinkai

    Senior VP & CFO

    • Tenure: 0.08yrs
  • Jason Hall

    Senior VP & CLO

    • Tenure: 2.2yrs

Board Members

  • Jiro Iwasaki (74yo)

    Outside Director

    • Tenure: 0yrs
  • Hidetoshi Shibata (47yo)

    President

    • Tenure: 0.2yrs
  • Tetsuya Tsurumaru (65yo)

    Chairrman

    • Tenure: 0yrs
  • Kazuki Fukuda (69yo)

    Full-Time Corporate Auditor

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

    Part-Time Corporate Auditor

    • Tenure: 0yrs
  • Kazuyoshi Yamazaki (70yo)

    Part-Time Corporate Auditor

    • Tenure: 0yrs
  • Tetsuro Toyoda (57yo)

    Outside Director

    • Tenure: 5.6yrs
  • Noboru Yamamoto (57yo)

    Part-Time Outside Corporate Auditor

    • Tenure: 1.5yrs
  • Yukiko Nakagawa

    Outside Director

    • Tenure: 0.5yrs
  • Kyoko Okumiya

    Outside Director

    • Tenure: 0.5yrs

Company Information

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


Key Information

  • Name: Renesas Electronics Corporation
  • Ticker: RNEC.Y
  • Exchange: OTCPK
  • Founded: 2002
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: JP¥1.214t
  • Listing Market Cap: JP¥11.232b
  • Shares outstanding: 1.70b
  • Website: https://www.renesas.com

Number of Employees


Location

  • Renesas Electronics Corporation
  • TOYOSU FORESIA
  • 3-2-24 Toyosu
  • Tokyo
  • 135-0061
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6723TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJul 2003
NENDB (Deutsche Boerse AG)YesCommon StockDEEURJul 2003
RNEC.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJul 2003
RNEC NBMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJul 2003
RNEC.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDSep 2003

Biography

Renesas Electronics Corporation, together with its subsidiaries, researches, develops, designs, manufactures, sells, and services semiconductors in Japan, North America, Europe, and Asia. The company offer ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/14 23:55
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.