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Denki KogyoLtd

OTCPK:DKKG.F
Snowflake Description

Excellent balance sheet and overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DKKG.F
OTCPK
¥40B
Market Cap
  1. Home
  2. US
  3. Tech
Company description

Denki Kogyo Co.,Ltd. manufactures and sells telecommunication and radio frequency equipment in Japan and internationally. The last earnings update was 39 days ago. More info.


Add to Portfolio Compare Print
  • Denki KogyoLtd has significant price volatility in the past 3 months.
DKKG.F Share Price and Events
7 Day Returns
0%
OTCPK:DKKG.F
-1%
US Communications
-1.1%
US Market
1 Year Returns
-
OTCPK:DKKG.F
16.9%
US Communications
6.4%
US Market
DKKG.F Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Denki KogyoLtd (DKKG.F) 0% 37% - - - -
US Communications -1% 3.8% 25% 16.9% 77.2% 85.7%
US Market -1.1% 0.3% 17.2% 6.4% 37.9% 42.1%
1 Year Return vs Industry and Market
  • No trading data on DKKG.F.
  • No trading data on DKKG.F.
Price Volatility
DKKG.F
Industry
5yr Volatility vs Market
Related Companies

Sorry, no analysis for Denki KogyoLtd's competitors could be found in our database.

Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Denki KogyoLtd to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Denki KogyoLtd.

OTCPK:DKKG.F Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OTCPK:DKKG.F
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Communications Unlevered Beta Simply Wall St/ S&P Global 1.08
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.084 (1 + (1- 30.86%) (2.12%))
1.067
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.07
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.067 * 5.96%)
9.09%

Discounted Cash Flow Calculation for OTCPK:DKKG.F using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Denki KogyoLtd is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OTCPK:DKKG.F DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (JPY, Millions) Source Present Value
Discounted (@ 9.09%)
2019 1,701.94 Est @ 4.21% 1,560.14
2020 1,766.02 Est @ 3.77% 1,484.01
2021 1,827.02 Est @ 3.45% 1,407.37
2022 1,886.17 Est @ 3.24% 1,331.88
2023 1,944.36 Est @ 3.09% 1,258.58
2024 2,002.27 Est @ 2.98% 1,188.09
2025 2,060.41 Est @ 2.9% 1,120.73
2026 2,119.17 Est @ 2.85% 1,056.66
2027 2,178.83 Est @ 2.82% 995.89
2028 2,239.61 Est @ 2.79% 938.39
Present value of next 10 years cash flows ¥12,341.74
OTCPK:DKKG.F DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ¥2,239.61 × (1 + 2.73%) ÷ (9.09% – 2.73%)
¥36,183.91
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ¥36,183.91 ÷ (1 + 9.09%)10
¥15,160.92
OTCPK:DKKG.F Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ¥12,341.74 + ¥15,160.92
¥27,502.66
Equity Value per Share
(JPY)
= Total value / Shares Outstanding
= ¥27,502.66 / 12.22
¥2250.75
OTCPK:DKKG.F Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in OTCPK:DKKG.F represents 0.00929x of TSE:6706
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.00929x
Value per Share
(Listing Adjusted, USD)
= Value per Share (JPY) x Listing Adjustment Factor
= ¥ 2,250.75 x 0.00929
$20.91
Value per share (USD) From above. $20.91
Current discount Discount to share price of $30.15
= -1 x ($30.15 - $20.91) / $20.91
-44.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Denki KogyoLtd is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Denki KogyoLtd's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Denki KogyoLtd's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OTCPK:DKKG.F PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in JPY ¥107.45
TSE:6706 Share Price ** TSE (2019-03-18) in JPY ¥3245
United States of America Communications Industry PE Ratio Median Figure of 34 Publicly-Listed Communications Companies 29.74x
United States of America Market PE Ratio Median Figure of 3,062 Publicly-Listed Companies 17.16x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Denki KogyoLtd.

OTCPK:DKKG.F PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSE:6706 Share Price ÷ EPS (both in JPY)

= 3245 ÷ 107.45

30.2x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Denki KogyoLtd is overvalued based on earnings compared to the US Communications industry average.
  • Denki KogyoLtd is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Denki KogyoLtd's expected growth come at a high price?
Raw Data
OTCPK:DKKG.F PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 30.2x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
11%per year
United States of America Communications Industry PEG Ratio Median Figure of 21 Publicly-Listed Communications Companies 1.25x
United States of America Market PEG Ratio Median Figure of 2,105 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

OTCPK:DKKG.F PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 30.2x ÷ 11%

2.74x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Denki KogyoLtd is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Denki KogyoLtd's assets?
Raw Data
OTCPK:DKKG.F PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in JPY ¥3,625.15
TSE:6706 Share Price * TSE (2019-03-18) in JPY ¥3245
United States of America Communications Industry PB Ratio Median Figure of 68 Publicly-Listed Communications Companies 1.83x
United States of America Market PB Ratio Median Figure of 5,165 Publicly-Listed Companies 1.85x
OTCPK:DKKG.F PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSE:6706 Share Price ÷ Book Value per Share (both in JPY)

= 3245 ÷ 3,625.15

0.9x

* Primary Listing of Denki KogyoLtd.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Denki KogyoLtd is good value based on assets compared to the US Communications industry average.
X
Value checks
We assess Denki KogyoLtd's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Communications industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Communications industry average (and greater than 0)? (1 check)
  5. Denki KogyoLtd has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Denki KogyoLtd expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Denki KogyoLtd expected to grow at an attractive rate?
  • Denki KogyoLtd's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Denki KogyoLtd's earnings growth is positive but not above the United States of America market average.
  • Denki KogyoLtd's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
OTCPK:DKKG.F Future Growth Rates Data Sources
Data Point Source Value (per year)
OTCPK:DKKG.F Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 11%
OTCPK:DKKG.F Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 4.1%
United States of America Communications Industry Earnings Growth Rate Market Cap Weighted Average 14.8%
United States of America Communications Industry Revenue Growth Rate Market Cap Weighted Average 4.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OTCPK:DKKG.F Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in JPY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OTCPK:DKKG.F Future Estimates Data
Date (Data in JPY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 49,000 5,050 1,750 1
2020-03-31 46,500 4,250 1,450 1
2019-03-31 44,500 3,913 1,450 1
OTCPK:DKKG.F Past Financials Data
Date (Data in JPY Millions) Revenue Cash Flow Net Income *
2018-12-31 45,067 1,313
2018-09-30 44,206 1,239 1,124
2018-06-30 43,890 989
2018-03-31 43,022 2,398 804
2017-12-31 42,282 1,397
2017-09-30 41,334 3,241 950
2017-06-30 41,095 903
2017-03-31 39,906 956 543
2016-12-31 40,418 198
2016-09-30 42,042 3,128 516
2016-06-30 42,492 735
2016-03-31 45,647 3,268 1,469

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Denki KogyoLtd's earnings are expected to grow by 11% yearly, however this is not considered high growth (20% yearly).
  • Denki KogyoLtd's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OTCPK:DKKG.F Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Denki KogyoLtd Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:DKKG.F Future Estimates Data
Date (Data in JPY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 143.20 143.20 143.20 1.00
2020-03-31 118.70 118.70 118.70 1.00
2019-03-31 118.70 118.70 118.70 1.00
OTCPK:DKKG.F Past Financials Data
Date (Data in JPY Millions) EPS *
2018-12-31 107.45
2018-09-30 91.98
2018-06-30 80.93
2018-03-31 65.79
2017-12-31 114.37
2017-09-30 77.84
2017-06-30 74.06
2017-03-31 44.59
2016-12-31 16.20
2016-09-30 42.01
2016-06-30 59.54
2016-03-31 118.39

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Denki KogyoLtd will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Denki KogyoLtd's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Denki KogyoLtd has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Denki KogyoLtd performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Denki KogyoLtd's growth in the last year to its industry (Communications).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Denki KogyoLtd's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Denki KogyoLtd's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Denki KogyoLtd's 1-year earnings growth is negative, it can't be compared to the US Communications industry average.
Earnings and Revenue History
Denki KogyoLtd's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Denki KogyoLtd Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:DKKG.F Past Revenue, Cash Flow and Net Income Data
Date (Data in JPY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 45,067.00 1,313.00 5,093.00 666.00
2018-09-30 44,206.00 1,124.00 5,123.00 666.00
2018-06-30 43,890.00 989.00 5,058.00 666.00
2018-03-31 43,022.00 804.00 5,019.00 666.00
2017-12-31 42,282.00 1,397.00 5,033.00 797.00
2017-09-30 41,334.00 950.00 4,957.00 797.00
2017-06-30 41,095.00 903.00 4,791.00 797.00
2017-03-31 39,906.00 543.00 4,731.00 797.00
2016-12-31 40,418.00 198.00 4,832.00 569.00
2016-09-30 42,042.00 516.00 4,744.00 569.00
2016-06-30 42,492.00 735.00 4,695.00 569.00
2016-03-31 45,647.00 1,469.00 4,580.00 569.00
2015-12-31 47,587.00 2,079.00 5,106.00
2015-09-30 48,613.00 2,400.00 5,059.00
2015-06-30 48,456.00 2,513.00 5,064.00
2015-03-31 47,541.00 2,326.00 5,042.00
2014-12-31 46,898.00 1,514.00 5,088.00
2014-09-30 47,554.00 1,887.00 5,104.00
2014-06-30 49,077.00 2,302.00 4,957.00
2014-03-31 48,504.00 6,216.00 4,874.00
2013-12-31 47,104.00 6,779.00 5,067.00
2013-09-30 44,542.00 6,260.00 5,040.00
2013-06-30 41,867.00 5,648.00 5,107.00
2013-03-31 40,869.00 1,496.00 5,256.00
2012-12-31 38,156.00 2,971.00 5,015.00
2012-09-30 37,752.00 2,261.00 4,974.00
2012-06-30 36,686.00 2,388.00 4,896.00
2012-03-31 36,038.00 1,869.00 4,833.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Denki KogyoLtd has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Denki KogyoLtd used its assets less efficiently than the US Communications industry average last year based on Return on Assets.
  • Denki KogyoLtd's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Denki KogyoLtd's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Communications industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Denki KogyoLtd has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Denki KogyoLtd's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Denki KogyoLtd's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Denki KogyoLtd is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Denki KogyoLtd's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Denki KogyoLtd's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 50.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Denki KogyoLtd Company Filings, last reported 2 months ago.

OTCPK:DKKG.F Past Debt and Equity Data
Date (Data in JPY Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 45,274.00 841.00 18,161.00
2018-09-30 45,132.00 723.00 18,123.00
2018-06-30 44,845.00 348.00 18,946.00
2018-03-31 45,521.00 449.00 18,444.00
2017-12-31 45,375.00 406.00 18,380.00
2017-09-30 44,418.00 594.00 19,269.00
2017-06-30 44,065.00 538.00 20,623.00
2017-03-31 44,805.00 950.00 19,743.00
2016-12-31 43,503.00 1,727.00 18,332.00
2016-09-30 42,538.00 2,197.00 21,049.00
2016-06-30 42,303.00 1,955.00 22,815.00
2016-03-31 44,407.00 1,638.00 22,410.00
2015-12-31 45,420.00 1,527.00 19,918.00
2015-09-30 44,613.00 1,410.00 19,394.00
2015-06-30 45,166.00 1,424.00 17,803.00
2015-03-31 45,549.00 1,346.00 20,993.00
2014-12-31 44,567.00 1,352.00 22,137.00
2014-09-30 43,421.00 1,596.00 25,059.00
2014-06-30 43,015.00 1,253.00 27,867.00
2014-03-31 43,553.00 774.00 25,057.00
2013-12-31 43,668.00 681.00 19,761.00
2013-09-30 43,252.00 691.00 20,966.00
2013-06-30 42,421.00 710.00 23,725.00
2013-03-31 38,752.00 672.00 25,184.00
2012-12-31 37,528.00 1,271.00 25,004.00
2012-09-30 36,728.00 532.00 24,814.00
2012-06-30 36,626.00 1,466.00 25,842.00
2012-03-31 37,316.00 489.00 24,147.00
  • Denki KogyoLtd's level of debt (1.9%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (1.6% vs 1.9% today).
  • Debt is well covered by operating cash flow (147.3%, greater than 20% of total debt).
  • Denki KogyoLtd earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Denki KogyoLtd's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Denki KogyoLtd has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.39%
Current annual income from Denki KogyoLtd dividends. Estimated to be 1.49% next year.
If you bought $2,000 of Denki KogyoLtd shares you are expected to receive $28 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Denki KogyoLtd's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
  • Denki KogyoLtd's dividend is below the markets top 25% of dividend payers in United States of America (3.72%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OTCPK:DKKG.F Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
United States of America Communications Industry Average Dividend Yield Market Cap Weighted Average of 14 Stocks 2.4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2003 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OTCPK:DKKG.F Future Dividends Estimate Data
Date (Data in ¥) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 55.00 1.00
2020-03-31 45.00 1.00
2019-03-31 45.00 1.00
OTCPK:DKKG.F Past Annualized Dividends Data
Date (Data in ¥) Dividend per share (annual) Avg. Yield (%)
2018-06-29 45.000 1.563
2018-05-11 45.000 1.397
2017-06-30 45.000 1.502
2017-05-12 45.000 1.598
2016-06-30 75.000 2.779
2016-05-13 75.000 3.126
2015-06-29 75.000 2.835
2015-05-15 75.000 2.542
2014-06-30 75.000 2.632
2014-05-14 75.000 2.511
2013-11-08 70.000 2.084
2013-06-27 45.000 1.543
2013-05-14 50.000 1.892
2013-02-08 35.000 1.655
2012-11-09 35.000 1.915
2012-08-10 35.000 2.093
2012-06-28 25.000 1.305
2012-05-14 35.000 1.987
2012-02-10 25.000 1.274
2011-11-11 25.000 1.596
2011-08-12 25.000 1.668
2011-06-29 35.000 2.004
2011-05-13 35.000 2.031
2011-02-10 30.000 1.513
2010-11-05 50.000 2.580
2010-08-06 50.000 2.706
2010-06-29 50.000 2.507
2010-05-14 50.000 2.472
2010-02-10 85.000 3.559
2009-11-06 85.000 4.283
2009-06-26 85.000 3.693
2009-05-15 85.000 3.441
2009-03-26 150.000 5.646

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of Denki KogyoLtd's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.4x 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.
X
Income/ dividend checks
We assess Denki KogyoLtd's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Denki KogyoLtd afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Denki KogyoLtd has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mikio Matsuzawa
AGE 70
TENURE AS CEO 5.3 years
CEO Bio

Mr. Mikio Matsuzawa has been the President of Denki Kogyo Co., Ltd. since November 2013. Mr. Matsuzawa served as Vice President at Denki Kogyo Co., Ltd. since June 2001. He joined Denki Kogyo Co., Ltd. in April 1971 and served as its Chief Secretariat since April 1984 and Senior Managing Director since June 2000. He served as Vice Chairman of Denki Kogyo Co., Ltd. since June 2007 and has been its Representative Director since June 2001 and previously served as its Director since June 1995.

CEO Compensation
  • Insufficient data for Mikio to compare compensation growth.
  • Insufficient data for Mikio to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Denki KogyoLtd management team in years:

5
Average Tenure
57
Average Age
  • The average tenure for the Denki KogyoLtd management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Mikio Matsuzawa

TITLE
President and Representative Director
AGE
70
TENURE
5.3 yrs

Katsuaki Kasai

TITLE
Senior Exec. Managing Officer & Representative Director
AGE
58
TENURE
6.3 yrs

Tsuyoshi Shimoda

TITLE
Exec. Officer
AGE
54
TENURE
5.8 yrs

Shunichi Nishizawa

TITLE
Exec. offcr
TENURE
3.8 yrs

Tsutomu Hisano

TITLE
Exec. Officer
TENURE
4.7 yrs

Kazuhiro Ito

TITLE
Executive Managing Officer & Director
AGE
56
TENURE
3.7 yrs
Board of Directors Tenure

Average tenure and age of the Denki KogyoLtd board of directors in years:

12.8
Average Tenure
58
Average Age
  • The average tenure for the Denki KogyoLtd board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Mikio Matsuzawa

TITLE
President and Representative Director
AGE
70
TENURE
17.8 yrs

Katsuaki Kasai

TITLE
Senior Exec. Managing Officer & Representative Director
AGE
58
TENURE
7.8 yrs

Tsuyoshi Shimoda

TITLE
Exec. Officer
AGE
54
TENURE
5.8 yrs

Shunichi Nishizawa

TITLE
Exec. offcr

Tsutomu Hisano

TITLE
Exec. Officer

Kazuhiro Ito

TITLE
Executive Managing Officer & Director
AGE
56

Yo Ota

TITLE
Outside Director
AGE
51
TENURE
13.8 yrs

Masahide Susa

TITLE
Outside Director

Masatoshi Onishi

TITLE
Corporate Auditor
AGE
68
TENURE
11.8 yrs

Shoji Kobayashi

TITLE
Outside Corporate Auditor
AGE
63
TENURE
15.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Denki KogyoLtd's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Denki KogyoLtd has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Denki Kogyo Co.,Ltd. manufactures and sells telecommunication and radio frequency equipment in Japan and internationally. The company’s Telecommunication division offers mobile communication infrastructure systems, including cellular base station antennas, smaller size antennas, products for mobile WiMAX, peripheral devices, and mobile communications towers, as well as provides cellular base station construction and maintenance services; and broadcasting products, such as broadcasting and microwave antennas, medium and short wave antennas, gap fillers, towers, shelters, power supply apparatus, and FPU rotators, as well as provides broadcasting construction and maintenance services. This division also offers data communications products comprising regional WiMAX products, microwave network antennas, and satellite telecommunication products; and energy products consisting of wind towers, mounting structures for solar power panels, and mounting structures for secondary batteries. Its Radio Frequency division provides induction heating equipment, including hardening and tempering equipment, and high frequency generators; RF applied equipment, such as high power RF amplifier systems, and RF power generators for plasma excitation and induction heating; vacuum furnaces; and IH heat-treatment processing products. Denki Kogyo Co.,Ltd. was founded in 1950 and is headquartered in Tokyo, Japan.

Details
Name: Denki Kogyo Co.,Ltd.
DKKG.F
Exchange: OTCPK
Founded: 1950
¥361,012,255
12,219,347
Website: http://www.denkikogyo.co.jp
Address: Denki Kogyo Co.,Ltd.
Shin-Tokyo Building,
7th Floor,
Tokyo,
100-0005,
Japan
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSE 6706 Common Shares The Tokyo Stock Exchange JP JPY 06. Jan 1992
OTCPK DKKG.F Common Shares Pink Sheets LLC US USD 06. Jan 1992
Number of employees
Current staff
Staff numbers
1,257
Denki KogyoLtd employees.
Industry
Communications Equipment
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/25 00:07
End of day share price update: 2019/03/18 00:00
Last estimates confirmation: 2019/03/06
Last earnings filing: 2019/02/14
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.