OTCPK:NPPR.F

Stock Analysis Report

Executive Summary

Nippon Ceramic Co., Ltd. researches, develops, manufactures, and sells various sensors, modules, electronic components, and other products in Japan.


Snowflake Analysis

Flawless balance sheet second-rate dividend payer.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: NPPR.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

NPPR.F

1.7%

US Electronic

1.5%

US Market


1 Year Return

n/a

NPPR.F

10.4%

US Electronic

20.1%

US Market

Return vs Industry: Insufficient data to determine how NPPR.F performed against the US Electronic industry.

Return vs Market: Insufficient data to determine how NPPR.F performed against the US Market.


Shareholder returns

NPPR.FIndustryMarket
7 Day0%1.7%1.5%
30 Day0%-4.7%1.4%
90 Day0%2.4%8.7%
1 Yearn/a11.5%10.4%22.7%20.1%
3 Year35.8%35.8%37.4%33.6%50.1%40.5%
5 Yearn/a70.5%62.1%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Nippon Ceramic undervalued compared to its fair value and its price relative to the market?

24.3x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NPPR.F ($25.5) is trading above our estimate of fair value ($19.6)

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


Price To Earnings Ratio

PE vs Industry: NPPR.F is poor value based on its PE Ratio (24.3x) compared to the Electronic industry average (21x).

PE vs Market: NPPR.F is poor value based on its PE Ratio (24.3x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: NPPR.F is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: NPPR.F is good value based on its PB Ratio (1.3x) compared to the US Electronic industry average (2x).


Next Steps

Future Growth

How is Nippon Ceramic forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

11.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NPPR.F's forecast earnings growth (11.1% per year) is above the savings rate (1.7%).

Earnings vs Market: NPPR.F's earnings (11.1% per year) are forecast to grow slower than the US market (14.4% per year).

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

Revenue vs Market: NPPR.F's revenue (9.3% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: NPPR.F's revenue (9.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NPPR.F's Return on Equity is forecast to be low in 3 years time (7.2%).


Next Steps

Past Performance

How has Nippon Ceramic performed over the past 5 years?

14.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NPPR.F has high quality earnings.

Growing Profit Margin: NPPR.F's current net profit margins (14.7%) are lower than last year (15%).


Past Earnings Growth Analysis

Earnings Trend: NPPR.F's earnings have grown by 14.5% per year over the past 5 years.

Accelerating Growth: NPPR.F's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NPPR.F had negative earnings growth (-7.1%) over the past year, making it difficult to compare to the Electronic industry average (15.4%).


Return on Equity

High ROE: NPPR.F's Return on Equity (5.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Nippon Ceramic's financial position?


Financial Position Analysis

Short Term Liabilities: NPPR.F's short term assets (¥44.1B) exceed its short term liabilities (¥3.6B).

Long Term Liabilities: NPPR.F's short term assets (¥44.1B) exceed its long term liabilities (¥274.0M).


Debt to Equity History and Analysis

Debt Level: NPPR.F's debt to equity ratio (0.2%) is considered satisfactory.

Reducing Debt: NPPR.F's debt to equity ratio has reduced from 17.5% to 0.2% over the past 5 years.

Debt Coverage: NPPR.F's debt is well covered by operating cash flow (5221.8%).

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


Balance Sheet

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

Debt Coverage by Assets: NPPR.F's debt is covered by short term assets (assets are 565.3x debt).


Next Steps

Dividend

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

2.85%

Current Dividend Yield


Dividend Yield vs Market

company2.9%marketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Years2.4%

Current dividend yield vs market & industry

Notable Dividend: NPPR.F's dividend (2.85%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: NPPR.F's dividend (2.85%) is low compared to the top 25% of dividend payers in the US market (3.74%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.5%), NPPR.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

How experienced are the management team and are they aligned to shareholders interests?

3.1yrs

Average management tenure


CEO

Shinichi Taniguchi (46yo)

0

Mr. Shinichi Taniguchi serves as the Chief Executive Officer, Representative Director and has been President of Nippon Ceramic Co., Ltd. since February 2014. and has been its Executive Officer since March  ...


Leadership Team

NamePositionTenureCompensationOwnership
Shinichi Taniguchi
Chief Executive Officer0yrsno data1.66% ¥9.9m
Takashi Fukui
Executive Officer0yrsno datano data
Sawako Fujiwara
Chief of Office for President IR Office & Executive Officer0yrsno datano data
Kiyoshi Honjo
Executive Officer0yrsno datano data
Jun Kondo
Executive Officer7.9yrsno datano data
Tetsuo Tokuyoshi
Executive Officer3.1yrsno datano data
Makoto Takaguchi
Executive Officer1.9yrsno datano data

3.1yrs

Average Tenure

Experienced Management: NPPR.F's management team is considered experienced (3.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Shinichi Taniguchi
Chief Executive Officer0yrsno data1.66% ¥9.9m
Haruko Kawasaki
Director6.9yrsno data1.68% ¥10.0m
Eiki Fujiwara
Director3.9yrsno data0.0037% ¥22.3k
Yasuaki Tamura
Member of Audit & Supervisory Board3.9yrsno datano data
Tomoaki Seko
Member of Audit & Supervisory Board5.9yrsno datano data
Koichi Ikehara
Member of Audit & Supervisory Board4.9yrsno datano data
Kazuhito Ichikawa
Member of Audit & Supervisory Board3.9yrsno datano data

4.9yrs

Average Tenure

48yo

Average Age

Experienced Board: NPPR.F's board of directors are considered experienced (4.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Nippon Ceramic Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nippon Ceramic Co., Ltd.
  • Ticker: NPPR.F
  • Exchange: OTCPK
  • Founded: 1975
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: JP¥65.479b
  • Listing Market Cap: JP¥595.987m
  • Shares outstanding: 26.67m
  • Website: https://www.nicera.co.jp

Number of Employees


Location

  • Nippon Ceramic Co., Ltd.
  • 176-17, Hirooka
  • Tottori
  • Tottori
  • 689-1193
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NPPR.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
6929TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992

Biography

Nippon Ceramic Co., Ltd. researches, develops, manufactures, and sells various sensors, modules, electronic components, and other products in Japan. The company primarily offers ceramics and semiconductor materials, which are used to make infrared sensors to protect property and life, ultrasonic sensors for care safety and theft prevention, gas sensors to maintain a clean environment, etc. Its products are also used as electronic components for computer and mobile communications. The company’s products include infrared sensors, such as pyrosensors and thermopile sensors; ultrasonic sensors consisting of open and closed aperture types; module products, including sensor lights, home fire alarms, motion detectors, lighting inverters, LED modules, etc.; ferrite products comprising low loss, high µi, low distortion, wide temperature, high B, and communication system (LAN) materials; and current sensors, such as PC board mount and bus-bar type sensors. The company also offers transformers and high voltage units; gas sensors; InSb and GaAs type hall elements, and hall ICs; and sensor application planning products. It serves household equipment and plant facilities, automobile, home electronics and office automation equipment, and electronics sectors. Nippon Ceramic Co., Ltd. was founded in 1975 and is headquartered in Tottori, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/12 00:12
End of Day Share Price2019/11/14 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.