Buy Or Sell Opportunity • Apr 09
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 14% to JP¥2,331. The fair value is estimated to be JP¥2,946, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 13%. For the next 3 years, revenue is forecast to grow by 8.9% per annum. Earnings are also forecast to grow by 12% per annum over the same time period. Price Target Changed • Apr 01
Price target increased by 8.0% to JP¥3,088 Up from JP¥2,860, the current price target is an average from 4 analysts. New target price is 39% above last closing price of JP¥2,221. Stock is up 23% over the past year. The company posted earnings per share of JP¥162 last year. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥29.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 25 June 2026. Payout ratio is a comfortable 40% but the company is paying out more than the cash it is generating. Trailing yield: 2.7%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Buy Or Sell Opportunity • Mar 19
Now 23% undervalued after recent price drop Over the last 90 days, the stock has fallen 16% to JP¥2,302. The fair value is estimated to be JP¥2,978, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 13%. For the next 3 years, revenue is forecast to grow by 9.0% per annum. Earnings are also forecast to grow by 12% per annum over the same time period. Duyuru • Mar 04
Dexerials Corporation to Report Fiscal Year 2026 Results on May 13, 2026 Dexerials Corporation announced that they will report fiscal year 2026 results at 3:30 PM, Tokyo Standard Time on May 13, 2026 Buy Or Sell Opportunity • Mar 03
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 23% to JP¥2,357. The fair value is estimated to be JP¥2,975, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 13%. For the next 3 years, revenue is forecast to grow by 8.9% per annum. Earnings are also forecast to grow by 12% per annum over the same time period. Buy Or Sell Opportunity • Feb 13
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 24% to JP¥2,244. The fair value is estimated to be JP¥2,943, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 13%. For the next 3 years, revenue is forecast to grow by 9.1% per annum. Earnings are also forecast to grow by 12% per annum over the same time period. Reported Earnings • Feb 10
Third quarter 2026 earnings released: EPS: JP¥46.57 (vs JP¥43.69 in 3Q 2025) Third quarter 2026 results: EPS: JP¥46.57 (up from JP¥43.69 in 3Q 2025). Revenue: JP¥29.8b (up 8.4% from 3Q 2025). Net income: JP¥7.86b (up 4.8% from 3Q 2025). Profit margin: 26% (in line with 3Q 2025). Revenue is forecast to grow 9.1% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has increased by 39% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Feb 10
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥2,487, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 16x in the Electronic industry in Japan. Total returns to shareholders of 187% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,939 per share. Price Target Changed • Jan 06
Price target increased by 11% to JP¥2,800 Up from JP¥2,520, the current price target is an average from 5 analysts. New target price is approximately in line with last closing price of JP¥2,692. Stock is up 14% over the past year. The company is forecast to post earnings per share of JP¥160 for next year compared to JP¥162 last year. Declared Dividend • Dec 19
First half dividend of JP¥29.00 announced Shareholders will receive a dividend of JP¥29.00. Ex-date: 30th March 2026 Payment date: 25th June 2026 Dividend yield will be 2.1%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by earnings (41% earnings payout ratio) but not covered by cash flows (227% cash payout ratio). The dividend has increased by an average of 12% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 48% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Major Estimate Revision • Dec 04
Consensus EPS estimates increase by 22% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has improved. 2026 revenue forecast increased from JP¥108.7b to JP¥112.9b. EPS estimate increased from JP¥140 to JP¥171 per share. Net income forecast to grow 6.4% next year vs 11% growth forecast for Electronic industry in Japan. Consensus price target up from JP¥2,520 to JP¥2,680. Share price rose 3.8% to JP¥3,054 over the past week. Duyuru • Dec 02
Dexerials Corporation to Report Q3, 2026 Results on Feb 09, 2026 Dexerials Corporation announced that they will report Q3, 2026 results on Feb 09, 2026 Buy Or Sell Opportunity • Nov 17
Now 26% overvalued after recent price rise Over the last 90 days, the stock has risen 57% to JP¥3,309. The fair value is estimated to be JP¥2,629, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 13%. For the next 3 years, revenue is forecast to grow by 7.9% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Reported Earnings • Nov 14
Second quarter 2026 earnings released: EPS: JP¥46.47 (vs JP¥53.27 in 2Q 2025) Second quarter 2026 results: EPS: JP¥46.47 (down from JP¥53.27 in 2Q 2025). Revenue: JP¥31.3b (down 3.5% from 2Q 2025). Net income: JP¥7.85b (down 14% from 2Q 2025). Profit margin: 25% (down from 28% in 2Q 2025). Revenue is forecast to grow 7.9% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has increased by 39% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Nov 13
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 8.2% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (8.2% average weekly change). Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Valuation Update With 7 Day Price Move • Nov 13
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to JP¥2,863, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 15x in the Electronic industry in Japan. Total returns to shareholders of 178% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,625 per share. New Risk • Sep 27
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (5.0% average weekly change). Upcoming Dividend • Sep 22
Upcoming dividend of JP¥29.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 18 December 2025. Payout ratio is a comfortable 37% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Duyuru • Sep 02
Dexerials Corporation to Report Q2, 2026 Results on Nov 12, 2025 Dexerials Corporation announced that they will report Q2, 2026 results on Nov 12, 2025 Reported Earnings • Aug 07
First quarter 2026 earnings released: EPS: JP¥33.14 (vs JP¥38.98 in 1Q 2025) First quarter 2026 results: EPS: JP¥33.14 (down from JP¥38.98 in 1Q 2025). Revenue: JP¥26.1b (down 3.8% from 1Q 2025). Net income: JP¥5.57b (down 17% from 1Q 2025). Profit margin: 21% (down from 25% in 1Q 2025). Revenue is forecast to grow 7.7% p.a. on average during the next 3 years, compared to a 6.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 15% per year whereas the company’s share price has increased by 17% per year. Price Target Changed • Jul 31
Price target decreased by 11% to JP¥2,375 Down from JP¥2,679, the current price target is an average from 4 analysts. New target price is 8.1% above last closing price of JP¥2,198. Stock is down 3.7% over the past year. The company is forecast to post earnings per share of JP¥138 for next year compared to JP¥162 last year. Board Change • Jul 23
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Senior Managing Executive Officer, Corporate Strategy Division Head & Director Katsushi Kitajo was the last director to join the board, commencing their role in 2025. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Declared Dividend • Jul 09
Final dividend of JP¥29.00 announced Shareholders will receive a dividend of JP¥29.00. Ex-date: 29th September 2025 Payment date: 18th December 2025 Dividend yield will be 3.0%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (31% earnings payout ratio) and cash flows (39% cash payout ratio). The dividend has increased by an average of 12% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 20% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 27
Full year 2025 earnings: Revenues and EPS in line with analyst expectations Full year 2025 results: EPS: JP¥162 (up from JP¥123 in FY 2024). Revenue: JP¥110.4b (up 4.9% from FY 2024). Net income: JP¥27.7b (up 30% from FY 2024). Profit margin: 25% (up from 20% in FY 2024). The increase in margin was primarily driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 7.0% p.a. on average during the next 3 years, compared to a 6.1% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has increased by 24% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Jun 24
Dexerials Corporation Announces Representative Director Changes, Effective June 24, 2025 Dexerials Corporation announced that the Board of Directors passed a resolution at the meeting held on June 24, 2025, regarding the change of Representative Director. The reason for the changes is to strengthen corporate governance under the new management structure, while accelerating the execution of the Mid-Term Management Plan and individual business strategies, aiming to enhance corporate value over the medium to long term. The new appointment is Katsushi Kitajo as Representative Director, succeeding Toshiya Satake who retired from the position. Katsushi Kitajo was born on August 25, 1967. His career includes joining the Japan Development Bank (current Development Bank of Japan Inc.) in April 1990, serving as CEO of DBJ Singapore Limited in June 2014, Head of Business Development Department at Development Bank of Japan Inc. in June 2017, Executive Officer and Head of Human Resources Management Department at Development Bank of Japan Inc. in June 2019, Managing Executive Officer at Development Bank of Japan Inc. and Outside Director at Socionext Inc. in June 2021, Director and Managing Executive Officer at Development Bank of Japan Inc. in June 2022, Advisor at the Company in July 2024, and Executive Officer, Corporate Strategy Division Head at the Company from January 2025 to present. New Risk • Jun 16
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.1% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.1% per year for the foreseeable future. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (8.5% average weekly change). Duyuru • Jun 05
Dexerials Corporation to Report Q1, 2026 Results on Aug 05, 2025 Dexerials Corporation announced that they will report Q1, 2026 results on Aug 05, 2025 New Risk • May 23
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.4% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.4% per year for the foreseeable future. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (9.1% average weekly change). Reported Earnings • May 13
Full year 2025 earnings: Revenues and EPS in line with analyst expectations Full year 2025 results: EPS: JP¥162 (up from JP¥123 in FY 2024). Revenue: JP¥110.4b (up 4.9% from FY 2024). Net income: JP¥27.7b (up 30% from FY 2024). Profit margin: 25% (up from 20% in FY 2024). The increase in margin was primarily driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 4.9% p.a. on average during the next 2 years, compared to a 6.3% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 16% per year whereas the company’s share price has increased by 14% per year. Duyuru • May 12
Dexerials Corporation, Annual General Meeting, Jun 24, 2025 Dexerials Corporation, Annual General Meeting, Jun 24, 2025. Valuation Update With 7 Day Price Move • Apr 04
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥1,588, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 11x in the Electronic industry in Japan. Total returns to shareholders of 61% over the past three years. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥32.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 26 June 2025. Payout ratio is a comfortable 31% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.7%). Duyuru • Mar 18
Dexerials Corporation to Report Fiscal Year 2025 Results on May 12, 2025 Dexerials Corporation announced that they will report fiscal year 2025 results on May 12, 2025 New Risk • Feb 16
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (5.1% average weekly change). Reported Earnings • Feb 13
Third quarter 2025 earnings released: EPS: JP¥43.69 (vs JP¥42.26 in 3Q 2024) Third quarter 2025 results: EPS: JP¥43.69 (up from JP¥42.26 in 3Q 2024). Revenue: JP¥27.5b (down 12% from 3Q 2024). Net income: JP¥7.50b (up 1.8% from 3Q 2024). Profit margin: 27% (up from 24% in 3Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 7.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has increased by 31% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Feb 12
Dexerials Corporation (TSE:4980) announces an Equity Buyback for 3,000,000 shares, representing 1.69% for ¥5,000 million. Dexerials Corporation (TSE:4980) announces a share repurchase program. Under the program, the company will repurchase 3,000,000 shares, representing 1.39% of its share capital, for ¥5,000 million. The company will repurchase its shares in order to improve capital efficiency and enhance shareholder returns as part of implementing capital policy according to the business environment in consideration of factors such as opportunities for strategic investment and the Company’s financial condition. The program will run until March 17, 2025. As of December 31, 2024, the company had 177,771,639 shares outstanding (excluding treasury shares) and 2,900,961 shares in treasury. Duyuru • Feb 04
Restar Corporation (TSE:3156) completed the acquisition of 51% stake in Dexerials Taiwan Corporation from Dexerials Corporation (TSE:4980). Restar Corporation (TSE:3156) agreed to acquire 51% stake in Dexerials Taiwan Corporation from Dexerials Corporation (TSE:4980) for approximately TWD 130 million on September 25, 2024. A cash consideration of TWD 126.99 million will be paid by Restar Corporation. As part of consideration, TWD 126.99 million is paid towards common equity of Dexerials Taiwan Corporation.
For the period ending March 31, 2024, Dexerials Taiwan Corporation reported total revenue of TWD 4.57 billion and EBIT of TWD 202.08 million. As of March 31, 2024, Dexerials Taiwan Corporation reported total assets of TWD 1.75 billion and total common equity of TWD 663.94 million. The transaction is expected to complete on January 1, 2025. The transaction is expected to close on February 3, 2025.
Restar Corporation (TSE:3156) completed the acquisition of 51% stake in Dexerials Taiwan Corporation from Dexerials Corporation (TSE:4980) on February 3, 2025. Duyuru • Dec 26
Dexerials Corporation Announces Executive Changes Dexerials Corporation announced that it will implement the following new appointment of executive officers and organizational reforms, which will take effect on January 1, 2025. Further, Dexerials will appoint a new officer in charge of risk management and special projects to respond to the increasingly uncertain business environment and facilitate Dexerials' evolution toward the establishment of a robust management foundation. Kouji Yamagishi's designation has been changed from Executive Officer, Sustainability Promotion Division Head to Executive Officer, Risk Management and Special Projects. Katsushi Kitajo's designation has been changed from Executive Advisor, Corporate Strategy to Executive Officer, Corporate Strategy Division Head. Executive Officers, Business Unit Heads and Division Heads effective as of January 1, 2025: Yoshihisa Shinya - Representative Director and President, President and Executive Office, Officer in charge of management and business operations; Toshiya Satake - epresentative Director, Senior Managing Executive Officer, Officer in charge of management and administration; Takashi Yoshida - Executive Officer, Production Strategy Division Head; Kozaburo Hayashi - Executive Officer, Global Sales & Marketing Division Head; Kuo-Hua Sung - Executive Officer, Technology Strategy Head, Officer in charge of Dexerials Innovation Group (DIG) Promotio Department; Kentaro Oshima - Executive Officer, Automotive Solutions Business Unit Head; Naoyuki Tsuda - Executive Officer, Human Resources Division Head; Kazuyoshi Terashita - Executive Officer, Business Management Division Head; Kouji Yamagishi - Executive Officer, Risk Management and Special Projects; Kazuya Hayashibe - Executive Officer, Representative Director and President, Dexerials Photonics Solutions Corporation (Planned); Hiroshi Uchida - Executive Officer, Optical Solutions Business Unit Head; Kenji Kamiya - Executive Officer, Connecting Materials Business Unit Head; Katsushi Kitajo - Executive Officer, Corporate Strategy Division Head; and Yoshifumi Ueno - Corporate R&D Division Head. Duyuru • Dec 19
Dexerials Corporation to Report Q3, 2025 Results on Feb 12, 2025 Dexerials Corporation announced that they will report Q3, 2025 results on Feb 12, 2025 Declared Dividend • Dec 19
First half dividend of JP¥26.00 announced Shareholders will receive a dividend of JP¥26.00. Ex-date: 28th March 2025 Payment date: 26th June 2025 Dividend yield will be 4.3%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (30% earnings payout ratio) and cash flows (29% cash payout ratio). The dividend has increased by an average of 12% per year over the past 9 years. However, payments have been volatile during that time. EPS is expected to grow by 13% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 15
Second quarter 2025 earnings released: EPS: JP¥53.27 (vs JP¥35.89 in 2Q 2024) Second quarter 2025 results: EPS: JP¥53.27 (up from JP¥35.89 in 2Q 2024). Revenue: JP¥32.5b (up 13% from 2Q 2024). Net income: JP¥9.17b (up 47% from 2Q 2024). Profit margin: 28% (up from 22% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 3.9% p.a. on average during the next 3 years, compared to a 7.4% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 29% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Nov 14
Dexerials Corporation (TSE:4980) announces an Equity Buyback for 2,500,000 shares, representing 1.39% for ¥5,000 million. Dexerials Corporation (TSE:4980) announces a share repurchase program. Under the program, the company will repurchase 2,500,000 shares, representing 1.39% of its share capital, for ¥5,000 million. The company will repurchase its shares in order to improve capital efficiency and enhance shareholder returns. The program will run until December 23, 2024. As of September 30, 2024, the company had 179,799,807 shares outstanding (excluding treasury shares) and 872,793 shares in treasury. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥78.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 02 December 2024. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.5%). Duyuru • Sep 19
Dexerials Corporation to Report Q2, 2025 Results on Nov 13, 2024 Dexerials Corporation announced that they will report Q2, 2025 results on Nov 13, 2024 Buy Or Sell Opportunity • Sep 13
Now 22% overvalued Over the last 90 days, the stock has fallen 20% to JP¥6,052. The fair value is estimated to be JP¥4,952, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 9.0% over the last 3 years. Earnings per share has grown by 24%. For the next 3 years, revenue is forecast to grow by 5.7% per annum. Earnings are also forecast to grow by 8.4% per annum over the same time period. Reported Earnings • Aug 12
First quarter 2025 earnings released: EPS: JP¥117 (vs JP¥55.60 in 1Q 2024) First quarter 2025 results: EPS: JP¥117 (up from JP¥55.60 in 1Q 2024). Revenue: JP¥27.2b (up 30% from 1Q 2024). Net income: JP¥6.69b (up 108% from 1Q 2024). Profit margin: 25% (up from 16% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 7.1% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has increased by 41% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Aug 08
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 3.4% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (8.9% average weekly change). Shareholders have been diluted in the past year (3.4% increase in shares outstanding). Buy Or Sell Opportunity • Aug 07
Now 24% overvalued after recent price rise Over the last 90 days, the stock has risen 3.5% to JP¥6,121. The fair value is estimated to be JP¥4,948, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 29%. For the next 3 years, revenue is forecast to grow by 6.3% per annum. Earnings are also forecast to grow by 10% per annum over the same time period. New Risk • Aug 05
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 8.3% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (8.3% average weekly change). Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 27% After last week's 27% share price decline to JP¥5,260, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 12x in the Electronic industry in Japan. Total returns to shareholders of 137% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥4,965 per share. Declared Dividend • Jul 11
Final dividend of JP¥78.00 announced Shareholders will receive a dividend of JP¥78.00. Ex-date: 27th September 2024 Payment date: 2nd December 2024 Dividend yield will be 1.8%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by both earnings (20% earnings payout ratio) and cash flows (54% cash payout ratio). The dividend has increased by an average of 12% per year over the past 9 years. However, payments have been volatile during that time. EPS is expected to grow by 36% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Price Target Changed • Jul 09
Price target increased by 23% to JP¥6,875 Up from JP¥5,583, the current price target is an average from 6 analysts. New target price is 15% below last closing price of JP¥8,104. Stock is up 156% over the past year. The company is forecast to post earnings per share of JP¥451 for next year compared to JP¥369 last year. Duyuru • Jun 15
Dexerials Corporation to Report Q1, 2025 Results on Aug 07, 2024 Dexerials Corporation announced that they will report Q1, 2025 results on Aug 07, 2024 Reported Earnings • May 16
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥369 (up from JP¥351 in FY 2023). Revenue: JP¥105.2b (flat on FY 2023). Net income: JP¥21.4b (up 3.4% from FY 2023). Profit margin: 20% (in line with FY 2023). Revenue exceeded analyst estimates by 1.6%. Earnings per share (EPS) also surpassed analyst estimates by 5.5%. Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 7.1% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has increased by 45% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • May 15
Dexerials Corporation, Annual General Meeting, Jun 25, 2024 Dexerials Corporation, Annual General Meeting, Jun 25, 2024. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥65.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 26 June 2024. Payout ratio is a comfortable 20% and this is well supported by cash flows. Trailing yield: 2.1%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.4%). Duyuru • Mar 20
Dexerials Corporation to Report Fiscal Year 2024 Results on May 13, 2024 Dexerials Corporation announced that they will report fiscal year 2024 results on May 13, 2024 Reported Earnings • Feb 07
Third quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2024 results: EPS: JP¥127 (up from JP¥105 in 3Q 2023). Revenue: JP¥31.1b (up 7.2% from 3Q 2023). Net income: JP¥7.37b (up 19% from 3Q 2023). Profit margin: 24% (up from 21% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 4.6%. Earnings per share (EPS) missed analyst estimates by 4.6%. Revenue is forecast to grow 7.2% p.a. on average during the next 3 years, compared to a 7.0% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 38% per year but the company’s share price has increased by 55% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Feb 07
Restar Holdings Corporation (TSE:3156) agreed to acquire 51% stake in Dexerials Hong Kong Limited from Dexerials Corporation (TSE:4980) for $7.1 million. Restar Holdings Corporation (TSE:3156) agreed to acquire 51% stake in Dexerials Hong Kong Limited from Dexerials Corporation (TSE:4980) for $7.1 million on February 5, 2024. As part of acquisition, 2,193,000 shares will be acquired. The transaction is expected to complete on July 1, 2024. Duyuru • Feb 06
Dexerials Corporation (TSE:4980) announces an Equity Buyback for 1,800,000 shares, representing 2.96% for ¥6,000 million. Dexerials Corporation (TSE:4980) announces a share repurchase program. Under the program, the company will repurchase 1,800,000 shares, representing 2.96% of its share capital, for ¥6,000 million. The company will repurchase its shares in order to improve capital efficiency and enhance shareholder returns. The program will run until March 19, 2024. As of December 31, 2023, the company had 60,876,389 shares outstanding (excluding treasury shares) and 294,111 shares in treasury. Buy Or Sell Opportunity • Feb 06
Now 29% overvalued after recent price rise Over the last 90 days, the stock has risen 17% to JP¥5,146. The fair value is estimated to be JP¥4,000, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 19% over the last 3 years. Earnings per share has grown by 48%. For the next 3 years, revenue is forecast to grow by 7.2% per annum. Earnings are also forecast to grow by 8.5% per annum over the same time period. Price Target Changed • Jan 24
Price target increased by 8.7% to JP¥4,530 Up from JP¥4,167, the current price target is an average from 5 analysts. New target price is 5.5% above last closing price of JP¥4,292. Stock is up 55% over the past year. The company is forecast to post earnings per share of JP¥339 for next year compared to JP¥351 last year.