OUTSOURCING Inc.
OUTSOURCING Inc. Fundamental Analysis
OUTSOURCING Inc. (2427.T) shows weak financial fundamentals with a PE ratio of 42.68, profit margin of 0.69%, and ROE of 6.25%. The company generates $749.8B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 37.8/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 2427.T's fundamental strength across five key dimensions:
Efficiency Score
Weak2427.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate2427.T shows balanced valuation metrics.
Growth Score
Moderate2427.T shows steady but slowing expansion.
Financial Health Score
Moderate2427.T shows balanced financial health with some risks.
Profitability Score
Weak2427.T struggles to sustain strong margins.
Key Financial Metrics
Is 2427.T Expensive or Cheap?
P/E Ratio
2427.T trades at 42.68 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 2427.T's PEG of 0.43 indicates potential undervaluation.
Price to Book
The market values OUTSOURCING Inc. at 2.45 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.36 times EBITDA. This is generally considered low.
How Well Does 2427.T Make Money?
Net Profit Margin
For every $100 in sales, OUTSOURCING Inc. keeps $0.69 as profit after all expenses.
Operating Margin
Core operations generate 2.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.25 in profit for every $100 of shareholder equity.
ROA
OUTSOURCING Inc. generates $1.22 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
OUTSOURCING Inc. generates limited operating cash flow of $31.17B, signaling weaker underlying cash strength.
Free Cash Flow
OUTSOURCING Inc. produces free cash flow of $25.81B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $204.81 in free cash annually.
FCF Yield
2427.T converts 11.71% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
42.68
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.43
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.45
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.29
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.66
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.01
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How 2427.T Stacks Against Its Sector Peers
| Metric | 2427.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 42.68 | 25.96 | Worse (Expensive) |
| ROE | 6.25% | 1263.00% | Weak |
| Net Margin | 0.69% | -41827.00% (disorted) | Weak |
| Debt/Equity | 1.66 | 0.79 | Weak (High Leverage) |
| Current Ratio | 1.01 | 10.05 | Neutral |
| ROA | 1.22% | -1497918.00% (disorted) | Weak |
2427.T outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews OUTSOURCING Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
EPS CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
FCF CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure