Japan Foods Co., Ltd.
Japan Foods Co., Ltd. Fundamental Analysis
Japan Foods Co., Ltd. (2599.T) shows moderate financial fundamentals with a PE ratio of 12.72, profit margin of 7.67%, and ROE of 11.62%. The company generates $12.1B 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 59.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze 2599.T's fundamental strength across five key dimensions:
Efficiency Score
Weak2599.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent2599.T trades at attractive valuation levels.
Growth Score
Moderate2599.T shows steady but slowing expansion.
Financial Health Score
Moderate2599.T shows balanced financial health with some risks.
Profitability Score
Weak2599.T struggles to sustain strong margins.
Key Financial Metrics
Is 2599.T Expensive or Cheap?
P/E Ratio
2599.T trades at 12.72 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 2599.T's PEG of 0.13 indicates potential undervaluation.
Price to Book
The market values Japan Foods Co., Ltd. at 1.39 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.77 times EBITDA. This is generally considered low.
How Well Does 2599.T Make Money?
Net Profit Margin
For every $100 in sales, Japan Foods Co., Ltd. keeps $7.67 as profit after all expenses.
Operating Margin
Core operations generate 8.37 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.62 in profit for every $100 of shareholder equity.
ROA
Japan Foods Co., Ltd. generates $4.34 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Japan Foods Co., Ltd. generates strong operating cash flow of $3.06B, reflecting robust business health.
Free Cash Flow
Japan Foods Co., Ltd. generates strong free cash flow of $2.75B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $570.63 in free cash annually.
FCF Yield
2599.T converts 23.36% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.72
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.13
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.39
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.98
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.13
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.12
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How 2599.T Stacks Against Its Sector Peers
| Metric | 2599.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.72 | 22.36 | Better (Cheaper) |
| ROE | 11.62% | 1238.00% | Weak |
| Net Margin | 7.67% | -5096.00% (disorted) | Weak |
| Debt/Equity | 1.02 | 1.23 | Neutral |
| Current Ratio | 1.13 | 2.47 | Neutral |
| ROA | 4.34% | -191998.00% (disorted) | Weak |
2599.T outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Japan Foods Co., Ltd.'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: Defensive, Dividend, Low Volatility
EPS CAGR
N/A
Industry Style: Defensive, Dividend, Low Volatility
FCF CAGR
N/A
Industry Style: Defensive, Dividend, Low Volatility