Kanamic Network Co.,LTD
Kanamic Network Co.,LTD Fundamental Analysis
Kanamic Network Co.,LTD (3939.T) shows strong financial fundamentals with a PE ratio of 19.12, profit margin of 21.14%, and ROE of 27.10%. The company generates $6.0B in annual revenue with moderate year-over-year growth of 9.85%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 88.8/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze 3939.T's fundamental strength across five key dimensions:
Efficiency Score
Excellent3939.T demonstrates superior asset utilization.
Valuation Score
Excellent3939.T trades at attractive valuation levels.
Growth Score
Excellent3939.T delivers strong and consistent growth momentum.
Financial Health Score
Excellent3939.T maintains a strong and stable balance sheet.
Profitability Score
Excellent3939.T achieves industry-leading margins.
Key Financial Metrics
Is 3939.T Expensive or Cheap?
P/E Ratio
3939.T trades at 19.12 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 3939.T's PEG of 0.66 indicates potential undervaluation.
Price to Book
The market values Kanamic Network Co.,LTD at 4.82 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 11.81 times EBITDA. This signals the market has high growth expectations.
How Well Does 3939.T Make Money?
Net Profit Margin
For every $100 in sales, Kanamic Network Co.,LTD keeps $21.14 as profit after all expenses.
Operating Margin
Core operations generate 30.84 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $27.10 in profit for every $100 of shareholder equity.
ROA
Kanamic Network Co.,LTD generates $18.02 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kanamic Network Co.,LTD produces operating cash flow of $1.29B, showing steady but balanced cash generation.
Free Cash Flow
Kanamic Network Co.,LTD generates strong free cash flow of $1.15B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $24.23 in free cash annually.
FCF Yield
3939.T converts 4.76% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.12
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.66
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.82
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.04
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.60
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.27
vs 25 benchmark
ROA
Return on assets percentage
0.18
vs 25 benchmark
ROCE
Return on capital employed
0.34
vs 25 benchmark
How 3939.T Stacks Against Its Sector Peers
| Metric | 3939.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.12 | 28.92 | Better (Cheaper) |
| ROE | 27.10% | 747.00% | Weak |
| Net Margin | 21.14% | -49468.00% (disorted) | Strong |
| Debt/Equity | 0.11 | 0.40 | Strong (Low Leverage) |
| Current Ratio | 2.60 | 4.13 | Strong Liquidity |
| ROA | 18.02% | -19478.00% (disorted) | Strong |
3939.T outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kanamic Network Co.,LTD's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
196.52%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
138.48%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
106.55%
Industry Style: Defensive, Growth, Innovation
High Growth