Segue Group Co.,Ltd.
Segue Group Co.,Ltd. Fundamental Analysis
Segue Group Co.,Ltd. (3968.T) shows strong financial fundamentals with a PE ratio of 9.99, profit margin of 6.56%, and ROE of 39.64%. The company generates $31.5B in annual revenue with strong year-over-year growth of 33.96%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 84.5/100 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 3968.T's fundamental strength across five key dimensions:
Efficiency Score
Weak3968.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent3968.T trades at attractive valuation levels.
Growth Score
Moderate3968.T shows steady but slowing expansion.
Financial Health Score
Excellent3968.T maintains a strong and stable balance sheet.
Profitability Score
Moderate3968.T maintains healthy but balanced margins.
Key Financial Metrics
Is 3968.T Expensive or Cheap?
P/E Ratio
3968.T trades at 9.99 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 3968.T's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Segue Group Co.,Ltd. at 2.68 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.07 times EBITDA. This is generally considered low.
How Well Does 3968.T Make Money?
Net Profit Margin
For every $100 in sales, Segue Group Co.,Ltd. keeps $6.56 as profit after all expenses.
Operating Margin
Core operations generate 10.44 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $39.64 in profit for every $100 of shareholder equity.
ROA
Segue Group Co.,Ltd. generates $8.37 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Segue Group Co.,Ltd. generates limited operating cash flow of $495.33M, signaling weaker underlying cash strength.
Free Cash Flow
Segue Group Co.,Ltd. generates weak or negative free cash flow of $422.74M, restricting financial flexibility.
FCF Per Share
Each share generates $11.63 in free cash annually.
FCF Yield
3968.T converts 1.92% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.99
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.006
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.68
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.70
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.24
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.40
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.40
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.35
vs 25 benchmark
How 3968.T Stacks Against Its Sector Peers
| Metric | 3968.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.99 | 37.25 | Better (Cheaper) |
| ROE | 39.64% | 977.00% | Weak |
| Net Margin | 6.56% | 5981738303.00% | Weak |
| Debt/Equity | 0.24 | 0.41 | Strong (Low Leverage) |
| Current Ratio | 1.40 | 5.03 | Neutral |
| ROA | 8.37% | -297287.00% (disorted) | Weak |
3968.T outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Segue Group Co.,Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
146.74%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
103.19%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-1957.96%
Industry Style: Growth, Innovation, High Beta
Declining