Kaneka Corporation
Kaneka Corporation Fundamental Analysis
Kaneka Corporation (4118.T) shows moderate financial fundamentals with a PE ratio of 11.56, profit margin of 3.24%, and ROE of 5.48%. The company generates $802.4B in annual revenue with moderate year-over-year growth of 5.89%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 36.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 4118.T's fundamental strength across five key dimensions:
Efficiency Score
Weak4118.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate4118.T shows balanced valuation metrics.
Growth Score
Excellent4118.T delivers strong and consistent growth momentum.
Financial Health Score
Excellent4118.T maintains a strong and stable balance sheet.
Profitability Score
Weak4118.T struggles to sustain strong margins.
Key Financial Metrics
Is 4118.T Expensive or Cheap?
P/E Ratio
4118.T trades at 11.56 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 4118.T's PEG of 146.15 indicates potential overvaluation.
Price to Book
The market values Kaneka Corporation at 0.62 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.59 times EBITDA. This is generally considered low.
How Well Does 4118.T Make Money?
Net Profit Margin
For every $100 in sales, Kaneka Corporation keeps $3.24 as profit after all expenses.
Operating Margin
Core operations generate 4.13 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.48 in profit for every $100 of shareholder equity.
ROA
Kaneka Corporation generates $2.73 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kaneka Corporation generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Kaneka Corporation generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
4118.T converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.56
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
146.15
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.62
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.37
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.44
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.46
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How 4118.T Stacks Against Its Sector Peers
| Metric | 4118.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.56 | 24.91 | Better (Cheaper) |
| ROE | 5.48% | 840.00% | Weak |
| Net Margin | 3.24% | -105381.00% (disorted) | Weak |
| Debt/Equity | 0.44 | 0.55 | Strong (Low Leverage) |
| Current Ratio | 1.46 | 4.94 | Neutral |
| ROA | 2.73% | -4176.00% (disorted) | Weak |
4118.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 Kaneka Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
38.65%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
86.74%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
6.60%
Industry Style: Cyclical, Commodity, Value
Growing