Aichi Steel Corporation
Aichi Steel Corporation Fundamental Analysis
Aichi Steel Corporation (5482.T) shows weak financial fundamentals with a PE ratio of 16.63, profit margin of 3.89%, and ROE of 5.36%. The company generates $303.0B in annual revenue with weak year-over-year growth of 0.93%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 48.2/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 5482.T's fundamental strength across five key dimensions:
Efficiency Score
Weak5482.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate5482.T shows balanced valuation metrics.
Growth Score
Weak5482.T faces weak or negative growth trends.
Financial Health Score
Excellent5482.T maintains a strong and stable balance sheet.
Profitability Score
Weak5482.T struggles to sustain strong margins.
Key Financial Metrics
Is 5482.T Expensive or Cheap?
P/E Ratio
5482.T trades at 16.63 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 5482.T's PEG of 2.11 indicates potential overvaluation.
Price to Book
The market values Aichi Steel Corporation at 0.87 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.32 times EBITDA. This is generally considered low.
How Well Does 5482.T Make Money?
Net Profit Margin
For every $100 in sales, Aichi Steel Corporation keeps $3.89 as profit after all expenses.
Operating Margin
Core operations generate 6.43 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.36 in profit for every $100 of shareholder equity.
ROA
Aichi Steel Corporation generates $2.82 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Aichi Steel Corporation produces operating cash flow of $70.72B, showing steady but balanced cash generation.
Free Cash Flow
Aichi Steel Corporation generates strong free cash flow of $53.49B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $835.57 in free cash annually.
FCF Yield
5482.T converts 27.40% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.87
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.64
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.37
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.55
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
0.06
vs 25 benchmark
How 5482.T Stacks Against Its Sector Peers
| Metric | 5482.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.63 | 24.91 | Better (Cheaper) |
| ROE | 5.36% | 840.00% | Weak |
| Net Margin | 3.89% | -105381.00% (disorted) | Weak |
| Debt/Equity | 0.37 | 0.55 | Strong (Low Leverage) |
| Current Ratio | 1.55 | 4.94 | Neutral |
| ROA | 2.82% | -4176.00% (disorted) | Weak |
5482.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 Aichi Steel Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
23.75%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
-8.30%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
-30.05%
Industry Style: Cyclical, Commodity, Value
Declining