Canare Electric Co., Ltd.
Canare Electric Co., Ltd. Fundamental Analysis
Canare Electric Co., Ltd. (5819.T) shows weak financial fundamentals with a PE ratio of 10.37, profit margin of 9.16%, and ROE of 6.50%. The company generates $13.1B in annual revenue with weak year-over-year growth of -3.80%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 54.6/100 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 5819.T's fundamental strength across five key dimensions:
Efficiency Score
Weak5819.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent5819.T trades at attractive valuation levels.
Growth Score
Weak5819.T faces weak or negative growth trends.
Financial Health Score
Excellent5819.T maintains a strong and stable balance sheet.
Profitability Score
Weak5819.T struggles to sustain strong margins.
Key Financial Metrics
Is 5819.T Expensive or Cheap?
P/E Ratio
5819.T trades at 10.37 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 5819.T's PEG of -33.87 indicates potential undervaluation.
Price to Book
The market values Canare Electric Co., Ltd. at 0.65 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 12.01 times EBITDA. This signals the market has high growth expectations.
How Well Does 5819.T Make Money?
Net Profit Margin
For every $100 in sales, Canare Electric Co., Ltd. keeps $9.16 as profit after all expenses.
Operating Margin
Core operations generate 12.07 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.50 in profit for every $100 of shareholder equity.
ROA
Canare Electric Co., Ltd. generates $5.70 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Canare Electric Co., Ltd. produces operating cash flow of $1.74B, showing steady but balanced cash generation.
Free Cash Flow
Canare Electric Co., Ltd. generates strong free cash flow of $1.66B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $243.10 in free cash annually.
FCF Yield
5819.T converts 13.36% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.37
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-33.87
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.65
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.95
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
8.32
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How 5819.T Stacks Against Its Sector Peers
| Metric | 5819.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.37 | 25.85 | Better (Cheaper) |
| ROE | 6.50% | 1270.00% | Weak |
| Net Margin | 9.16% | -41768.00% (disorted) | Weak |
| Debt/Equity | 0.00 | 0.79 | Strong (Low Leverage) |
| Current Ratio | 8.32 | 10.04 | Strong Liquidity |
| ROA | 5.70% | -1493983.00% (disorted) | Weak |
5819.T outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Canare Electric Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
7.36%
Industry Style: Cyclical, Value, Infrastructure
GrowingEPS CAGR
39.37%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
74.02%
Industry Style: Cyclical, Value, Infrastructure
High Growth