TOWA Corporation
TOWA Corporation Fundamental Analysis
TOWA Corporation (6315.T) shows weak financial fundamentals with a PE ratio of 31.27, profit margin of 10.94%, and ROE of 8.85%. The company generates $51.1B in annual revenue with moderate year-over-year growth of 5.96%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.4/100 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 6315.T's fundamental strength across five key dimensions:
Efficiency Score
Weak6315.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate6315.T shows balanced valuation metrics.
Growth Score
Excellent6315.T delivers strong and consistent growth momentum.
Financial Health Score
Excellent6315.T maintains a strong and stable balance sheet.
Profitability Score
Weak6315.T struggles to sustain strong margins.
Key Financial Metrics
Is 6315.T Expensive or Cheap?
P/E Ratio
6315.T trades at 31.27 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 6315.T's PEG of -3.49 indicates potential undervaluation.
Price to Book
The market values TOWA Corporation at 2.59 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 20.50 times EBITDA. This signals the market has high growth expectations.
How Well Does 6315.T Make Money?
Net Profit Margin
For every $100 in sales, TOWA Corporation keeps $10.94 as profit after all expenses.
Operating Margin
Core operations generate 11.80 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.85 in profit for every $100 of shareholder equity.
ROA
TOWA Corporation generates $5.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
TOWA Corporation generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
TOWA 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
6315.T converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
31.27
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-3.49
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.59
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.42
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.26
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.45
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How 6315.T Stacks Against Its Sector Peers
| Metric | 6315.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 31.27 | 33.94 | Neutral |
| ROE | 8.85% | 1002.00% | Weak |
| Net Margin | 10.94% | -48086.00% (disorted) | Strong |
| Debt/Equity | 0.26 | 0.44 | Strong (Low Leverage) |
| Current Ratio | 2.45 | 5.74 | Strong Liquidity |
| ROA | 5.52% | -288351.00% (disorted) | Weak |
6315.T outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews TOWA Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-29.39%
Industry Style: Growth, Innovation, High Beta
DecliningEPS CAGR
634.25%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-45.55%
Industry Style: Growth, Innovation, High Beta
Declining