Makita Corporation Fundamental Analysis (JPX: 6586.T)
Makita Corporation Fundamental Analysis (JPX: 6586.T)
Makita Corporation (JPX: 6586.T) shows weak financial fundamentals with a PE ratio of 18.75, profit margin of 10.21%, and ROE of 8.22%. The company generates $762.9B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 76.1/100 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 6586.T's fundamental strength across five key dimensions:
Efficiency Score
Weak6586.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate6586.T shows balanced valuation metrics.
Growth Score
Moderate6586.T shows steady but slowing expansion.
Financial Health Score
Excellent6586.T maintains a strong and stable balance sheet.
Profitability Score
Weak6586.T struggles to sustain strong margins.
Key Financial Metrics
Is 6586.T Expensive or Cheap?
P/E Ratio
6586.T trades at 18.75 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 6586.T's PEG of 10.95 indicates potential overvaluation.
Price to Book
The market values Makita Corporation at 1.48 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.99 times EBITDA. This signals the market has high growth expectations.
How Well Does 6586.T Make Money?
Net Profit Margin
For every $100 in sales, Makita Corporation keeps $10.21 as profit after all expenses.
Operating Margin
Core operations generate 13.47 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.22 in profit for every $100 of shareholder equity.
ROA
Makita Corporation generates $6.72 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Makita Corporation produces operating cash flow of $100.41B, showing steady but balanced cash generation.
Free Cash Flow
Makita Corporation generates strong free cash flow of $79.28B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $307.70 in free cash annually.
FCF Yield
6586.T converts 5.58% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
18.75
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
10.95
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.48
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.86
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.002
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.82
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How 6586.T Stacks Against Its Sector Peers
| Metric | 6586.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 18.75 | 30.52 | Better (Cheaper) |
| ROE | 8.22% | 1172.00% | Weak |
| Net Margin | 10.21% | -20786.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 0.38 | Strong (Low Leverage) |
| Current Ratio | 5.82 | 24.22 | Strong Liquidity |
| ROA | 6.72% | -1311221.00% (disorted) | Weak |
6586.T outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Makita Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
EPS CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
FCF CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure