Hirose Electric Co.,Ltd. Fundamental Analysis
Hirose Electric Co.,Ltd. (6806.T) shows weak financial fundamentals with a PE ratio of 29.49, profit margin of 15.69%, and ROE of 8.80%. The company generates $202.9B 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 81.7/100 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 6806.T's fundamental strength across five key dimensions:
Efficiency Score
Weak6806.T struggles to generate sufficient returns from assets.
Valuation Score
Weak6806.T trades at a premium to fair value.
Growth Score
Moderate6806.T shows steady but slowing expansion.
Financial Health Score
Excellent6806.T maintains a strong and stable balance sheet.
Profitability Score
Moderate6806.T maintains healthy but balanced margins.
Key Financial Metrics
Is 6806.T Expensive or Cheap?
P/E Ratio
6806.T trades at 29.49 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 6806.T's PEG of 17.80 indicates potential overvaluation.
Price to Book
The market values Hirose Electric Co.,Ltd. at 2.54 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 15.03 times EBITDA. This signals the market has high growth expectations.
How Well Does 6806.T Make Money?
Net Profit Margin
For every $100 in sales, Hirose Electric Co.,Ltd. keeps $15.69 as profit after all expenses.
Operating Margin
Core operations generate 20.49 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.80 in profit for every $100 of shareholder equity.
ROA
Hirose Electric Co.,Ltd. generates $7.69 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hirose Electric Co.,Ltd. produces operating cash flow of $44.07B, showing steady but balanced cash generation.
Free Cash Flow
Hirose Electric Co.,Ltd. generates strong free cash flow of $24.84B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $787.00 in free cash annually.
FCF Yield
6806.T converts 2.80% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
29.49
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
17.80
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.54
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.37
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
7.13
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How 6806.T Stacks Against Its Sector Peers
| Metric | 6806.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 29.49 | 36.10 | Better (Cheaper) |
| ROE | 8.80% | 731.00% | Weak |
| Net Margin | 15.69% | -141462.00% (disorted) | Strong |
| Debt/Equity | 0.02 | 0.46 | Strong (Low Leverage) |
| Current Ratio | 7.13 | 3.40 | Strong Liquidity |
| ROA | 7.69% | 237.00% | Weak |
6806.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 Hirose 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
N/A
Industry Style: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta