Kyokuto Kaihatsu Kogyo Co.,Ltd.
Kyokuto Kaihatsu Kogyo Co.,Ltd. Fundamental Analysis
Kyokuto Kaihatsu Kogyo Co.,Ltd. (7226.T) shows weak financial fundamentals with a PE ratio of 43.37, profit margin of 1.69%, and ROE of 2.38%. The company generates $156.5B in annual revenue with moderate year-over-year growth of 9.70%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 7226.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7226.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate7226.T shows balanced valuation metrics.
Growth Score
Excellent7226.T delivers strong and consistent growth momentum.
Financial Health Score
Excellent7226.T maintains a strong and stable balance sheet.
Profitability Score
Weak7226.T struggles to sustain strong margins.
Key Financial Metrics
Is 7226.T Expensive or Cheap?
P/E Ratio
7226.T trades at 43.37 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 7226.T's PEG of 0.40 indicates potential undervaluation.
Price to Book
The market values Kyokuto Kaihatsu Kogyo Co.,Ltd. at 1.04 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.45 times EBITDA. This is generally considered low.
How Well Does 7226.T Make Money?
Net Profit Margin
For every $100 in sales, Kyokuto Kaihatsu Kogyo Co.,Ltd. keeps $1.69 as profit after all expenses.
Operating Margin
Core operations generate 5.42 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.38 in profit for every $100 of shareholder equity.
ROA
Kyokuto Kaihatsu Kogyo Co.,Ltd. generates $1.35 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kyokuto Kaihatsu Kogyo Co.,Ltd. generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Kyokuto Kaihatsu Kogyo Co.,Ltd. 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
7226.T converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
43.37
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.40
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.04
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.37
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.14
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.02
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How 7226.T Stacks Against Its Sector Peers
| Metric | 7226.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 43.37 | 25.96 | Worse (Expensive) |
| ROE | 2.38% | 1263.00% | Weak |
| Net Margin | 1.69% | -41827.00% (disorted) | Weak |
| Debt/Equity | 0.37 | 0.79 | Strong (Low Leverage) |
| Current Ratio | 2.14 | 10.05 | Strong Liquidity |
| ROA | 1.35% | -1497918.00% (disorted) | Weak |
7226.T outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kyokuto Kaihatsu Kogyo Co.,Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
21.03%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
-0.74%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
-6.69%
Industry Style: Cyclical, Value, Infrastructure
Declining