Fuso Dentsu Co., Ltd.
Fuso Dentsu Co., Ltd. Fundamental Analysis
Fuso Dentsu Co., Ltd. (7505.T) shows moderate financial fundamentals with a PE ratio of 7.92, profit margin of 4.96%, and ROE of 19.88%. The company generates $59.6B in annual revenue with strong year-over-year growth of 16.90%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 81.8/100 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 7505.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7505.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent7505.T trades at attractive valuation levels.
Growth Score
Excellent7505.T delivers strong and consistent growth momentum.
Financial Health Score
Excellent7505.T maintains a strong and stable balance sheet.
Profitability Score
Moderate7505.T maintains healthy but balanced margins.
Key Financial Metrics
Is 7505.T Expensive or Cheap?
P/E Ratio
7505.T trades at 7.92 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 7505.T's PEG of 0.46 indicates potential undervaluation.
Price to Book
The market values Fuso Dentsu Co., Ltd. at 1.44 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.38 times EBITDA. This is generally considered low.
How Well Does 7505.T Make Money?
Net Profit Margin
For every $100 in sales, Fuso Dentsu Co., Ltd. keeps $4.96 as profit after all expenses.
Operating Margin
Core operations generate 6.82 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $19.88 in profit for every $100 of shareholder equity.
ROA
Fuso Dentsu Co., Ltd. generates $7.68 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Fuso Dentsu Co., Ltd. generates limited operating cash flow of $3.23B, signaling weaker underlying cash strength.
Free Cash Flow
Fuso Dentsu Co., Ltd. produces free cash flow of $3.17B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $271.86 in free cash annually.
FCF Yield
7505.T converts 13.51% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
7.92
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.46
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.44
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.39
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.06
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.37
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.20
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.19
vs 25 benchmark
How 7505.T Stacks Against Its Sector Peers
| Metric | 7505.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 7.92 | 34.43 | Better (Cheaper) |
| ROE | 19.88% | 1135.00% | Weak |
| Net Margin | 4.96% | -134663.00% (disorted) | Weak |
| Debt/Equity | 0.06 | 7.92 | Strong (Low Leverage) |
| Current Ratio | 1.37 | 5.77 | Neutral |
| ROA | 7.68% | -310462.00% (disorted) | Weak |
7505.T outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Fuso Dentsu Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
35.10%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
255.47%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
217.67%
Industry Style: Growth, Innovation, High Beta
High Growth