Shimadzu Corporation
Shimadzu Corporation Fundamental Analysis
Shimadzu Corporation (7701.T) shows moderate financial fundamentals with a PE ratio of 19.70, profit margin of 10.25%, and ROE of 11.14%. The company generates $553.5B in annual revenue with moderate year-over-year growth of 5.30%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 53.8/100 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 7701.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7701.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate7701.T shows balanced valuation metrics.
Growth Score
Moderate7701.T shows steady but slowing expansion.
Financial Health Score
Excellent7701.T maintains a strong and stable balance sheet.
Profitability Score
Weak7701.T struggles to sustain strong margins.
Key Financial Metrics
Is 7701.T Expensive or Cheap?
P/E Ratio
7701.T trades at 19.70 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 7701.T's PEG of 13.22 indicates potential overvaluation.
Price to Book
The market values Shimadzu Corporation at 2.10 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 12.97 times EBITDA. This signals the market has high growth expectations.
How Well Does 7701.T Make Money?
Net Profit Margin
For every $100 in sales, Shimadzu Corporation keeps $10.25 as profit after all expenses.
Operating Margin
Core operations generate 13.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.14 in profit for every $100 of shareholder equity.
ROA
Shimadzu Corporation generates $8.21 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Shimadzu Corporation generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Shimadzu 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
7701.T converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.70
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
13.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.02
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.04
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.45
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How 7701.T Stacks Against Its Sector Peers
| Metric | 7701.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.70 | 34.43 | Better (Cheaper) |
| ROE | 11.14% | 1135.00% | Weak |
| Net Margin | 10.25% | -134663.00% (disorted) | Strong |
| Debt/Equity | 0.04 | 7.92 | Strong (Low Leverage) |
| Current Ratio | 3.45 | 5.77 | Strong Liquidity |
| ROA | 8.21% | -310462.00% (disorted) | Weak |
7701.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 Shimadzu Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
40.61%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
70.20%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
32.33%
Industry Style: Growth, Innovation, High Beta
High Growth