Roland Corporation
Roland Corporation Fundamental Analysis
Roland Corporation (7944.T) shows weak financial fundamentals with a PE ratio of 47.93, profit margin of 2.15%, and ROE of 5.46%. The company generates $101.0B in annual revenue with weak year-over-year growth of -2.94%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 43.3/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 7944.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7944.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate7944.T shows balanced valuation metrics.
Growth Score
Weak7944.T faces weak or negative growth trends.
Financial Health Score
Excellent7944.T maintains a strong and stable balance sheet.
Profitability Score
Weak7944.T struggles to sustain strong margins.
Key Financial Metrics
Is 7944.T Expensive or Cheap?
P/E Ratio
7944.T trades at 47.93 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 7944.T's PEG of -0.69 indicates potential undervaluation.
Price to Book
The market values Roland Corporation at 2.53 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.73 times EBITDA. This is generally considered low.
How Well Does 7944.T Make Money?
Net Profit Margin
For every $100 in sales, Roland Corporation keeps $2.15 as profit after all expenses.
Operating Margin
Core operations generate 9.33 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.46 in profit for every $100 of shareholder equity.
ROA
Roland Corporation generates $2.60 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Roland Corporation produces operating cash flow of $13.70B, showing steady but balanced cash generation.
Free Cash Flow
Roland Corporation produces free cash flow of $7.73B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $293.03 in free cash annually.
FCF Yield
7944.T converts 7.44% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
47.93
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.69
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.53
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.03
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.59
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.91
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How 7944.T Stacks Against Its Sector Peers
| Metric | 7944.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 47.93 | 23.72 | Worse (Expensive) |
| ROE | 5.46% | 1091.00% | Weak |
| Net Margin | 2.15% | -627.00% (disorted) | Weak |
| Debt/Equity | 0.59 | 0.72 | Neutral |
| Current Ratio | 2.91 | 2.64 | Strong Liquidity |
| ROA | 2.60% | 1053.00% | Weak |
7944.T outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Roland Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
55.73%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
125.17%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
132.51%
Industry Style: Cyclical, Growth, Discretionary
High Growth