Takara Standard Co.,Ltd.
Takara Standard Co.,Ltd. Fundamental Analysis
Takara Standard Co.,Ltd. (7981.T) shows moderate financial fundamentals with a PE ratio of 12.41, profit margin of 5.86%, and ROE of 7.65%. The company generates $245.7B in annual revenue with moderate year-over-year growth of 3.68%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 60.5/100 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 7981.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7981.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent7981.T trades at attractive valuation levels.
Growth Score
Moderate7981.T shows steady but slowing expansion.
Financial Health Score
Excellent7981.T maintains a strong and stable balance sheet.
Profitability Score
Weak7981.T struggles to sustain strong margins.
Key Financial Metrics
Is 7981.T Expensive or Cheap?
P/E Ratio
7981.T trades at 12.41 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 7981.T's PEG of 1.93 indicates fair valuation.
Price to Book
The market values Takara Standard Co.,Ltd. at 0.96 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.96 times EBITDA. This is generally considered low.
How Well Does 7981.T Make Money?
Net Profit Margin
For every $100 in sales, Takara Standard Co.,Ltd. keeps $5.86 as profit after all expenses.
Operating Margin
Core operations generate 7.51 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.65 in profit for every $100 of shareholder equity.
ROA
Takara Standard Co.,Ltd. generates $5.30 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Takara Standard Co.,Ltd. produces operating cash flow of $25.70B, showing steady but balanced cash generation.
Free Cash Flow
Takara Standard Co.,Ltd. produces free cash flow of $12.71B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $200.95 in free cash annually.
FCF Yield
7981.T converts 7.28% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.41
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.93
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.96
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.71
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.30
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How 7981.T Stacks Against Its Sector Peers
| Metric | 7981.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.41 | 23.72 | Better (Cheaper) |
| ROE | 7.65% | 1091.00% | Weak |
| Net Margin | 5.86% | -629.00% (disorted) | Weak |
| Debt/Equity | 0.02 | 0.72 | Strong (Low Leverage) |
| Current Ratio | 2.30 | 2.64 | Strong Liquidity |
| ROA | 5.30% | 1050.00% | Weak |
7981.T outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Takara Standard Co.,Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
29.94%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
37.99%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
47.35%
Industry Style: Cyclical, Growth, Discretionary
High Growth