KDDI Corporation
KDDI Corporation Fundamental Analysis
KDDI Corporation (9433.T) shows moderate financial fundamentals with a PE ratio of 13.42, profit margin of 11.05%, and ROE of 13.06%. The company generates $6960.7B in annual revenue with weak year-over-year growth of 2.85%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 51.1/100 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 9433.T's fundamental strength across five key dimensions:
Efficiency Score
Weak9433.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent9433.T trades at attractive valuation levels.
Growth Score
Moderate9433.T shows steady but slowing expansion.
Financial Health Score
Weak9433.T carries high financial risk with limited liquidity.
Profitability Score
Weak9433.T struggles to sustain strong margins.
Key Financial Metrics
Is 9433.T Expensive or Cheap?
P/E Ratio
9433.T trades at 13.42 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 9433.T's PEG of -5.90 indicates potential undervaluation.
Price to Book
The market values KDDI Corporation at 1.80 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.56 times EBITDA. This is generally considered low.
How Well Does 9433.T Make Money?
Net Profit Margin
For every $100 in sales, KDDI Corporation keeps $11.05 as profit after all expenses.
Operating Margin
Core operations generate 18.23 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.06 in profit for every $100 of shareholder equity.
ROA
KDDI Corporation generates $3.69 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
KDDI Corporation produces operating cash flow of $1.53T, showing steady but balanced cash generation.
Free Cash Flow
KDDI Corporation generates strong free cash flow of $1.11T, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $290.83 in free cash annually.
FCF Yield
9433.T converts 9.29% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.42
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-5.90
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.80
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.71
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.09
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.56
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How 9433.T Stacks Against Its Sector Peers
| Metric | 9433.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.42 | 22.91 | Better (Cheaper) |
| ROE | 13.06% | 1005.00% | Weak |
| Net Margin | 11.05% | -60132.00% (disorted) | Strong |
| Debt/Equity | 1.09 | 1.28 | Neutral |
| Current Ratio | 0.56 | 1.65 | Weak Liquidity |
| ROA | 3.69% | -581836.00% (disorted) | Weak |
9433.T outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews KDDI Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
29.52%
Industry Style: Growth, Technology, Streaming
High GrowthEPS CAGR
22.84%
Industry Style: Growth, Technology, Streaming
High GrowthFCF CAGR
17.74%
Industry Style: Growth, Technology, Streaming
High Growth