The Japan Steel Works, Ltd.
The Japan Steel Works, Ltd. Fundamental Analysis
The Japan Steel Works, Ltd. (JPSWY) shows weak financial fundamentals with a PE ratio of 36.66, profit margin of 7.41%, and ROE of 10.45%. The company generates $279.3B in annual revenue with moderate year-over-year growth of 5.77%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 48.4/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze JPSWY's fundamental strength across five key dimensions:
Efficiency Score
WeakJPSWY struggles to generate sufficient returns from assets.
Valuation Score
ModerateJPSWY shows balanced valuation metrics.
Growth Score
ExcellentJPSWY delivers strong and consistent growth momentum.
Financial Health Score
ExcellentJPSWY maintains a strong and stable balance sheet.
Profitability Score
WeakJPSWY struggles to sustain strong margins.
Key Financial Metrics
Is JPSWY Expensive or Cheap?
P/E Ratio
JPSWY trades at 36.66 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, JPSWY's PEG of -0.04 indicates potential undervaluation.
Price to Book
The market values The Japan Steel Works, Ltd. at 3.73 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 27.67 times EBITDA. This signals the market has high growth expectations.
How Well Does JPSWY Make Money?
Net Profit Margin
For every $100 in sales, The Japan Steel Works, Ltd. keeps $7.41 as profit after all expenses.
Operating Margin
Core operations generate 8.42 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.45 in profit for every $100 of shareholder equity.
ROA
The Japan Steel Works, Ltd. generates $5.01 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
The Japan Steel Works, Ltd. generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
The Japan Steel Works, Ltd. 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
JPSWY converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
36.66
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.73
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.72
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.18
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How JPSWY Stacks Against Its Sector Peers
| Metric | JPSWY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 36.66 | 26.49 | Worse (Expensive) |
| ROE | 10.45% | 1307.00% | Weak |
| Net Margin | 7.41% | -5131.00% (disorted) | Weak |
| Debt/Equity | 0.34 | 0.81 | Strong (Low Leverage) |
| Current Ratio | 2.18 | 10.48 | Strong Liquidity |
| ROA | 5.01% | -1549793.00% (disorted) | Weak |
JPSWY outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews The Japan Steel Works, Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
14.54%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
-28.59%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
1885.10%
Industry Style: Cyclical, Value, Infrastructure
High Growth