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 29.71, profit margin of 7.00%, and ROE of 9.60%. The company generates $278.6B in annual revenue with weak year-over-year growth of -1.56%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F 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
ModerateJPSWY shows steady but slowing expansion.
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 29.71 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, JPSWY's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values The Japan Steel Works, Ltd. at 2.72 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 18.54 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 $7.00 as profit after all expenses.
Operating Margin
Core operations generate 9.21 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.60 in profit for every $100 of shareholder equity.
ROA
The Japan Steel Works, Ltd. generates $4.52 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
29.71
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.009
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.72
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.08
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.42
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.41
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
0.08
vs 25 benchmark
How JPSWY Stacks Against Its Sector Peers
| Metric | JPSWY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 29.71 | 26.21 | Worse (Expensive) |
| ROE | 9.60% | 1279.00% | Weak |
| Net Margin | 7.00% | -30262.00% (disorted) | Weak |
| Debt/Equity | 0.42 | 0.74 | Strong (Low Leverage) |
| Current Ratio | 2.41 | 8.98 | Strong Liquidity |
| ROA | 4.52% | -1493580.00% (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
128.30%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
285.46%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
-148.13%
Industry Style: Cyclical, Value, Infrastructure
Declining