Nihon Kohden Corporation
Nihon Kohden Corporation Fundamental Analysis
Nihon Kohden Corporation (NHNKF) shows weak financial fundamentals with a PE ratio of 30.87, profit margin of 5.36%, and ROE of 7.09%. The company generates $231.2B in annual revenue with weak year-over-year growth of 1.55%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.2/100 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 NHNKF's fundamental strength across five key dimensions:
Efficiency Score
WeakNHNKF struggles to generate sufficient returns from assets.
Valuation Score
ModerateNHNKF shows balanced valuation metrics.
Growth Score
WeakNHNKF faces weak or negative growth trends.
Financial Health Score
ExcellentNHNKF maintains a strong and stable balance sheet.
Profitability Score
WeakNHNKF struggles to sustain strong margins.
Key Financial Metrics
Is NHNKF Expensive or Cheap?
P/E Ratio
NHNKF trades at 30.87 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, NHNKF's PEG of -0.01 indicates potential undervaluation.
Price to Book
The market values Nihon Kohden Corporation at 2.22 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 15.28 times EBITDA. This signals the market has high growth expectations.
How Well Does NHNKF Make Money?
Net Profit Margin
For every $100 in sales, Nihon Kohden Corporation keeps $5.36 as profit after all expenses.
Operating Margin
Core operations generate 8.20 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.09 in profit for every $100 of shareholder equity.
ROA
Nihon Kohden Corporation generates $5.03 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Nihon Kohden Corporation generates limited operating cash flow of $15.64B, signaling weaker underlying cash strength.
Free Cash Flow
Nihon Kohden Corporation produces free cash flow of $7.92B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $48.77 in free cash annually.
FCF Yield
NHNKF converts 2.08% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
30.87
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.22
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.65
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.15
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.64
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How NHNKF Stacks Against Its Sector Peers
| Metric | NHNKF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 30.87 | 29.45 | Neutral |
| ROE | 7.09% | 779.00% | Weak |
| Net Margin | 5.36% | -24930.00% (disorted) | Weak |
| Debt/Equity | 0.15 | 0.26 | Strong (Low Leverage) |
| Current Ratio | 3.64 | 4.65 | Strong Liquidity |
| ROA | 5.03% | -19333.00% (disorted) | Weak |
NHNKF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Nihon Kohden Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
23.26%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
44.73%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
67.77%
Industry Style: Defensive, Growth, Innovation
High Growth