Otsuka Corporation
Otsuka Corporation Fundamental Analysis
Otsuka Corporation (OSUKF) shows moderate financial fundamentals with a PE ratio of 19.49, profit margin of 4.86%, and ROE of 17.13%. The company generates $1327.5B in annual revenue with strong year-over-year growth of 13.33%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 78.3/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze OSUKF's fundamental strength across five key dimensions:
Efficiency Score
WeakOSUKF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentOSUKF trades at attractive valuation levels.
Growth Score
ExcellentOSUKF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentOSUKF maintains a strong and stable balance sheet.
Profitability Score
ModerateOSUKF maintains healthy but balanced margins.
Key Financial Metrics
Is OSUKF Expensive or Cheap?
P/E Ratio
OSUKF trades at 19.49 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, OSUKF's PEG of 0.10 indicates potential undervaluation.
Price to Book
The market values Otsuka Corporation at 3.18 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 15.03 times EBITDA. This signals the market has high growth expectations.
How Well Does OSUKF Make Money?
Net Profit Margin
For every $100 in sales, Otsuka Corporation keeps $4.86 as profit after all expenses.
Operating Margin
Core operations generate 6.80 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.13 in profit for every $100 of shareholder equity.
ROA
Otsuka Corporation generates $8.84 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Otsuka Corporation generates limited operating cash flow of $92.35B, signaling weaker underlying cash strength.
Free Cash Flow
Otsuka Corporation produces free cash flow of $87.96B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $231.97 in free cash annually.
FCF Yield
OSUKF converts 7.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.49
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.18
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.95
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.88
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.22
vs 25 benchmark
How OSUKF Stacks Against Its Sector Peers
| Metric | OSUKF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.49 | 33.94 | Better (Cheaper) |
| ROE | 17.13% | 1002.00% | Weak |
| Net Margin | 4.86% | -48794.00% (disorted) | Weak |
| Debt/Equity | 0.02 | 0.44 | Strong (Low Leverage) |
| Current Ratio | 1.88 | 5.74 | Neutral |
| ROA | 8.84% | -288341.00% (disorted) | Weak |
OSUKF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Otsuka Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
24.94%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
22.95%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-22.66%
Industry Style: Growth, Innovation, High Beta
Declining