Wacom Co., Ltd.
Wacom Co., Ltd. Fundamental Analysis
Wacom Co., Ltd. (WACMF) shows moderate financial fundamentals with a PE ratio of 15.54, profit margin of 6.65%, and ROE of 22.58%. The company generates $110.2B in annual revenue with weak year-over-year growth of -2.62%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 64.7/100 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 WACMF's fundamental strength across five key dimensions:
Efficiency Score
WeakWACMF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentWACMF trades at attractive valuation levels.
Growth Score
ModerateWACMF shows steady but slowing expansion.
Financial Health Score
ExcellentWACMF maintains a strong and stable balance sheet.
Profitability Score
ModerateWACMF maintains healthy but balanced margins.
Key Financial Metrics
Is WACMF Expensive or Cheap?
P/E Ratio
WACMF trades at 15.54 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, WACMF's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values Wacom Co., Ltd. at 3.19 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 8.17 times EBITDA. This is generally considered low.
How Well Does WACMF Make Money?
Net Profit Margin
For every $100 in sales, Wacom Co., Ltd. keeps $6.65 as profit after all expenses.
Operating Margin
Core operations generate 11.38 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.58 in profit for every $100 of shareholder equity.
ROA
Wacom Co., Ltd. generates $9.91 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Wacom Co., Ltd. produces operating cash flow of $14.54B, showing steady but balanced cash generation.
Free Cash Flow
Wacom Co., Ltd. generates strong free cash flow of $13.25B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $98.51 in free cash annually.
FCF Yield
WACMF converts 11.65% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.54
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.004
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.19
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.03
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.25
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.98
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.23
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.28
vs 25 benchmark
How WACMF Stacks Against Its Sector Peers
| Metric | WACMF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.54 | 35.87 | Better (Cheaper) |
| ROE | 22.58% | 1175.00% | Weak |
| Net Margin | 6.65% | -137082.00% (disorted) | Weak |
| Debt/Equity | 0.25 | 0.45 | Strong (Low Leverage) |
| Current Ratio | 1.98 | 4.81 | Neutral |
| ROA | 9.91% | -312683.00% (disorted) | Weak |
WACMF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Wacom Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
50.10%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
53.29%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-26.68%
Industry Style: Growth, Innovation, High Beta
Declining