Ratings Denka Company Limited

Equities

4061

JP3549600009

Market Closed - Japan Exchange Other stock markets 02:00:00 2024-04-26 am EDT			5-day change	1st Jan Change
2,295 ^JPY	+0.37%		+3.38%	-8.05%

Apr. 24	Denka Company Limited agreed to acquire 50% stake in Frontier Carbon Corporation from Mitsubishi Corporation.	CI
Apr. 12	Koatsu Gas Kogyo Co., Ltd. agreed to acquire an unknown majority stake in Nishinippon Koatsu Gas Co., Ltd., Nishinippon Acetylene Co., Ltd. and Higashinippon Koatsu Co., Ltd. from Denka Company Limited.	CI

Summary

On the basis of various fundamental qualitative criteria, the company appears to be particularly poorly ranked from a medium and long-term investment perspective.

Strengths

The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
The company appears to be poorly valued given its net asset value.

Weaknesses

According to Standard & Poor's' forecast, revenue growth prospects are expected to be very low for the next fiscal years.
The company sustains low margins.
The group shows a rather high level of debt in proportion to its EBITDA.
For the last twelve months, the trend in sales revisions has been clearly going down, which emphasizes downgraded expectations from the analysts.
Revenue estimates are regularly revised downwards for the current and coming years.
For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.
For the last twelve months, the analysts covering the company have given a bearish overview of EPS estimates, resulting in frequent downward revisions.
Over the past twelve months, analysts' consensus has been significantly revised downwards.
Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.

Ratings chart - Surperformance

Chart ESG Refinitiv

Sector: Commodity Chemicals

	1st Jan change	Capi.	ESG Refinitiv
DENKA COMPANY LIMITED	-8.05%	1.26B	B+
AIR LIQUIDE	+5.14%	103B	A-
SAUDI BASIC INDUSTRIES CORPORATION	-5.63%	63.04B	A-
PT CHANDRA ASRI PACIFIC TBK	+39.52%	39.06B	B
WANHUA CHEMICAL GROUP CO., LTD.	+12.91%	37.58B	B
LYONDELLBASELL INDUSTRIES N.V.	+7.41%	33.24B	A-
WESTLAKE CORPORATION	+6.85%	19.22B	B-
NINGXIA BAOFENG ENERGY GROUP CO., LTD.	+12.86%	16.83B	C+
HENGLI PETROCHEMICAL CO.,LTD.	+16.93%	14.96B	B-
RONGSHENG PETROCHEMICAL CO., LTD.	+7.73%	15.03B	B

Investor Rating

Trading Rating

ESG Refinitiv

Financials

Sales growth

Earnings Growth

EBITDA / Sales

Profitability

Finances

Valuation

P/E ratio

EV / Sales

Price to Book

Price to Free Cash Flow

Yield

Momentum

1 year Revenue revision

4 months Revenue revision

7 days Revenue revision

1 year EPS revision

4 months EPS revision

Consensus

Analyst Opinion

Potential Price Target

4m Target Price Revision

4m Revision of opinion

12m Revision of opinion

Business Predictability

Analyst Coverage

Divergence of Estimates

Divergence of analysts' opinions

Divergence of Target Price

Earnings quality

Environment

Emissions

Innovation

Use of resources

Governance

CSR Strategy

Management

Shareholders

Controversy

Technical analysis

ST Timing

MT Timing

LT Timing

RSI

Bollinger Spread

Unusual volumes