Risk factor
Low price volatility
Profitability factor
Unfavourable analyst view
About
Daido Steel Co., Ltd., established in 1916 and headquartered in Nagoya, Japan, is a global manufacturer and supplier of steel products, serving markets in Japan, the broader Asian region, North America, and other international territories. Its operations are structured across several key segments: The Specialty Steel division develops and produces specialized steel grades crucial for components in the automotive, industrial machinery, electrical equipment, and construction sectors, as well as for tool manufacturing. The High Performance Materials and Magnetic Materials segment offers an array of advanced products, including various stainless steel types, nickel-based alloys, parts for electrical and electronic applications, magnetic materials, alloy powders, titanium products, and welding wires. The extensive Automotive and Industrial Equipment Parts segment provides a diverse range of items. This includes different types of forgings, such as die forgings, precise hot forgings, and welded parts for automotive use and bearing races. It also produces open-die forgings tailored for marine vessels, industrial machinery, heavy electrical equipment, steelmaking apparatus, chemical processing facilities, oil drilling platforms, and even aerospace components. Furthermore, this segment manufactures various castings, from manganese railway rails to essential components for automobiles, industrial machines, electrical machines, and furnaces, alongside general cast steel products. Precision castings for automotive, industrial, electrical, and telecommunications applications are also offered, alongside specific items like lumber industry band saws, engine valves, compressors, hydraulic equipment, and machine tool parts. The Engineering segment focuses on providing steelmaking equipment, industrial furnaces and related facilities, environmental control systems (covering drainage, exhaust, and waste treatment), machine tools, and comprehensive machine maintenance services. Finally, the Trading and Service segment manages welfare services, real estate and insurance businesses, and oversees the operation and analysis of golf courses.
Company Valuation
Considering past and projected metrics, the stock is neither 'expensive' nor 'cheap' compared to its peers. In particular, the stock is reasonably priced on P/E, of fair
Target Price
The average target price of 5471.T is 1668 and suggests 38.8% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation to