Risk factor
Modest price volatility
Profitability factor
Slightly undervalued vs peers
About
Nittoku Co., Ltd., an international enterprise based in Saitama, Japan, excels in the production and distribution of automated winding machinery and its ancillary components. Their extensive portfolio encompasses winding solutions for a vast array of coil types, such as relay, solenoid, ignition, transformer, injector, pick-up, reactor, PM stepping, bobbinless, sensor, induction heating, armature, power inductor, speaker/receiver, brushless inner and outer motor, and chip inductor coils. Furthermore, the company delivers comprehensive factory automation systems, alongside IC cards and parts for contactless smart cards. Established in 1972, the firm operated as Nittoku Engineering Co., Ltd. until its rebranding to Nittoku Co., Ltd. in August 2019.
Company Valuation
Based on key historical and expected multiples, the stock is undervalued relative to its peers. Specifically, the stock is fairly valued on P/E, undervalued on EV/EBITD.
Target Price
The average target price of 6145.T is 2100 and suggests 21% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation to d