Shin-Etsu Chemical (4063.T)
Materials · TSE · Japan
Fundamentals
Valuation and ratings
Shin-Etsu Chemical trades at ¥7,361.00, which is 60% above the ¥2,928.00 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 57 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 29.0 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Shin-Etsu Chemical
Shin-Etsu Chemical Co., Ltd. provides infrastructure, electronics, and functional materials in Japan. The company operates through Electronic Materials; Living environment basic materials; Functional materials; and Processing, trading and technical services segments It offers polyvinyl chloride resin, caustic soda, methanol, chloromethanes, and polyvinyl alcohol; and semiconductor silicon, rare earth magnets, semiconductor encapsulating materials, LED packaging materials, photoresists, photomask blanks, and synthetic quartz products. The company also sells silicones, cellulose derivatives, silicon metal, synthetic pheromones, vinyl chloride-vinyl acetate copolymer, liquid fluoroelastomers, pellicles, and silicon anode material for lithium-ion batteries. In addition, it is involved in the processed plastics; export of technologies and plants; export and import of products; and engineering activities. The company was formerly known as Shin-Etsu Nitrogen Fertilizer Co., Ltd. and changed its name to Shin-Etsu Chemical Co., Ltd. in 1940. Shin-Etsu Chemical Co., Ltd. was incorporated in 1926 and is headquartered in Tokyo, Japan.
4063.T passes 4 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Shin-Etsu Chemical (4063.T) undervalued?
Against our discounted cash flow estimate of ¥2,928.00, 4063.T at ¥7,361.00 is 60% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is 4063.T's P/E ratio?
4063.T trades at 29.0 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.