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Shin-Etsu Chemical Co Ltd
TSE:4063

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Shin-Etsu Chemical Co Ltd
TSE:4063
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Price: 6 664 JPY 0.33% Market Closed
Market Cap: ¥13.2T

EV/EBIT

17.5
Current
58%
More Expensive
vs 3-y average of 11.1

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
17.5
=
Enterprise Value
¥9.9T
/
EBIT
¥640.7B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
17.5
=
Enterprise Value
¥9.9T
/
EBIT
¥640.7B

Valuation Scenarios

Shin-Etsu Chemical Co Ltd is trading above its 3-year average

If EV/EBIT returns to its 3-Year Average (11.1), the stock would be worth ¥4 230.03 (37% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-48%
Maximum Upside
No Upside Scenarios
Average Downside
34%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 17.5 ¥6 664
0%
3-Year Average 11.1 ¥4 230.03
-37%
5-Year Average 9 ¥3 432.33
-48%
Industry Average 12.7 ¥4 819.61
-28%
Country Average 13.6 ¥5 190.79
-22%

Forward EV/EBIT
Today’s price vs future ebit

Not enough data available to calculate forward EV/EBIT

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
JP
Shin-Etsu Chemical Co Ltd
TSE:4063
12.5T JPY 17.5 25.7
US
Sherwin-Williams Co
NYSE:SHW
83B USD 24.8 32.6
US
Ecolab Inc
NYSE:ECL
75.8B USD 28.7 36.8
JP
Yasuhara Chemical Co Ltd
TSE:4957
10.8T JPY 7.1 10.5
CN
Wanhua Chemical Group Co Ltd
SSE:600309
274.5B CNY 21.3 24.9
CH
Givaudan SA
SIX:GIVN
26B CHF 21.6 24.3
IN
Asian Paints Ltd
NSE:ASIANPAINT
2.5T INR 46.4 62.8
DK
Novozymes A/S
CSE:NZYM B
165.6B DKK 37.9 54.8
US
PPG Industries Inc
NYSE:PPG
25B USD 13.5 15.6
CH
Sika AG
F:SIKA
19.9B EUR 14.2 17.5
US
Albemarle Corp
NYSE:ALB
22.9B USD 293.1 -33.6
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
JP
Shin-Etsu Chemical Co Ltd
TSE:4063
Average EV/EBIT: 47.8
17.5
N/A N/A
US
Sherwin-Williams Co
NYSE:SHW
24.8
10%
2.5
US
Ecolab Inc
NYSE:ECL
28.7
12%
2.4
JP
Y
Yasuhara Chemical Co Ltd
TSE:4957
7.1
N/A N/A
CN
Wanhua Chemical Group Co Ltd
SSE:600309
21.3
7%
3
CH
Givaudan SA
SIX:GIVN
21.6
6%
3.6
IN
Asian Paints Ltd
NSE:ASIANPAINT
46.4
10%
4.6
DK
Novozymes A/S
CSE:NZYM B
37.9
N/A N/A
US
PPG Industries Inc
NYSE:PPG
13.5
9%
1.5
CH
Sika AG
F:SIKA
14.2
10%
1.4
US
Albemarle Corp
NYSE:ALB
293.1
152%
1.9
P/E Multiple
Earnings Growth PEG
JP
Shin-Etsu Chemical Co Ltd
TSE:4063
Average P/E: 30.5
25.7
7%
3.7
US
Sherwin-Williams Co
NYSE:SHW
32.6
14%
2.3
US
Ecolab Inc
NYSE:ECL
36.8
14%
2.6
JP
Y
Yasuhara Chemical Co Ltd
TSE:4957
10.5
N/A N/A
CN
Wanhua Chemical Group Co Ltd
SSE:600309
24.9
13%
1.9
CH
Givaudan SA
SIX:GIVN
24.3
6%
4
IN
Asian Paints Ltd
NSE:ASIANPAINT
62.8
15%
4.2
DK
Novozymes A/S
CSE:NZYM B
54.8
N/A N/A
US
PPG Industries Inc
NYSE:PPG
15.6
10%
1.6
CH
Sika AG
F:SIKA
17.5
8%
2.2
US
Albemarle Corp
NYSE:ALB
Negative Multiple: -33.6 N/A N/A

Market Distribution

In line with most companies in Japan
Percentile
68th
Based on 4 801 companies
68th percentile
17.5
Low
0.1 — 9.8
Typical Range
9.8 — 18.1
High
18.1 —
Distribution Statistics
Japan
Min 0.1
30th Percentile 9.8
Median 13.6
70th Percentile 18.1
Max 414 821 439

Shin-Etsu Chemical Co Ltd
Glance View

Shin-Etsu Chemical Co., Ltd., founded in 1926, stands as a titan in the realm of chemical manufacturing, with roots deeply embedded in the innovation soil of Japan. What once began as a local enterprise focusing on limestone-based products has blossomed into a global powerhouse. At the helm of its vast empire sits its extensive production of polyvinyl chloride (PVC) and silicon products, which serve as the lifeblood coursing through a multitude of industries worldwide. By mastering the delicate art of efficiently producing high-purity silicon wafers—crucial components in the ever-expanding semiconductor sector—Shin-Etsu has established a near-unassailable position as a key supplier to technology giants and electronics manufacturers across the globe. The company's success is not confined to a single product line; its diverse portfolio spans a spectrum of industries, including construction, automotive, pharmaceuticals, and telecommunications. This not only minimizes risk but also proves Shin-Etsu's adaptability in an era where technological shifts occur at breakneck speed. Through strategic investments in research and development, the firm continuously refines its products, ensuring compatibility with evolving client needs and environmental sustainability demands. With operations sprawling across Asia, North America, and Europe, Shin-Etsu's disciplined yet dynamic approach ensures it remains not just a participant in these markets, but a formidable leader, crafting the materials that allow modern innovation to flourish.

Intrinsic Value
3 291.98 JPY
Overvaluation 51%
Intrinsic Value
Price ¥6 664
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