Sankyo Co Ltd
TSE:6417

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Sankyo Co Ltd
TSE:6417
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Price: 1 886.5 JPY 0.88% Market Closed
Market Cap: ¥413.8B

P/OCF

7.9
Current
5%
Cheaper
vs 3-y average of 8.3

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
7.9
=
Market Cap
¥472.9B
/
Operating Cash Flow
¥52.3B

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
7.9
=
Market Cap
¥472.9B
/
Operating Cash Flow
¥52.3B

Valuation Scenarios

Sankyo Co Ltd is trading below its 3-year average

If P/OCF returns to its 3-Year Average (8.3), the stock would be worth ¥1 976.68 (5% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+46%
Average Upside
26%
Scenario P/OCF Value Implied Price Upside/Downside
Current Multiple 7.9 ¥1 886.5
0%
3-Year Average 8.3 ¥1 976.68
+5%
5-Year Average 8.4 ¥2 013.76
+7%
Industry Average 11.6 ¥2 761.48
+46%
Country Average 11.5 ¥2 730.48
+45%

Forward P/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward P/OCF

Peer Comparison

All Multiples
P/OCF
P/E
All Countries
Close
Market Cap P/OCF P/E
JP
Sankyo Co Ltd
TSE:6417
413.8B JPY 7.9 7.7
JP
Bandai Namco Holdings Inc
TSE:7832
2.4T JPY 16.3 20.8
US
Hasbro Inc
NASDAQ:HAS
13.4B USD 14.7 -40.7
JP
Shimano Inc
TSE:7309
1.4T JPY 22.3 38.4
UK
Games Workshop Group PLC
LSE:GAW
6.4B GBP 22.7 30.8
CA
BRP Inc
TSX:DOO
8.4B CAD 4.4 18.2
CN
Zhejiang CFMoto Power Co Ltd
SSE:603129
41.4B CNY 14.7 24.6
US
Acushnet Holdings Corp
NYSE:GOLF
5.7B USD 29.4 30.3
US
Brunswick Corp
NYSE:BC
5.2B USD 9.2 -37.5
IT
Technogym SpA
MIL:TGYM
4B EUR 22.4 35.5
US
Mattel Inc
NASDAQ:MAT
4.5B USD 7.7 11.5
P/E Multiple
Earnings Growth PEG
JP
Sankyo Co Ltd
TSE:6417
Average P/E: 24.2
7.7
4%
1.9
JP
Bandai Namco Holdings Inc
TSE:7832
20.8
7%
3
US
Hasbro Inc
NASDAQ:HAS
Negative Multiple: -40.7 N/A N/A
JP
Shimano Inc
TSE:7309
38.4
32%
1.2
UK
Games Workshop Group PLC
LSE:GAW
30.8
5%
6.2
CA
BRP Inc
TSX:DOO
18.2
34%
0.5
CN
Zhejiang CFMoto Power Co Ltd
SSE:603129
24.6
N/A N/A
US
Acushnet Holdings Corp
NYSE:GOLF
30.3
12%
2.5
US
Brunswick Corp
NYSE:BC
Negative Multiple: -37.5 N/A N/A
IT
Technogym SpA
MIL:TGYM
35.5
13%
2.7
US
Mattel Inc
NASDAQ:MAT
11.5
11%
1

Market Distribution

Lower than 71% of companies in Japan
Percentile
29th
Based on 4 634 companies
29th percentile
7.9
Low
0.1 — 8
Typical Range
8 — 16
High
16 —
Distribution Statistics
Japan
Min 0.1
30th Percentile 8
Median 11.5
70th Percentile 16
Max 277 515 329.3

Sankyo Co Ltd
Glance View

Sankyo Co., Ltd., founded in 1966, has carved a distinctive niche in Japan's vibrant entertainment landscape, primarily through its pachinko business. The company specializes in the design, manufacturing, and sales of these popular mechanical games, which combine elements of traditional pinball and slot machines. Located mainly in densely populated urban areas, pachinko parlors captivate millions of enthusiasts, offering an exhilarating mix of chance and skill. Sankyo's offerings are renowned for their innovative features and engaging themes, often inspired by mainstream entertainment like anime and television series, which inject a fresh sense of excitement among players. By developing state-of-the-art machines, the company has not only maintained its competitive edge but also secured a loyal customer base, enhancing the pachinko parlor experience. Moreover, Sankyo has extended its business strategy beyond just manufacturing pachinko machines. The company's robust approach includes a significant focus on diversified income streams, such as leasing machines to parlors and generating recurring revenue through maintenance and service agreements. Additionally, Sankyo strategically invests in research and development to continually innovate its products, ensuring they remain at the forefront of technological advancement in the gaming sector. The company also explores international expansion and partnerships, looking to capitalize on global entertainment trends. This multifaceted business model allows Sankyo to sustain its profitability and market leadership in a sector that is as dynamic as it is competitive. By doing so, Sankyo not only fortifies its position in the domestic market but also lays the groundwork for potential international recognition in the arcade entertainment industry.

Intrinsic Value
3 122.31 JPY
Undervaluation 40%
Intrinsic Value
Price ¥1 886.5
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