Brother Industries Ltd
TSE:6448

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Brother Industries Ltd
TSE:6448
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Price: 2 980 JPY -0.13% Market Closed
Market Cap: ¥768.1B

EV/IC

0.8
Current
4%
More Expensive
vs 3-y average of 0.8

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.8
=
Enterprise Value
¥621.5B
/
Invested Capital
¥713.1B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.8
=
Enterprise Value
¥621.5B
/
Invested Capital
¥713.1B

Valuation Scenarios

Brother Industries Ltd is trading above its 3-year average

If EV/IC returns to its 3-Year Average (0.8), the stock would be worth ¥2 861.4 (4% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-4%
Maximum Upside
+233%
Average Upside
62%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 0.8 ¥2 980
0%
3-Year Average 0.8 ¥2 861.4
-4%
5-Year Average 0.8 ¥2 891.74
-3%
Industry Average 2.6 ¥9 919.55
+233%
Country Average 1 ¥3 653.37
+23%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close

Market Distribution

In line with most companies in Japan
Percentile
37th
Based on 5 142 companies
37th percentile
0.8
Low
0 — 0.7
Typical Range
0.7 — 1.5
High
1.5 —
Distribution Statistics
Japan
Min 0
30th Percentile 0.7
Median 1
70th Percentile 1.5
Max 23 050 349

Brother Industries Ltd
Glance View

Market Cap
768.1B JPY
Industry
Technology

Brother Industries Ltd., founded in Nagoya, Japan, has evolved from a small sewing machine repair business into a multinational corporation known for its spectrum of innovative products. Initially capitalizing on its technical expertise in sewing machines, it successfully ventured into a diverse range of business lines over the decades. Today, Brother's portfolio extends beyond its traditional roots to encompass printing and imaging equipment, such as printers, fax machines, and multifunction devices. This transition showcases their strategic pivot towards leveraging technology in the office and home environment. The company's relentless pursuit of precision and reliability ensures that it maintains a solid footing in the competitive market of electronics and office equipment. The heartbeat of Brother Industries' business model lies in its ability to blend hardware with consumables, creating a cycle of recurring revenue. While the sale of printers and multifunction devices forms the backbone of its operations, the continued purchasing of ink, toner, and other supplies provides a steady stream of income. Brother's commitment to quality and customer service fosters strong brand loyalty and repeat business. Moreover, the company invests heavily in R&D to stay ahead in technological advancements, continuously evolving to meet the needs of modern businesses and consumers. Through strategic diversification and a keen focus on sustainable growth, Brother Industries reinforces its position as a leader in both innovation and customer satisfaction.

Intrinsic Value
3 884.29 JPY
Undervaluation 23%
Intrinsic Value
Price ¥2 980
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