TAKEDA PHARMACEUTIC-SP ADR (TAK) Stock Fundamental Analysis
USA - NYSE:TAK - US8740602052 - ADR
14.025 USD
-0.12 (-0.81%)
Taking everything into account, TAK scores 5 out of 10 in our fundamental rating. TAK was compared to 191 industry peers in the Pharmaceuticals industry. While TAK has a great profitability rating, there are quite some concerns on its financial health. TAK is not valued too expensively and it also shows a decent growth rate. Finally TAK also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
TAK had positive earnings in the past year.
TAK had a positive operating cash flow in the past year.
Each year in the past 5 years TAK has been profitable.
Each year in the past 5 years TAK had a positive operating cash flow.
1.2 Ratios
TAK's Return On Assets of 0.98% is amongst the best of the industry. TAK outperforms 80.63% of its industry peers.
TAK has a Return On Equity of 1.99%. This is amongst the best in the industry. TAK outperforms 82.72% of its industry peers.
TAK has a Return On Invested Capital of 2.18%. This is amongst the best in the industry. TAK outperforms 80.10% of its industry peers.
TAK had an Average Return On Invested Capital over the past 3 years of 2.62%. This is significantly below the industry average of 15.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 1.99% | ||
| ROIC | 2.18% |
ROA(3y)1.33%
ROA(5y)1.73%
ROE(3y)2.84%
ROE(5y)3.97%
ROIC(3y)2.62%
ROIC(5y)2.55%
1.3 Margins
TAK has a better Profit Margin (3.06%) than 81.68% of its industry peers.
TAK's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 9.34%, TAK belongs to the top of the industry, outperforming 81.15% of the companies in the same industry.
TAK's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 64.78%, TAK is doing good in the industry, outperforming 73.30% of the companies in the same industry.
TAK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.34% | ||
| PM (TTM) | 3.06% | ||
| GM | 64.78% |
OM growth 3Y-8.47%
OM growth 5Y6.13%
PM growth 3Y-28.5%
PM growth 5Y11.87%
GM growth 3Y-1.71%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TAK is still creating some value.
The number of shares outstanding for TAK has been increased compared to 1 year ago.
Compared to 5 years ago, TAK has more shares outstanding
The debt/assets ratio for TAK has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.13, we must say that TAK is in the distress zone and has some risk of bankruptcy.
TAK has a Altman-Z score (1.13) which is in line with its industry peers.
The Debt to FCF ratio of TAK is 5.51, which is a neutral value as it means it would take TAK, 5.51 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.51, TAK belongs to the top of the industry, outperforming 81.68% of the companies in the same industry.
TAK has a Debt/Equity ratio of 0.60. This is a neutral value indicating TAK is somewhat dependend on debt financing.
TAK's Debt to Equity ratio of 0.60 is on the low side compared to the rest of the industry. TAK is outperformed by 65.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 5.51 | ||
| Altman-Z | 1.13 |
ROIC/WACC1.37
WACC1.6%
2.3 Liquidity
A Current Ratio of 1.16 indicates that TAK should not have too much problems paying its short term obligations.
With a Current ratio value of 1.16, TAK is not doing good in the industry: 79.58% of the companies in the same industry are doing better.
TAK has a Quick Ratio of 1.16. This is a bad value and indicates that TAK is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.59, TAK is not doing good in the industry: 88.48% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The earnings per share for TAK have decreased by -8.65% in the last year.
TAK shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.20% yearly.
TAK shows a small growth in Revenue. In the last year, the Revenue has grown by 1.52%.
The Revenue has been growing slightly by 6.84% on average over the past years.
EPS 1Y (TTM)-8.65%
EPS 3Y-22.57%
EPS 5Y19.2%
EPS Q2Q%30.79%
Revenue 1Y (TTM)1.52%
Revenue growth 3Y8.68%
Revenue growth 5Y6.84%
Sales Q2Q%-8.39%
3.2 Future
The Earnings Per Share is expected to grow by 47.97% on average over the next years. This is a very strong growth
Based on estimates for the next years, TAK will show a small growth in Revenue. The Revenue will grow by 0.30% on average per year.
EPS Next Y127.68%
EPS Next 2Y69.91%
EPS Next 3Y47.97%
EPS Next 5YN/A
Revenue Next Year-1.1%
Revenue Next 2Y-0.26%
Revenue Next 3Y0.3%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 50.09, TAK can be considered very expensive at the moment.
78.01% of the companies in the same industry are more expensive than TAK, based on the Price/Earnings ratio.
TAK is valuated expensively when we compare the Price/Earnings ratio to 27.57, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 21.78, TAK is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TAK indicates a somewhat cheap valuation: TAK is cheaper than 74.35% of the companies listed in the same industry.
TAK is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.09 | ||
| Fwd PE | 21.78 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TAK is valued cheaply inside the industry as 89.01% of the companies are valued more expensively.
TAK's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TAK is cheaper than 91.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.22 | ||
| EV/EBITDA | 9.23 |
4.3 Compensation for Growth
TAK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of TAK may justify a higher PE ratio.
A more expensive valuation may be justified as TAK's earnings are expected to grow with 47.97% in the coming years.
PEG (NY)0.39
PEG (5Y)2.61
EPS Next 2Y69.91%
EPS Next 3Y47.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.75%, TAK is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.88, TAK pays a better dividend. On top of this TAK pays more dividend than 96.86% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, TAK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.75% |
5.2 History
The dividend of TAK has a limited annual growth rate of 1.18%.
TAK has been paying a dividend for at least 10 years, so it has a reliable track record.
TAK has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.18%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
226.17% of the earnings are spent on dividend by TAK. This is not a sustainable payout ratio.
TAK's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP226.17%
EPS Next 2Y69.91%
EPS Next 3Y47.97%
NYSE:TAK (10/23/2025, 1:24:08 PM)
14.025
-0.12 (-0.81%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners43.43%
Inst Owner Change0.1%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap44.29B
Revenue(TTM)4480.25B
Net Income(TTM)136.92B
Analysts74
Price Target17.65 (25.85%)
Short Float %0.3%
Short Ratio2.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.75% |
Yearly Dividend0.63
Dividend Growth(5Y)1.18%
DP226.17%
Div Incr Years2
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.9%
Min EPS beat(2)-17.13%
Max EPS beat(2)38.94%
EPS beat(4)2
Avg EPS beat(4)13.93%
Min EPS beat(4)-41.58%
Max EPS beat(4)75.5%
EPS beat(8)4
Avg EPS beat(8)-39.26%
EPS beat(12)7
Avg EPS beat(12)-23.29%
EPS beat(16)7
Avg EPS beat(16)-35.41%
Revenue beat(2)0
Avg Revenue beat(2)-4.43%
Min Revenue beat(2)-6.76%
Max Revenue beat(2)-2.1%
Revenue beat(4)1
Avg Revenue beat(4)-0.75%
Min Revenue beat(4)-6.76%
Max Revenue beat(4)6.35%
Revenue beat(8)5
Avg Revenue beat(8)4.21%
Revenue beat(12)8
Avg Revenue beat(12)4.29%
Revenue beat(16)12
Avg Revenue beat(16)4.22%
PT rev (1m)0%
PT rev (3m)2.73%
EPS NQ rev (1m)-24.5%
EPS NQ rev (3m)-24.2%
EPS NY rev (1m)1.34%
EPS NY rev (3m)2.89%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)1.49%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.09 | ||
| Fwd PE | 21.78 | ||
| P/S | 1.5 | ||
| P/FCF | 8.22 | ||
| P/OCF | 6.1 | ||
| P/B | 0.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.23 |
EPS(TTM)0.28
EY2%
EPS(NY)0.64
Fwd EY4.59%
FCF(TTM)1.71
FCFY12.16%
OCF(TTM)2.3
OCFY16.4%
SpS9.34
BVpS14.32
TBVpS-3.86
PEG (NY)0.39
PEG (5Y)2.61
Graham Number9.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 1.99% | ||
| ROCE | 3.54% | ||
| ROIC | 2.18% | ||
| ROICexc | 2.27% | ||
| ROICexgc | 9.59% | ||
| OM | 9.34% | ||
| PM (TTM) | 3.06% | ||
| GM | 64.78% | ||
| FCFM | 18.26% |
ROA(3y)1.33%
ROA(5y)1.73%
ROE(3y)2.84%
ROE(5y)3.97%
ROIC(3y)2.62%
ROIC(5y)2.55%
ROICexc(3y)2.76%
ROICexc(5y)2.73%
ROICexgc(3y)14.61%
ROICexgc(5y)14.15%
ROCE(3y)4.25%
ROCE(5y)4.14%
ROICexgc growth 3Y-6.2%
ROICexgc growth 5Y8.09%
ROICexc growth 3Y-3.88%
ROICexc growth 5Y10.72%
OM growth 3Y-8.47%
OM growth 5Y6.13%
PM growth 3Y-28.5%
PM growth 5Y11.87%
GM growth 3Y-1.71%
GM growth 5Y-0.42%
F-Score7
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 5.51 | ||
| Debt/EBITDA | 3.54 | ||
| Cap/Depr | 37.97% | ||
| Cap/Sales | 6.36% | ||
| Interest Coverage | 3.67 | ||
| Cash Conversion | 94.32% | ||
| Profit Quality | 597.37% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 1.13 |
F-Score7
WACC1.6%
ROIC/WACC1.37
Cap/Depr(3y)69.03%
Cap/Depr(5y)56.25%
Cap/Sales(3y)11.53%
Cap/Sales(5y)9.44%
Profit Quality(3y)309.71%
Profit Quality(5y)308.48%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.65%
EPS 3Y-22.57%
EPS 5Y19.2%
EPS Q2Q%30.79%
EPS Next Y127.68%
EPS Next 2Y69.91%
EPS Next 3Y47.97%
EPS Next 5YN/A
Revenue 1Y (TTM)1.52%
Revenue growth 3Y8.68%
Revenue growth 5Y6.84%
Sales Q2Q%-8.39%
Revenue Next Year-1.1%
Revenue Next 2Y-0.26%
Revenue Next 3Y0.3%
Revenue Next 5YN/A
EBIT growth 1Y1.04%
EBIT growth 3Y-0.52%
EBIT growth 5Y13.39%
EBIT Next Year445.18%
EBIT Next 3Y77.79%
EBIT Next 5YN/A
FCF growth 1Y352.48%
FCF growth 3Y-8.86%
FCF growth 5Y9.4%
OCF growth 1Y11.95%
OCF growth 3Y-2%
OCF growth 5Y9.54%