TAKEDA PHARMACEUTIC-SP ADR (TAK) Stock Fundamental Analysis
NYSE:TAK - US8740602052 - ADR
14.99 USD
+0.02 (+0.13%)
14.99 USD
0 (0%)
Taking everything into account, TAK scores 5 out of 10 in our fundamental rating. TAK was compared to 195 industry peers in the Pharmaceuticals industry. TAK has an excellent profitability rating, but there are concerns on its financial health. TAK is not valued too expensively and it also shows a decent growth rate. TAK also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year TAK was profitable.
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
The Return On Assets of TAK (0.98%) is better than 80.51% of its industry peers.
Looking at the Return On Equity, with a value of 1.99%, TAK belongs to the top of the industry, outperforming 82.56% of the companies in the same industry.
TAK has a Return On Invested Capital of 2.18%. This is in the better half of the industry: TAK outperforms 79.49% 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 15.28%.
| 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 Profit Margin of 3.06%. This is amongst the best in the industry. TAK outperforms 82.05% of its industry peers.
In the last couple of years the Profit Margin of TAK has grown nicely.
TAK's Operating Margin of 9.34% is amongst the best of the industry. TAK outperforms 81.54% of its industry peers.
In the last couple of years the Operating Margin of TAK has grown nicely.
TAK has a better Gross Margin (64.78%) than 72.31% of its industry peers.
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
TAK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, TAK has more shares outstanding
The number of shares outstanding for TAK has been increased compared to 5 years ago.
Compared to 1 year ago, TAK has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.15, we must say that TAK is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.15, TAK perfoms like the industry average, outperforming 58.97% of the companies in the same industry.
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.
With an excellent Debt to FCF ratio value of 5.51, TAK belongs to the best of the industry, outperforming 82.05% of the companies in the same industry.
A Debt/Equity ratio of 0.60 indicates that TAK is somewhat dependend on debt financing.
The Debt to Equity ratio of TAK (0.60) is worse than 64.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 5.51 | ||
| Altman-Z | 1.15 |
ROIC/WACC1.36
WACC1.61%
2.3 Liquidity
A Current Ratio of 1.16 indicates that TAK should not have too much problems paying its short term obligations.
TAK has a Current ratio of 1.16. This is in the lower half of the industry: TAK underperforms 78.46% of its industry peers.
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.
TAK's Quick ratio of 0.59 is on the low side compared to the rest of the industry. TAK is outperformed by 87.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
TAK shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.64%.
Measured over the past years, TAK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.20% on average per year.
Looking at the last year, TAK shows a small growth in Revenue. The Revenue has grown by 1.52% in the last year.
TAK shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.84% yearly.
EPS 1Y (TTM)-8.64%
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
TAK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 48.11% yearly.
The Revenue is expected to grow by 0.63% on average over the next years.
EPS Next Y124.68%
EPS Next 2Y69.23%
EPS Next 3Y48.11%
EPS Next 5YN/A
Revenue Next Year-0.85%
Revenue Next 2Y-0.01%
Revenue Next 3Y0.63%
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
The Price/Earnings ratio is 51.69, which means the current valuation is very expensive for TAK.
Compared to the rest of the industry, the Price/Earnings ratio of TAK indicates a somewhat cheap valuation: TAK is cheaper than 78.97% of the companies listed in the same industry.
TAK is valuated expensively when we compare the Price/Earnings ratio to 27.13, which is the current average of the S&P500 Index.
TAK is valuated rather expensively with a Price/Forward Earnings ratio of 22.75.
TAK's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TAK is cheaper than 72.82% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.76. TAK is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.69 | ||
| Fwd PE | 22.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TAK is valued cheaply inside the industry as 88.72% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TAK indicates a rather cheap valuation: TAK is cheaper than 92.31% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.52 | ||
| EV/EBITDA | 9.4 |
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.
TAK has an outstanding profitability rating, which may justify a higher PE ratio.
TAK's earnings are expected to grow with 48.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.41
PEG (5Y)2.69
EPS Next 2Y69.23%
EPS Next 3Y48.11%
5. Dividend
5.1 Amount
TAK has a Yearly Dividend Yield of 4.51%, which is a nice return.
Compared to an average industry Dividend Yield of 5.73, TAK pays a better dividend. On top of this TAK pays more dividend than 95.38% of the companies listed in the same industry.
TAK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
5.2 History
The dividend of TAK has a limited annual growth rate of 1.18%.
TAK has paid a dividend for at least 10 years, which is 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
TAK pays out 226.17% of its income as dividend. 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 2Y69.23%
EPS Next 3Y48.11%
14.99
+0.02 (+0.13%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners44.74%
Inst Owner Change9.71%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap47.34B
Analysts74
Price Target17.32 (15.54%)
Short Float %0.26%
Short Ratio2.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
Yearly Dividend0.65
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)10.91%
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)0.83%
PT rev (3m)-2.75%
EPS NQ rev (1m)2.26%
EPS NQ rev (3m)N/A
EPS NY rev (1m)2.66%
EPS NY rev (3m)1.53%
Revenue NQ rev (1m)1.1%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)-0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.69 | ||
| Fwd PE | 22.75 | ||
| P/S | 1.56 | ||
| P/FCF | 8.52 | ||
| P/OCF | 6.32 | ||
| P/B | 1.02 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.4 |
EPS(TTM)0.29
EY1.93%
EPS(NY)0.66
Fwd EY4.4%
FCF(TTM)1.76
FCFY11.74%
OCF(TTM)2.37
OCFY15.83%
SpS9.64
BVpS14.77
TBVpS-3.99
PEG (NY)0.41
PEG (5Y)2.69
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%
ROICexcg growth 3Y-6.2%
ROICexcg 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 | 1.15 |
F-Score7
WACC1.61%
ROIC/WACC1.36
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)-8.64%
EPS 3Y-22.57%
EPS 5Y19.2%
EPS Q2Q%30.79%
EPS Next Y124.68%
EPS Next 2Y69.23%
EPS Next 3Y48.11%
EPS Next 5YN/A
Revenue 1Y (TTM)1.52%
Revenue growth 3Y8.68%
Revenue growth 5Y6.84%
Sales Q2Q%-8.39%
Revenue Next Year-0.85%
Revenue Next 2Y-0.01%
Revenue Next 3Y0.63%
Revenue Next 5YN/A
EBIT growth 1Y1.04%
EBIT growth 3Y-0.52%
EBIT growth 5Y13.39%
EBIT Next Year435.25%
EBIT Next 3Y77.68%
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%