Denso Corp
TSE:6902

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Denso Corp
TSE:6902
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Price: 1 882.5 JPY 1.95%
Market Cap: ¥5.5T

EV/IC

0.7
Current
25%
Cheaper
vs 3-y average of 1

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
0.7
=
Enterprise Value
¥5.5T
/
Invested Capital
¥6.4T

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
0.7
=
Enterprise Value
¥5.5T
/
Invested Capital
¥6.4T

Valuation Scenarios

Denso Corp is trading below its 3-year average

If EV/IC returns to its 3-Year Average (1), the stock would be worth ¥2 511.19 (33% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+35%
Average Upside
24%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 0.7 ¥1 882.5
0%
3-Year Average 1 ¥2 511.19
+33%
5-Year Average 0.8 ¥2 190.7
+16%
Industry Average 0.8 ¥2 092.28
+11%
Country Average 1 ¥2 539.16
+35%

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
30th
Based on 5 142 companies
30th percentile
0.7
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

Denso Corp
Glance View

Market Cap
5.5T JPY
Industry
Auto Components

Denso Corporation, a stalwart in the automotive industry, traces its roots back to 1949 when it spun off from Toyota Motor Corporation with a vision to innovate and revolutionize automobile components manufacturing. With headquarters located in Kariya, Japan, Denso quietly became a global powerhouse, primarily crafting advanced technologies and components essential for nearly every automaker's lineup. Its diverse range of products includes powertrain systems, thermal systems, electronic systems, and safety systems that enhance vehicle performance, efficiency, and safety. Through continuous innovation and investment in research and development, Denso efficiently adapts to the rapidly changing automotive landscape, focusing on areas such as electrification, connectivity, and automation. This adaptability fosters a symbiotic relationship with leading automotive players and cements Denso’s pivotal role in the mobility revolution. Financially, Denso thrives by integrating high-quality manufacturing and cutting-edge technological insights, ensuring a steady stream of revenue from its expansive portfolio. The strategic emphasis on robust partnerships with automotive giants and the diversification of product offerings has cemented its revenue streams. Denso's approach ensures an operational focus beyond mere component manufacturing, wading into software solutions pivotal for future mobility trends such as autonomous driving and connected vehicles. As the automotive world navigates toward sustainability, Denso’s investments and innovations in electrification and hybrid systems not only demonstrate a commitment to environmental stewardship but also signify a strategic pursuit of profitable growth. Its ability to maintain operational excellence while embracing radical changes in vehicle technology has allowed Denso to not only survive but thrive, continuing to drive forward the future of mobility.

Intrinsic Value
2 645.38 JPY
Undervaluation 29%
Intrinsic Value
Price ¥1 882.5
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