Today I will talk about Nissan Motor, a major automobile manufacturer (had the second most number of car registration in Japan in 2017) with a high dividend and capital tied up with Renault in France.
As you know, the automobile industry is going through a transition period of new ideas such as automatic driving, electric vehicle (EV), ride sharing, and so on.
In addition, this industry is the main battlefield for US-China trade friction with the risk of extreme policy change in the largest market in China.Therefore, the stock price has been low due to uncertain outlooks.
￥1,040（8/31 last closing price) The latest stock price ← click here
The final month of the settlement: March Dividend yield 5.48% PER 8.13 PBR 0.77
Equity ratio 28.7% (the standard figure of manufacturing industry is 45-60%）
With the spread of electric vehicles, there is concern that the technology and know-how of gasoline engines accumulated so far will become unneeded or obsolete, but profits and dividends are still stable every year.
It is surprising that investors estimate this company is less than its liquidation value (PBR 0.77)
Transition of business results
|
|
Net sales |
Operating profit |
Net profit |
Net profit per share |
dividend |
Dividend payout ratio |
|
2016.3 |
12,189,519 |
793,278 |
523,841 |
125 |
42 |
34% |
|
2017.3 |
11,720,041 |
742,228 |
663,499 |
166 |
48 |
29% |
|
2018.3 |
11,951,169 |
574,760 |
746,892 |
191 |
53 |
28% |
|
2019.3 |
12,000,000 |
540,000 |
500,000 |
128 |
57 |
45% |
※Unit of sales, operating profit, net income is one-million yen
※The figure for December 2019.3 is the predicted value
|
Cash flow statement |
2018.3 |
2017.3 |
|
CF operating activities |
10,712 |
13,354 |
|
CF investing activities |
▲11,477 |
▲13,776 |
|
CF financing activities |
368 |
3,206 |
※One unit is one hundred million yen
Points to be concerned
about:
· Increase in costs due to political risks.
· Decrease in the number of vehicles owned by individuals, due to share business expansion.
· New entrants from different industries due to the transition to electric vehicles.
Note: You should be responsible for your own investment. Please make your own final judgment.