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CTS

TSE:4345
Snowflake Description

Excellent balance sheet average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
4345
TSE
¥22B
Market Cap
  1. Home
  2. JP
  3. Commercial Services
Company description

CTS Co., Ltd. primarily provides ICT construction services for the construction industry in Japan. The last earnings update was 53 days ago. More info.


Add to Portfolio Compare Print
  • CTS has significant price volatility in the past 3 months.
4345 Share Price and Events
7 Day Returns
-4.7%
TSE:4345
-6.2%
JP Commercial Services
-4.3%
JP Market
1 Year Returns
-17.9%
TSE:4345
-13.6%
JP Commercial Services
-14.8%
JP Market
4345 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CTS (4345) -4.7% -7.4% -29.8% -17.9% 57.9% 131.2%
JP Commercial Services -6.2% -6.5% -23.1% -13.6% -7.4% -5.5%
JP Market -4.3% -7.4% -20.4% -14.8% -8% -11%
1 Year Return vs Industry and Market
  • 4345 underperformed the Commercial Services industry which returned -13.6% over the past year.
  • 4345 underperformed the Market in Japan which returned -14.8% over the past year.
Price Volatility
4345
Industry
5yr Volatility vs Market

4345 Value

 Is CTS undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of CTS to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for CTS.

TSE:4345 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5%
Perpetual Growth Rate 10-Year JP Government Bond Rate -0.1%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSE:4345
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year JP Govt Bond Rate -0.1%
Equity Risk Premium S&P Global 6.3%
Commercial Services Unlevered Beta Simply Wall St/ S&P Global 0.64
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.638 (1 + (1- 30.86%) (10.07%))
0.787
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.09% + (0.8 * 6.33%)
4.97%

Discounted Cash Flow Calculation for TSE:4345 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for CTS is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

TSE:4345 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (JPY, Millions) Source Present Value
Discounted (@ 4.97%)
2020 1,512.93 Est @ 1.81% 1,441.24
2021 1,531.71 Est @ 1.24% 1,390.00
2022 1,544.61 Est @ 0.84% 1,335.28
2023 1,553.30 Est @ 0.56% 1,279.17
2024 1,558.99 Est @ 0.37% 1,223.03
2025 1,562.58 Est @ 0.23% 1,167.75
2026 1,564.67 Est @ 0.13% 1,113.91
2027 1,565.71 Est @ 0.07% 1,061.83
2028 1,566.02 Est @ 0.02% 1,011.72
2029 1,565.81 Est @ -0.01% 963.65
Present value of next 10 years cash flows ¥11,987.00
TSE:4345 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ¥1,565.81 × (1 + -0.09%) ÷ (4.97% – -0.09%)
¥30,892.57
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ¥30,892.57 ÷ (1 + 4.97%)10
¥19,012.39
TSE:4345 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ¥11,987.00 + ¥19,012.39
¥30,999.39
Equity Value per Share
(JPY)
= Total value / Shares Outstanding
= ¥30,999.39 / 42.68
¥726.34
TSE:4345 Discount to Share Price
Calculation Result
Value per share (JPY) From above. ¥726.34
Current discount Discount to share price of ¥522.00
= -1 x (¥522.00 - ¥726.34) / ¥726.34
28.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price CTS is available for.
Intrinsic value
28%
Share price is ¥522 vs Future cash flow value of ¥726.34
Current Discount Checks
For CTS to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • CTS's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • CTS's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for CTS's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CTS's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSE:4345 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in JPY ¥27.92
TSE:4345 Share Price ** TSE (2020-04-07) in JPY ¥522
Japan Commercial Services Industry PE Ratio Median Figure of 111 Publicly-Listed Commercial Services Companies 11.98x
Japan Market PE Ratio Median Figure of 3,073 Publicly-Listed Companies 11.75x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of CTS.

TSE:4345 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSE:4345 Share Price ÷ EPS (both in JPY)

= 522 ÷ 27.92

18.7x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CTS is overvalued based on earnings compared to the JP Commercial Services industry average.
  • CTS is overvalued based on earnings compared to the Japan market.
Price based on expected Growth
Does CTS's expected growth come at a high price?
Raw Data
TSE:4345 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.7x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
12.1%per year
Japan Commercial Services Industry PEG Ratio Median Figure of 32 Publicly-Listed Commercial Services Companies 1.29x
Japan Market PEG Ratio Median Figure of 1,282 Publicly-Listed Companies 1.29x

*Line of best fit is calculated by linear regression .

TSE:4345 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.7x ÷ 12.1%

1.54x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CTS is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on CTS's assets?
Raw Data
TSE:4345 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in JPY ¥176.76
TSE:4345 Share Price * TSE (2020-04-07) in JPY ¥522
Japan Commercial Services Industry PB Ratio Median Figure of 129 Publicly-Listed Commercial Services Companies 0.78x
Japan Market PB Ratio Median Figure of 3,578 Publicly-Listed Companies 0.82x
TSE:4345 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSE:4345 Share Price ÷ Book Value per Share (both in JPY)

= 522 ÷ 176.76

2.95x

* Primary Listing of CTS.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CTS is overvalued based on assets compared to the JP Commercial Services industry average.
X
Value checks
We assess CTS's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Commercial Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Commercial Services industry average (and greater than 0)? (1 check)
  5. CTS has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

4345 Future Performance

 How is CTS expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CTS expected to grow at an attractive rate?
  • CTS's earnings growth is expected to exceed the low risk savings rate of -0.1%.
Growth vs Market Checks
  • CTS's earnings growth is expected to exceed the Japan market average.
  • CTS's revenue growth is expected to exceed the Japan market average.
Annual Growth Rates Comparison
Raw Data
TSE:4345 Future Growth Rates Data Sources
Data Point Source Value (per year)
TSE:4345 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 12.1%
TSE:4345 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 8.4%
Japan Commercial Services Industry Earnings Growth Rate Market Cap Weighted Average 4.2%
Japan Commercial Services Industry Revenue Growth Rate Market Cap Weighted Average 2.6%
Japan Market Earnings Growth Rate Market Cap Weighted Average 9.1%
Japan Market Revenue Growth Rate Market Cap Weighted Average 3.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSE:4345 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in JPY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSE:4345 Future Estimates Data
Date (Data in JPY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31 10,815 2,840 1,550 2
2021-03-31 9,915 2,645 1,385 2
2020-04-07
2020-03-31 9,175 2,360 1,220 2
TSE:4345 Past Financials Data
Date (Data in JPY Millions) Revenue Cash Flow Net Income *
2019-12-31 8,947 1,194
2019-09-30 8,803 1,486 1,123
2019-06-30 8,785 1,108
2019-03-31 8,613 1,724 1,066
2018-12-31 8,816 1,052
2018-09-30 8,782 1,653 1,057
2018-06-30 8,520 1,009
2018-03-31 8,578 1,862 1,026

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • CTS's earnings are expected to grow by 12.1% yearly, however this is not considered high growth (20% yearly).
  • CTS's revenue is expected to grow by 8.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSE:4345 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from CTS Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSE:4345 Future Estimates Data
Date (Data in JPY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31 36.35 38.70 34.00 2.00
2021-03-31 32.45 34.00 30.90 2.00
2020-04-07
2020-03-31 28.60 29.30 27.90 2.00
TSE:4345 Past Financials Data
Date (Data in JPY Millions) EPS *
2019-12-31 27.92
2019-09-30 26.15
2019-06-30 25.70
2019-03-31 24.62
2018-12-31 24.24
2018-09-30 24.71
2018-06-30 24.07
2018-03-31 24.99

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if CTS will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess CTS's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Japan market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Japan market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
CTS has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

4345 Past Performance

  How has CTS performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare CTS's growth in the last year to its industry (Commercial Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Insufficient data to establish if CTS's year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare CTS's 1-year earnings growth to the 5-year average due to insufficient past data.
  • CTS's earnings growth has exceeded the JP Commercial Services industry average in the past year (13.5% vs 9.1%).
Earnings and Revenue History
CTS's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from CTS Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSE:4345 Past Revenue, Cash Flow and Net Income Data
Date (Data in JPY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 8,947.00 1,194.00 2,224.00
2019-09-30 8,803.00 1,123.00 2,196.00
2019-06-30 8,785.00 1,108.00 2,176.00
2019-03-31 8,613.00 1,066.00 2,163.00
2018-12-31 8,816.00 1,052.00 2,137.00
2018-09-30 8,782.00 1,057.00 2,097.00
2018-06-30 8,520.00 1,009.00 2,076.00
2018-03-31 8,578.00 1,026.00 2,038.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • CTS has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • CTS used its assets more efficiently than the JP Commercial Services industry average last year based on Return on Assets.
  • Unable to establish if CTS improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess CTS's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Commercial Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
CTS has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

4345 Health

 How is CTS's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up CTS's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CTS is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CTS's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of CTS's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 30.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from CTS Company Filings, last reported 3 months ago.

TSE:4345 Past Debt and Equity Data
Date (Data in JPY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 7,544.00 1,000.00 6,134.00
2019-09-30 7,409.00 1,000.00 6,054.00
2019-06-30 7,112.00 1,000.00 5,818.00
2019-03-31 7,119.00 1,000.00 6,243.00
2018-12-31 7,283.00 1,000.00 6,372.00
2018-09-30 7,236.00 1,000.00 6,325.00
2018-06-30 6,941.00 1,000.00 6,071.00
2018-03-31 6,959.00 1,000.00 6,390.00
  • CTS's level of debt (3.9%) compared to net worth is satisfactory (less than 40%).
  • Unable to establish if CTS's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (510.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 49.1x coverage).
X
Financial health checks
We assess CTS's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. CTS has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

4345 Dividends

 What is CTS's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.3%
Current annual income from CTS dividends. Estimated to be 2.59% next year.
If you bought ¥2,000 of CTS shares you are expected to receive ¥46 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • CTS's pays a higher dividend yield than the bottom 25% of dividend payers in Japan (1.76%).
  • CTS's dividend is below the markets top 25% of dividend payers in Japan (4.09%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSE:4345 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Japan Commercial Services Industry Average Dividend Yield Market Cap Weighted Average of 111 Stocks 2.4%
Japan Market Average Dividend Yield Market Cap Weighted Average of 2987 Stocks 2.9%
Japan Minimum Threshold Dividend Yield 10th Percentile 1%
Japan Bottom 25% Dividend Yield 25th Percentile 1.8%
Japan Top 25% Dividend Yield 75th Percentile 4.1%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSE:4345 Future Dividends Estimate Data
Date (Data in ¥) Dividend per Share (annual) Avg. No. Analysts
2022-03-31 14.00 2.00
2021-03-31 13.00 2.00
2020-04-07
2020-03-31 12.00 2.00
TSE:4345 Past Annualized Dividends Data
Date (Data in ¥) Dividend per share (annual) Avg. Yield (%)
2020-02-14 12.000 2.162
2019-11-14 12.000 1.609
2019-10-31 12.000 1.635
2019-06-19 12.000 1.707
2019-04-26 12.000 1.779
2018-11-14 11.000 1.654
2018-10-31 11.000 1.539
2018-07-31 11.000 1.392
2018-06-22 11.000 1.000
2018-04-27 11.000 1.172
2018-02-14 10.000 1.286
2018-02-07 10.000 1.418
2017-11-14 10.000 1.141
2017-11-07 10.000 1.125
2017-08-10 3.500 0.462
2011-02-09 3.938 7.863
2010-11-10 3.938 6.251
2010-08-04 2.000 3.848
2010-06-18 1.969 3.759
2010-02-01 1.813 4.500
2009-11-05 1.656 5.960
2009-07-30 1.656 5.586
2009-06-19 1.563 5.397

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of CTS's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.5x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess CTS's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can CTS afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CTS has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

4345 Management

 What is the CEO of CTS's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Taizo Yokoshima
AGE 59
TENURE AS CEO 17 years
CEO Bio

Mr. Taizo Yokoshima has been the President of CTS Co., Ltd. since April 2003 and served as its Overall Manager of Surveying Measurement Business Department since July 2011. Mr. Yokoshima joined CTS Co. Ltd., in September 1980 and served as its Vice President since June 2001 and Senior Managing Director since July 1995. He served as President of Rental Hanbai Company since August 2002. He has been a Representative Director of CTS Co., Ltd. since June 2001. Mr. Yokoshima served as Director of CTS Co., Ltd., since July 1990, K.K. Sokken since July 1992 and K.K. Line Service since May 2000.

CEO Compensation
  • Insufficient data for Taizo to compare compensation growth.
  • Insufficient data for Taizo to establish whether their remuneration is reasonable compared to companies of similar size in Japan.
Management Team Tenure

Average tenure and age of the CTS management team in years:

10
Average Tenure
59.5
Average Age
  • The average tenure for the CTS management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Taizo Yokoshima

TITLE
President and Representative Director
AGE
59
TENURE
17 yrs

Takashi Karino

TITLE
Senior MD
AGE
39
TENURE
4 yrs

Takeshi Miyazaki

TITLE
Manager of Kanto Area and Director
AGE
60

Masanori Furuya

TITLE
Manager of Environmental Protection Business Department and Director
AGE
65
TENURE
10 yrs
Board of Directors Tenure

Average tenure and age of the CTS board of directors in years:

11.8
Average Tenure
62.5
Average Age
  • The average tenure for the CTS board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Taizo Yokoshima

TITLE
President and Representative Director
AGE
59
TENURE
29.8 yrs

Takashi Karino

TITLE
Senior MD
AGE
39

Takeshi Miyazaki

TITLE
Manager of Kanto Area and Director
AGE
60
TENURE
12.8 yrs

Masanori Furuya

TITLE
Manager of Environmental Protection Business Department and Director
AGE
65
TENURE
17.8 yrs

Minoru Hayase

TITLE
External Director
AGE
70
TENURE
6.8 yrs

Hiromichi Sasaki

TITLE
Part-Time Auditor
AGE
59
TENURE
11.8 yrs

Kenji Minazawa

TITLE
Part-Time Auditor
AGE
67
TENURE
9.8 yrs

Hisashi Ashida

TITLE
Full-Time Auditor
AGE
69
TENURE
6.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (¥) Value (¥)
X
Management checks
We assess CTS's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. CTS has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

4345 News

Simply Wall St News

4345 Company Info

Description

CTS Co., Ltd. primarily provides ICT construction services for the construction industry in Japan. The company also offers IT infrastructures for civil engineering, construction, and facility site offices; rents cloud solutions, color MFPs, inkjet printers, applications, and network cameras; sells color MFPs/printers, personal computers, displays, projectors, digital cameras, office supplies, and network cameras and equipment; and provides network construction and Internet setting, installation setting, and equipment repair and maintenance services. In addition, it offers data creation services, such as 3D measurement agency, electronic delivery, etc.; and rents, sells, and repairs surveying instruments, information conversion construction equipment, 3D measuring instruments, and measuring machines/applied measuring instruments. Further, the company rents office furnishings; sells unit houses, office furniture, household appliances, air conditioners, heating appliances, etc.; rents and sells ACs, office desks, conference tables, chairs, bookshelves, and solar radiation conditions; and rents IT infrastructure, as well as provides sterilization cleaning services. Additionally, it constructs lane lines and road markings; installs protective fences; and designs and constructs disaster prevention shelters, solar lights, and playthings. CTS Co., Ltd. was founded in 1972 and is headquartered in Ueda, Japan.

Details
Name: CTS Co., Ltd.
4345
Exchange: TSE
Founded: 1972
¥22,278,518,910
42,679,155
Website: http://www.cts-h.co.jp
Address: CTS Co., Ltd.
115 Kuriyasu,
Ueda,
Nagano, Japan
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSE 4345 Common Shares The Tokyo Stock Exchange JP JPY 06. Mar 2002
Number of employees
Current staff
Staff numbers
246
CTS employees.
Industry
Diversified Support Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/07 15:57
End of day share price update: 2020/04/07 00:00
Last estimates confirmation: 2020/02/03
Last earnings filing: 2020/02/14
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.