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Trend Micro

TSE:4704
Snowflake Description

Flawless balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
4704
TSE
¥812B
Market Cap
  1. Home
  2. JP
  3. Software
Company description

Trend Micro Incorporated develops and sells security solutions primarily in Japan. The last earnings update was 32 days ago. More info.


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4704 Share Price and Events
7 Day Returns
-4.3%
TSE:4704
0.1%
JP Software
0.1%
JP Market
1 Year Returns
-8.9%
TSE:4704
20.4%
JP Software
8.3%
JP Market
4704 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Trend Micro (4704) -4.3% 0.9% 13.7% -8.9% 38% 67.8%
JP Software 0.1% 9.3% 17% 20.4% 84.9% 128.4%
JP Market 0.1% 1.1% 10% 8.3% 14% 28%
1 Year Return vs Industry and Market
  • 4704 underperformed the Software industry which returned 20.4% over the past year.
  • 4704 underperformed the Market in Japan which returned 8.3% over the past year.
Price Volatility
4704
Industry
5yr Volatility vs Market
Related Companies

4704 Value

 Is Trend Micro 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 Trend Micro 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 Trend Micro.

TSE:4704 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.8%
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:4704
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year JP Govt Bond Rate -0.1%
Equity Risk Premium S&P Global 6.3%
Software Unlevered Beta Simply Wall St/ S&P Global 1.14
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.135 (1 + (1- 30.86%) (0%))
1.09
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.09
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.09% + (1.09 * 6.33%)
6.81%

Discounted Cash Flow Calculation for TSE:4704 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Trend Micro 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:4704 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (JPY, Millions) Source Present Value
Discounted (@ 6.81%)
2020 37,761.80 Analyst x5 35,353.24
2021 39,318.40 Analyst x5 34,462.67
2022 38,096.33 Analyst x3 31,261.72
2023 40,799.00 Analyst x3 31,344.09
2024 41,366.20 Est @ 1.39% 29,752.84
2025 41,757.59 Est @ 0.95% 28,118.67
2026 42,022.88 Est @ 0.64% 26,492.42
2027 42,198.42 Est @ 0.42% 24,906.27
2028 42,310.42 Est @ 0.27% 23,379.56
2029 42,377.60 Est @ 0.16% 21,923.09
Present value of next 10 years cash flows ¥286,994.00
TSE:4704 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ¥42,377.60 × (1 + -0.09%) ÷ (6.81% – -0.09%)
¥613,363.18
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ¥613,363.18 ÷ (1 + 6.81%)10
¥317,309.59
TSE:4704 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ¥286,994.00 + ¥317,309.59
¥604,303.59
Equity Value per Share
(JPY)
= Total value / Shares Outstanding
= ¥604,303.59 / 139.05
¥4346.02
TSE:4704 Discount to Share Price
Calculation Result
Value per share (JPY) From above. ¥4,346.02
Current discount Discount to share price of ¥5,740.00
= -1 x (¥5,740.00 - ¥4,346.02) / ¥4,346.02
-32.1%

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

  • The current share price of Trend Micro is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 Trend Micro's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Trend Micro's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSE:4704 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in JPY ¥212.85
TSE:4704 Share Price ** TSE (2019-12-09) in JPY ¥5740
Japan Software Industry PE Ratio Median Figure of 97 Publicly-Listed Software Companies 28.69x
Japan Market PE Ratio Median Figure of 3,068 Publicly-Listed Companies 15.6x

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

** Primary Listing of Trend Micro.

TSE:4704 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSE:4704 Share Price ÷ EPS (both in JPY)

= 5740 ÷ 212.85

26.97x

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

  • Trend Micro is good value based on earnings compared to the JP Software industry average.
  • Trend Micro is overvalued based on earnings compared to the Japan market.
Price based on expected Growth
Does Trend Micro's expected growth come at a high price?
Raw Data
TSE:4704 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 26.97x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
9.9%per year
Japan Software Industry PEG Ratio Median Figure of 33 Publicly-Listed Software Companies 3.14x
Japan Market PEG Ratio Median Figure of 1,367 Publicly-Listed Companies 1.88x

*Line of best fit is calculated by linear regression .

TSE:4704 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 26.97x ÷ 9.9%

2.74x

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

  • Trend Micro is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Trend Micro's assets?
Raw Data
TSE:4704 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in JPY ¥1,284.17
TSE:4704 Share Price * TSE (2019-12-09) in JPY ¥5740
Japan Software Industry PB Ratio Median Figure of 116 Publicly-Listed Software Companies 3.29x
Japan Market PB Ratio Median Figure of 3,527 Publicly-Listed Companies 1.13x
TSE:4704 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSE:4704 Share Price ÷ Book Value per Share (both in JPY)

= 5740 ÷ 1,284.17

4.47x

* Primary Listing of Trend Micro.

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

  • Trend Micro is overvalued based on assets compared to the JP Software industry average.
X
Value checks
We assess Trend Micro'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 Software 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 Software industry average (and greater than 0)? (1 check)
  5. Trend Micro 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.

4704 Future Performance

 How is Trend Micro expected to perform in the next 1 to 3 years based on estimates from 7 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
9.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Trend Micro expected to grow at an attractive rate?
  • Trend Micro's earnings growth is expected to exceed the low risk savings rate of -0.1%.
Growth vs Market Checks
  • Trend Micro's earnings growth is expected to exceed the Japan market average.
  • Trend Micro's revenue growth is expected to exceed the Japan market average.
Annual Growth Rates Comparison
Raw Data
TSE:4704 Future Growth Rates Data Sources
Data Point Source Value (per year)
TSE:4704 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 9.9%
TSE:4704 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 5.1%
Japan Software Industry Earnings Growth Rate Market Cap Weighted Average 18.6%
Japan Software Industry Revenue Growth Rate Market Cap Weighted Average 9.4%
Japan Market Earnings Growth Rate Market Cap Weighted Average 9.4%
Japan Market Revenue Growth Rate Market Cap Weighted Average 3.6%

*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:4704 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in JPY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSE:4704 Future Estimates Data
Date (Data in JPY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 203,073 58,087 43,400 3
2022-12-31 192,197 55,829 39,500 3
2021-12-31 180,043 52,102 34,626 7
2020-12-31 172,814 48,899 30,933 7
2019-12-31 164,771 47,607 29,079 7
2019-12-10
TSE:4704 Past Financials Data
Date (Data in JPY Millions) Revenue Cash Flow Net Income *
2019-09-30 163,367 46,157 29,627
2019-06-30 162,380 44,682 28,491
2019-03-31 161,889 47,030 28,628
2018-12-31 160,410 49,959 28,314
2018-09-30 159,005 51,461 26,186
2018-06-30 155,662 49,710 27,784
2018-03-31 151,554 49,607 26,846
2017-12-31 148,811 46,915 25,691
2017-09-30 147,474 45,314 31,453
2017-06-30 141,656 42,192 27,414
2017-03-31 137,324 37,828 24,417
2016-12-31 131,936 33,510 24,651

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Trend Micro's earnings are expected to grow by 9.9% yearly, however this is not considered high growth (20% yearly).
  • Trend Micro's revenue is expected to grow by 5.1% 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:4704 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Trend Micro Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSE:4704 Future Estimates Data
Date (Data in JPY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 332.00 332.00 332.00 1.00
2022-12-31 291.00 291.00 291.00 1.00
2021-12-31 249.79 281.00 212.28 8.00
2020-12-31 220.97 235.00 206.53 8.00
2019-12-31 208.58 223.70 201.49 8.00
2019-12-10
TSE:4704 Past Financials Data
Date (Data in JPY Millions) EPS *
2019-09-30 212.85
2019-06-30 204.66
2019-03-31 205.98
2018-12-31 204.37
2018-09-30 189.70
2018-06-30 201.85
2018-03-31 195.26
2017-12-31 187.01
2017-09-30 228.97
2017-06-30 199.59
2017-03-31 177.83
2016-12-31 179.63

*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.
  • Trend Micro is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Trend Micro'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.
Trend Micro 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.

4704 Past Performance

  How has Trend Micro 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 Trend Micro's growth in the last year to its industry (Software).
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.
  • Trend Micro's year on year earnings growth rate has been positive over the past 5 years.
  • Trend Micro's 1-year earnings growth exceeds its 5-year average (13.1% vs 7.5%)
  • Trend Micro's earnings growth has not exceeded the JP Software industry average in the past year (13.1% vs 19.1%).
Earnings and Revenue History
Trend Micro'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 Trend Micro Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSE:4704 Past Revenue, Cash Flow and Net Income Data
Date (Data in JPY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 163,367.00 29,627.00 92,376.00
2019-06-30 162,380.00 28,491.00 92,770.00
2019-03-31 161,889.00 28,628.00 92,900.00
2018-12-31 160,410.00 28,314.00 91,844.00
2018-09-30 159,005.00 26,186.00 91,893.00
2018-06-30 155,662.00 27,784.00 87,950.00
2018-03-31 151,554.00 26,846.00 86,699.00
2017-12-31 148,811.00 25,691.00 84,231.00
2017-09-30 147,474.00 31,453.00 81,082.00
2017-06-30 141,656.00 27,414.00 79,517.00
2017-03-31 137,324.00 24,417.00 76,961.00
2016-12-31 131,936.00 24,651.00 74,535.00
2016-09-30 124,962.00 18,004.00 73,598.00
2016-06-30 124,568.00 19,603.00 73,327.00
2016-03-31 124,286.00 21,594.00 71,697.00
2015-12-31 124,317.00 21,435.00 72,069.00
2015-09-30 122,863.00 22,957.00 68,149.00
2015-06-30 120,548.00 21,983.00 65,875.00
2015-03-31 117,581.00 21,770.00 64,136.00
2014-12-31 115,205.00 22,303.00 61,122.00
2014-09-30 112,370.00 21,147.00 60,855.00
2014-06-30 110,824.00 20,784.00 60,248.00
2014-03-31 110,048.00 20,813.00 60,047.00
2013-12-31 108,314.00 19,595.00 59,485.00
2013-09-30 104,198.00 17,619.00 57,305.00
2013-06-30 100,965.00 16,453.00 56,481.00
2013-03-31 96,992.00 14,984.00 54,313.00
2012-12-31 93,839.00 13,447.00 53,920.00

*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.
  • Trend Micro has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Trend Micro used its assets more efficiently than the JP Software industry average last year based on Return on Assets.
  • Trend Micro has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Trend Micro'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 Software 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.
Trend Micro has a total score of 4/6, 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.

4704 Health

 How is Trend Micro'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 Trend Micro's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Trend Micro is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Trend Micro's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Trend Micro'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.
  • Low level of unsold assets.
  • Trend Micro has no debt, it does not need to be covered by short term assets.
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 Trend Micro Company Filings, last reported 2 months ago.

TSE:4704 Past Debt and Equity Data
Date (Data in JPY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 178,688.00 0.00 172,783.00
2019-06-30 170,820.00 0.00 160,185.00
2019-03-31 166,399.00 0.00 156,991.00
2018-12-31 187,083.00 0.00 177,785.00
2018-09-30 182,567.00 0.00 158,634.00
2018-06-30 169,840.00 0.00 144,135.00
2018-03-31 157,633.00 0.00 143,465.00
2017-12-31 177,076.00 0.00 152,432.00
2017-09-30 170,583.00 0.00 141,564.00
2017-06-30 159,316.00 0.00 133,631.00
2017-03-31 151,144.00 0.00 124,071.00
2016-12-31 166,471.00 0.00 134,663.00
2016-09-30 147,879.00 0.00 127,096.00
2016-06-30 142,990.00 0.00 124,317.00
2016-03-31 146,654.00 0.00 125,211.00
2015-12-31 159,691.00 0.00 145,752.00
2015-09-30 154,085.00 0.00 124,702.00
2015-06-30 150,857.00 0.00 124,433.00
2015-03-31 141,963.00 0.00 116,764.00
2014-12-31 153,093.00 0.00 137,437.00
2014-09-30 141,340.00 0.00 124,996.00
2014-06-30 131,727.00 0.00 114,804.00
2014-03-31 130,716.00 0.00 100,231.00
2013-12-31 142,537.00 0.00 140,590.00
2013-09-30 131,666.00 0.00 125,571.00
2013-06-30 122,310.00 0.00 128,509.00
2013-03-31 112,412.00 0.00 119,200.00
2012-12-31 113,491.00 0.00 118,842.00
  • Trend Micro has no debt.
  • Trend Micro has not taken on any debt in the past 5 years.
  • Trend Micro has no debt, it does not need to be covered by operating cash flow.
  • Trend Micro has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Trend Micro'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. Trend Micro has a total score of 6/6, 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.

4704 Dividends

 What is Trend Micro'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
2.84%
Current annual income from Trend Micro dividends. Estimated to be 3.26% next year.
If you bought ¥2,000 of Trend Micro shares you are expected to receive ¥57 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?
  • Trend Micro's pays a higher dividend yield than the bottom 25% of dividend payers in Japan (1.33%).
  • Trend Micro's dividend is below the markets top 25% of dividend payers in Japan (2.93%).
Upcoming dividend payment

Purchase Trend Micro before the 'Ex-dividend' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
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:4704 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 7 Analyst Estimates (S&P Global) See Below
Japan Software Industry Average Dividend Yield Market Cap Weighted Average of 73 Stocks 1.4%
Japan Market Average Dividend Yield Market Cap Weighted Average of 2973 Stocks 2.3%
Japan Minimum Threshold Dividend Yield 10th Percentile 0.8%
Japan Bottom 25% Dividend Yield 25th Percentile 1.3%
Japan Top 25% Dividend Yield 75th Percentile 2.9%

Industry and Market average data is calculated daily.

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

TSE:4704 Future Dividends Estimate Data
Date (Data in ¥) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 219.00 2.00
2022-12-31 199.50 2.00
2021-12-31 193.80 8.00
2020-12-31 181.99 8.00
2019-12-31 169.85 6.00
2019-12-10
TSE:4704 Past Annualized Dividends Data
Date (Data in ¥) Dividend per share (annual) Avg. Yield (%)
2019-03-26 163.000 3.151
2019-02-14 163.000 3.038
2018-03-27 149.000 2.321
2018-02-15 149.000 2.473
2017-03-28 141.000 2.504
2017-02-16 141.000 2.872
2016-03-30 110.000 2.832
2016-02-18 110.000 2.614
2015-02-18 116.000 2.625
2014-03-28 95.000 2.786
2014-02-18 95.000 2.883
2013-03-28 67.000 2.015
2013-02-14 67.000 2.523
2012-03-29 86.000 3.764
2012-02-16 86.000 3.525
2011-02-18 70.000 2.927
2010-03-30 91.000 3.476
2010-02-18 91.000 2.854
2009-03-30 97.000 3.007
2009-02-17 97.000 4.034

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

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Trend Micro's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.3x 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 Trend Micro's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - 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 Trend Micro afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Trend Micro has a total score of 3/6, see the detailed checks below.


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

4704 Management

 What is the CEO of Trend Micro'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
Eva Chen
COMPENSATION ¥125,000,000
AGE 60
TENURE AS CEO 14.9 years
CEO Bio

Ms. Eva Chen founded Trend Micro Inc., in 1988 and has been its Chief Executive Officer since January 1, 2005. Ms. Chen served as President of Trend Micro Inc., until June 6, 2016. She served as Chief Technology Officer of Trend Micro Inc. since 1996 and its Executive Vice President since May 1988. She has been a Representative Director of Trend Micro Inc. since August 1997. Ms. Chen graduated from Texas University in 1988.

CEO Compensation
  • Insufficient data for Eva to compare compensation growth.
  • Eva's remuneration is about average for companies of similar size in Japan.
Management Team Tenure

Average tenure and age of the Trend Micro management team in years:

3.5
Average Tenure
59.5
Average Age
  • The tenure for the Trend Micro management team is about average.
Management Team

Eva Chen

TITLE
Co-Founder
COMPENSATION
¥125M
AGE
60
TENURE
14.9 yrs

Mahendra Negi

TITLE
Group CFO
COMPENSATION
¥155M
AGE
59
TENURE
17.8 yrs

Akihiko Omikawa

TITLE
Executive VP
COMPENSATION
¥153M
AGE
60
TENURE
3.5 yrs

Kevin Simzer

TITLE
Chief Operating Officer
AGE
53
TENURE
0.9 yrs

Max Cheng

TITLE
Executive VP of Core Technology & CIO

Felix Sterling

TITLE
Chief Legal Officer and Executive VP Global Policy & Compliance
TENURE
1.9 yrs

Leah MacMillan

TITLE
Chief Marketing Officer
TENURE
0.2 yrs

Steve Quane

TITLE
Executive Vice President of Network Defense & Hybrid Cloud Security
TENURE
2.4 yrs

Oscar Chang

TITLE
Executive Vice President of Research & Development
TENURE
15.1 yrs

Dhanya Thakkar

TITLE
Managing Director for India & SAARC
TENURE
6.4 yrs
Board of Directors Tenure

Average tenure and age of the Trend Micro board of directors in years:

13.3
Average Tenure
61.5
Average Age
  • The average tenure for the Trend Micro board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Steve Chang

TITLE
Chairman of the Board
AGE
64
TENURE
14.9 yrs

Eva Chen

TITLE
Co-Founder
COMPENSATION
¥125M
AGE
60
TENURE
22.3 yrs

Mahendra Negi

TITLE
Group CFO
COMPENSATION
¥155M
AGE
59
TENURE
17.8 yrs

Akihiko Omikawa

TITLE
Executive VP
COMPENSATION
¥153M
AGE
60
TENURE
11.8 yrs

Wael Mohamed

TITLE
Director
COMPENSATION
¥316M
AGE
51
TENURE
4.8 yrs

Ikujiro Nonaka

TITLE
Outside Director
AGE
84
TENURE
8.8 yrs

Tetsuo Koga

TITLE
Outside Director
AGE
71
TENURE
2.8 yrs

Koji Fujita

TITLE
Outside Corporate Auditor
AGE
57
TENURE
17.8 yrs

Fumio Hasegawa

TITLE
Outside Corporate Auditor
AGE
79
TENURE
7.9 yrs

Yasuo Kameoka

TITLE
Outside Corporate Auditor
AGE
63
TENURE
18.8 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 Trend Micro'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. Trend Micro 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.

4704 News

Simply Wall St News

4704 Company Info

Description

Trend Micro Incorporated develops and sells security solutions primarily in Japan. The company offers hybrid cloud security solutions, such as data center, cloud, and virtualization security products; network security solutions, including integrated advanced threat prevention and advanced threat detection solutions; user protection solutions comprising endpoint and gateway suites, endpoint security, email security, Web security, SaaS application security, and endpoint detection and response; and support services. It serves finance, insurance, and retail industries, as well as government institutions. Trend Micro Incorporated has a partnership with Moxa Inc. to develop solutions to protect industrial Internet of Things environments; and strategic partnership with Luxoft Holding, Inc. to offer intrusion detection systems and intrusion prevention systems to detect, mitigate, and respond to cyber-attacks on connected cars. The company was founded in 1988 and is headquartered in Tokyo, Japan.

Details
Name: Trend Micro Incorporated
4704
Exchange: TSE
Founded: 1988
¥812,037,686,160
139,047,549
Website: http://www.trendmicro.com
Address: Trend Micro Incorporated
Shinjuku MAYNDS Tower,
2-1-1 Yoyogi,
Tokyo,
151-0053,
Japan
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSE 4704 Common Stock The Tokyo Stock Exchange JP JPY 21. Oct 1998
OTCPK TMIC.F Common Stock Pink Sheets LLC US USD 21. Oct 1998
DB TMI Common Stock Deutsche Boerse AG DE EUR 21. Oct 1998
OTCPK TMIC.Y SPONS ADR NEW Pink Sheets LLC US USD 08. Jul 1999
Number of employees
Current staff
Staff numbers
6,562
Trend Micro employees.
Industry
Systems Software
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/12/10 14:39
End of day share price update: 2019/12/09 00:00
Last estimates confirmation: 2019/11/29
Last earnings filing: 2019/11/08
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


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.