Financial Review: Nippon Yusen Kabushiki Kaisha (NPNYY) versus The Competition

Nippon Yusen Kabushiki Kaisha (OTCMKTS:NPNYY) is one of 66 public companies in the “TRANS – SHIP” industry, but how does it contrast to its peers? We will compare Nippon Yusen Kabushiki Kaisha to related businesses based on the strength of its analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Profitability

This table compares Nippon Yusen Kabushiki Kaisha and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nippon Yusen Kabushiki Kaisha	18.49%	15.81%	10.67%
Nippon Yusen Kabushiki Kaisha Competitors	62.89%	10.76%	7.44%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Nippon Yusen Kabushiki Kaisha and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nippon Yusen Kabushiki Kaisha	0	1	0	0	2.00
Nippon Yusen Kabushiki Kaisha Competitors	549	1740	2031	89	2.38

As a group, “TRANS – SHIP” companies have a potential upside of 30.88%. Given Nippon Yusen Kabushiki Kaisha’s peers stronger consensus rating and higher probable upside, analysts plainly believe Nippon Yusen Kabushiki Kaisha has less favorable growth aspects than its peers.

Institutional & Insider Ownership

44.8% of shares of all “TRANS – SHIP” companies are owned by institutional investors. 16.8% of shares of all “TRANS – SHIP” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Nippon Yusen Kabushiki Kaisha and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Nippon Yusen Kabushiki Kaisha	$17.00 billion	$3.15 billion	5.18
Nippon Yusen Kabushiki Kaisha Competitors	$2.81 billion	$518.36 million	3.00

Nippon Yusen Kabushiki Kaisha has higher revenue and earnings than its peers. Nippon Yusen Kabushiki Kaisha is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Dividends

Nippon Yusen Kabushiki Kaisha pays an annual dividend of $0.43 per share and has a dividend yield of 5.9%. Nippon Yusen Kabushiki Kaisha pays out 30.7% of its earnings in the form of a dividend. As a group, “TRANS – SHIP” companies pay a dividend yield of 4.4% and pay out 19.5% of their earnings in the form of a dividend.

Volatility & Risk

Nippon Yusen Kabushiki Kaisha has a beta of 1.04, indicating that its share price is 4% more volatile than the S&P 500. Comparatively, Nippon Yusen Kabushiki Kaisha’s peers have a beta of 0.98, indicating that their average share price is 2% less volatile than the S&P 500.

Summary

Nippon Yusen Kabushiki Kaisha peers beat Nippon Yusen Kabushiki Kaisha on 8 of the 15 factors compared.

About Nippon Yusen Kabushiki Kaisha

Nippon Yusen Kabushiki Kaisha provides various logistics services worldwide. It operates through Liner & Logistics Business, Bulk Shipping Business, and Other Business segments. The company offers liner trading services, such as container shipping, and terminal and stevedoring services for containerships, car carriers, and cruise ships; and air cargo transportation services. It also provides bulk shipping services comprising transport services for finished automobiles, heavy construction machines, and used cars; transportation services for bulk freight, including iron ore, coal, and wood chips; and transportation services for crude oil, petroleum products, chemicals, liquefied petroleum gas, liquefied natural gas, and coal. In addition, the company is involved in the upstream areas of the supply chain for oil and natural gas. Further, it operates Asuka II, a luxury cruise ship; and manages commercial and residential buildings. Nippon Yusen Kabushiki Kaisha was incorporated in 1885 and is headquartered in Tokyo, Japan.