Earnings Alerts

Shimano Inc (7309) Earnings: FY Operating Income Forecast Misses Estimates but Fourth Quarter Net Income Surges

By February 12, 2025 No Comments
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  • Shimano’s forecast for operating income is 70.00 billion yen, lower than the estimated 86.61 billion yen.
  • The company expects net income of 71.00 billion yen, which falls short of the estimated 78 billion yen.
  • Estimated net sales are 470.00 billion yen, below the anticipated 500.98 billion yen.
  • Shimano plans a dividend of 339.00 yen, higher than the estimated 315.76 yen.
  • In the fourth quarter, Shimano reported net sales of 116.11 billion yen, a 17% increase year-over-year, though below the estimated 124.65 billion yen.
  • Fourth-quarter operating income rose by 25% year-over-year to 14.43 billion yen, yet did not meet the estimated 19.46 billion yen.
  • Net income for the fourth quarter surged to 34.99 billion yen compared to 973.0 million yen year-over-year, surpassing the estimate of 21.43 billion yen.
  • Analyst ratings for Shimano include 3 buys, 5 holds, and 1 sell.

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Shimano Inc on Smartkarma

Analysts on Smartkarma like Mark Chadwick have provided valuable insights on Shimano Inc, a Japanese company known for its bicycle components and fishing equipment. In one report, Chadwick highlighted concerns about Q4 earnings due to worsening market conditions in late 2024 but urged investors to focus on the company’s long-term value and 2025 growth outlook. Despite short-term uncertainties, Shimano’s solid fundamentals and strategic position suggest potential for sustainable growth and high returns.

In another report, Chadwick discussed Shimano as an opportunity for activist investors, pointing out the challenges the company faces with declining sales. However, with a low stock valuation and a compelling case for investment at the bottom of the cycle, Shimano presents an intriguing opportunity for investors looking for value in the market. These reports offer valuable perspectives on Shimano’s performance, potential risks, and opportunities for growth, helping investors make informed decisions about this renowned company.


A look at Shimano Inc Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth2
Resilience5
Momentum2
OVERALL SMART SCORE2.6

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

SHIMANO INC. manufactures and sells products for bicycling, snowboarding, and fishing. The Company’s products include running gears and brake parts for bicycles and rods, reels, and tackles for fishing. The Company manufactures golf related products as well. Shimano mainly exports to Asia, Europe, and the United States.

Looking at the Smartkarma Smart Scores for Shimano Inc, the company shows a mixed outlook. While it scores moderately in Value, Dividend, Growth, and Momentum, it shines in Resilience, where it receives a top score of 5. This indicates that Shimano Inc has demonstrated a strong ability to weather adverse market conditions and economic challenges. Investors may find comfort in the company’s robust resilience, which could potentially offset the more moderate scores in other areas. Overall, the long-term outlook for Shimano Inc may be steadied by its resilience factor despite the mediocre scores in other performance indicators.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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