Fact based stock research
The Shiga Bank (TSE:8366)

JP3347600003

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For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

The Shiga Bank stock research in summary

shigagin.com

ANALYSIS: With an Obermatt Combined Rank of 53 (better than 53% compared with investment alternatives), The Shiga Bank (Regional Banks, Japan) shares have above-average financial characteristics compared with similar stocks. Shares of The Shiga Bank are a good value (attractively priced) with a consolidated Value Rank of 84 (better than 84% of alternatives) but show below-average growth (Growth Rank of 46), and are riskily financed (Safety Rank of 18), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 53, is a buy recommendation based on The Shiga Bank's financial characteristics. As the company The Shiga Bank's key financial metrics exhibit good value (Obermatt Value Rank of 84) but low growth (Obermatt Growth Rank of 46) and risky financing practices (Obermatt Safety Rank of 18), it may be a risky investment, because debt in times of crises can make things worse. The good value, better than 84% of comparable companies, may indicate the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	84
Growth Rank	46
Safety Rank	18
Combined Rank	53

Country	Japan
Industry	Regional Banks
Index
Size class	XX-Large

25-Apr-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: The Shiga Bank

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	70	79	64	84
GROWTH
GROWTH	26	53	27	46
SAFETY
SAFETY	100	34	28	18
SENTIMENT
SENTIMENT	n/a	23	50	^new
360° VIEW
360° VIEW	n/a	65	32	^new

Most recent update of the stock research: 25-Apr-2024. Financial reporting date used for calculating ranks: 31-Dec-2023. Stock research history is based on the Obermatt Method. The higher the rank, the better The Shiga Bank is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	70	79	64	84
GROWTH
GROWTH	26	53	27	46
SAFETY
SAFETY	100	34	28	18
COMBINED
COMBINED	72	62	30	53

Last update of combined financial performance: 25-Apr-2024. Stock analysis on combined financial performance: The higher the rank of The Shiga Bank the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 84 (better than 84% compared with alternatives) for 2024, The Shiga Bank shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators, with three out of four indicators above average for The Shiga Bank. Price-to-Sales (P/S) is 95, which means that the stock price compared with what market professionals expect for future sales is lower than for 95% of comparable companies, indicating a good value regarding The Shiga Bank's revenue size. The same is valid for expected Price to Profits (or Price / Earnings, P/E), more favorable than for 76% of alternatives, and it's also true for the Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 95. But, compared with other companies in the same industry, dividend yields are expected to be lower than average; only 13% of all competitors have even lower dividend yields than The Shiga Bank (a Dividend Yield Rank of 13). 87% alternative investments in the same business provide a higher dividend yield. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 84, is a buy recommendation based on The Shiga Bank's stock price compared with the company's operational size and dividend yields. The below-average dividend yield may be a good sign, as it could mean the company has more attractive investment opportunities for the generated cash than to pay it out as dividends. A low dividend yield can also indicate a growth phase. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	98	70	47	95
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	59	86	65	76
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	100	94	91	95
DIVIDEND YIELD
DIVIDEND YIELD	26	21	19	13
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	70	79	64	84

Last update of Value Rank: 25-Apr-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of The Shiga Bank; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 46 (better than 46% compared with alternatives), The Shiga Bank shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with all but one indicator above average for The Shiga Bank. Sales Growth has a rank of 59 which means that currently, professionals expect the company to grow more than 59% of its competitors. Both Profit Growth, with a rank of 62, and Stock Returns, with a rank of 63, are also above average. But Capital Growth only has a rank of 13, which means that, currently, professionals expect the company to grow its invested capital less than 87% of its competitors. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 46, is a hold recommendation for growth and momentum investors. That may be a good sign if the company is already well positioned and doesn't require more investments at this time. They may focus on growing the top (revenues) and bottom (profits) lines, recently rewarded with above-average stock returns for shareholders. But it may also be a sign of danger as the company is falling back with capital investment activities concerning competition. This requires further analysis of corporate communications. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	26	42	55	59
PROFIT GROWTH
PROFIT GROWTH	1	42	27	62
CAPITAL GROWTH
CAPITAL GROWTH	n/a	95	21	13
STOCK RETURNS
STOCK RETURNS	28	25	77	63
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	26	53	27	46

Last update of Growth Rank: 25-Apr-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of The Shiga Bank.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 18 (better than 18% compared with alternatives), the company The Shiga Bank has much riskier financing practices than comparable other companies, which means that their overall debt burden is significantly above the industry average. This doesn't mean that the business of The Shiga Bank is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for The Shiga Bank. Liquidity is at 81, meaning the company generates more profit to service its debt than 81% of its competitors. This indicates that the company is safer when it comes to debt service. But Refinancing is riskier at a rank of 1, which means that the portion of the debt that is about to be refinanced is above average. It has more debt in the refinancing stage than 99% of its competitors. Leverage is also high at a rank of 40, which means that the company has an above-average debt-to-equity ratio. It has more debt than 60% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 18 (worse than 82% compared with alternatives), The Shiga Bank has a financing structure that is significantly riskier than that of its competitors. High Leverage (a low Obermatt Leverage Rank) is good in good times, because it usually indicates that shareholders get higher returns. The good Liquidity performance of the company is an indicator that this is the case. However, if you expect an economic downturn, you may stay clear of this stock because they have an above-average debt level that needs refinancing soon. If the company is sailing with good winds, as may be visible from the Growth and Sentiment performance, the refinancing risk may be lower than the low Refinancing rank suggests. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	100	85	48	40
REFINANCING
REFINANCING	78	6	1	1
LIQUIDITY
LIQUIDITY	86	59	79	81
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	100	34	28	18

Last update of Safety Rank: 25-Apr-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of The Shiga Bank and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	32	31	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	50	50	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	19	30	^new
MARKET PULSE
MARKET PULSE	n/a	54	64	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	23	50	^new

Last update of Sentiment Rank: 25-Apr-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for The Shiga Bank.
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