Analyzing Panasonic (PCRFY) and Its Peers

Panasonic (OTCMKTS:PCRFY) is one of 95 publicly-traded companies in the “Leisure Products” industry, but how does it contrast to its rivals? We will compare Panasonic to similar companies based on the strength of its valuation, institutional ownership, dividends, profitability, risk, earnings and analyst recommendations.

Insider & Institutional Ownership

9.4% of Panasonic shares are held by institutional investors. Comparatively, 44.5% of shares of all “Leisure Products” companies are held by institutional investors. 1.0% of Panasonic shares are held by insiders. Comparatively, 15.6% of shares of all “Leisure Products” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Panasonic and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Panasonic	$62.02 billion	$1.96 billion	6.08
Panasonic Competitors	$2.98 billion	$71.31 million	527.43

Panasonic has higher revenue and earnings than its rivals. Panasonic is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of recent ratings for Panasonic and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Panasonic	0	1	0	0	2.00
Panasonic Competitors	514	2310	3734	177	2.53

As a group, “Leisure Products” companies have a potential upside of 7.46%. Given Panasonic’s rivals stronger consensus rating and higher probable upside, analysts plainly believe Panasonic has less favorable growth aspects than its rivals.

Profitability

This table compares Panasonic and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Panasonic	5.96%	12.00%	5.82%
Panasonic Competitors	-7.89%	-14.53%	-2.40%

Volatility and Risk

Panasonic has a beta of 1.03, suggesting that its share price is 3% more volatile than the S&P 500. Comparatively, Panasonic’s rivals have a beta of 0.97, suggesting that their average share price is 3% less volatile than the S&P 500.

Dividends

Panasonic pays an annual dividend of $0.18 per share and has a dividend yield of 1.9%. Panasonic pays out 11.7% of its earnings in the form of a dividend. As a group, “Leisure Products” companies pay a dividend yield of 2.5% and pay out 56.5% of their earnings in the form of a dividend.

Summary

Panasonic rivals beat Panasonic on 8 of the 15 factors compared.

About Panasonic

Panasonic Holdings Corporation, together with its subsidiaries, research, develops, manufactures, sells, and services various electrical and electronic products worldwide. It operates through five segments: Lifestyle, Automotive, Connect, Industry, and Energy. The Lifestyle segment offers refrigerators, microwave ovens, rice cookers, washing machines, lighting fixtures, vacuum cleaners, air-conditioners, air to water heat pump system, air purifiers/sterilizers, and freezing or refrigerating showcases, as well as ventilation and perflation equipment. This segment also provides personal-care products; lamps, wiring devices, solar photovoltaic systems, fuel cells, and compressors; bicycles; and nursing care services. The Automotive segment offers infotainment systems, head-up displays, automotive speakers and switches, advanced driver assistance systems, and related devices, as well as systems and devices for xEVs and interior rearview mirrors. The Connect segment provides aircraft in-flight entertainment systems and communications services; electronic components-mounting machines; welding equipment; projectors; professional AV systems; PCs and tablets; solutions for various industries; installation/operation/ maintenance services; and supply chain management software. The Industry segment offers relays, switches, power supply products, touch panels, motors, sensors, laser markers, capacitors, inductors, resistors, circuit board materials, semiconductor device materials, molding compounds, and LCD panels. The Energy segment provides dry, primary/secondary lithium, nickel-metal hydride, and lithium-ion batteries; and cylindrical lithium-ion batteries for in-vehicle use, as well as storage battery modules and systems. It also offers digital cameras, video and audio equipment, television, telephones, and intercoms. The company was formerly known as Panasonic Corporation. Panasonic Holdings Corporation was founded in 1918 and is headquartered in Kadoma, Japan.