Murata Manufacturing Co (MRAAY) AI Stock Analysis

• Market Cap: $26.34B
• Dividend Yield: 1.45%
• Average Volume (3M): 586.47K
• Price to Earnings (P/E): 17.6
• Beta (1Y): 1.09
• Revenue Growth: 0.94%
• EPS Growth: 23.04%
• Country: US
• Employees: 72,572
• Sector: Technology
• Sector Strength: 78
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.06
• Shares Outstanding: 3,926,003,700
• 10 Day Avg. Volume: 628,553
• 30 Day Avg. Volume: 586,473
• PEG Ratio: -0.57
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 29.59
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: ―

Murata Manufacturing Co's overall stock score is driven by its strong financial performance, particularly in cash flow management and balance sheet stability. The technical indicators suggest cautiousness due to bearish trends and weak momentum. Valuation is fair, with a reasonable P/E ratio and moderate dividend yield. The absence of earnings call and corporate events data limits the analysis to these components.

Murata Manufacturing Co Business Overview & Revenue Model

Company Description

Murata Manufacturing Co., Ltd. designs, manufactures, and sells ceramic-based passive electronic components and solutions in Japan and internationally. It operates through Components, Modules, and Others segments. The company offers capacitors, inductors, noise suppression products/EMI suppression filters/ESD protection devices, resistors, thermistors, sensors, timing devices, quartz devices, sound components, power products, batteries, micro mechatronics, RFID devices, matching devices, baluns, couplers, filters, phase shifters, RF switches, front-end modules, SAW components, connectors, antennas, connectivity modules, wireless connectivity platforms, ionizers/active oxygen modules, and transformers. It also provides mercury-free silver watch battery; and Femtet, a CAE software that solves various physical phenomena. The company offers its products for use in communications equipment, mobility, enterprise system, industrial, healthcare and medical, and personal electronics applications. Murata Manufacturing Co., Ltd. was founded in 1944 and is headquartered in Nagaokakyo, Japan.

How the Company Makes Money

Murata Manufacturing Co. makes money by designing, manufacturing, and selling electronic components and solutions to a diverse range of industries worldwide. Its revenue model is primarily based on the sale of passive electronic components, such as capacitors and inductors, which are essential in various electronic circuits. The company also generates significant revenue from its RF modules and power supply modules used in mobile devices and other communication equipment. Murata maintains key partnerships with major global electronics manufacturers, which ensures a steady demand for its components. The company's focus on continuous innovation and quality improvement contributes significantly to its revenue growth, as it aligns with the increasing demand for advanced and efficient electronic components in emerging technologies.

Murata Manufacturing Co Financial Statement Overview

Summary

Murata Manufacturing Co demonstrates strong financial performance with stable revenue and profitability metrics, a robust balance sheet with low leverage, and excellent cash flow management. The decline in net income and return on equity are areas of concern but are balanced by strong free cash flow growth and efficient cash conversion.

Income Statement

Murata Manufacturing Co shows strong profitability with a stable gross profit margin of approximately 39.8% in TTM and consistent EBIT and EBITDA margins of 16.3% and 25.4%, respectively. However, the net profit margin has seen a decline over the years, from 17.3% in 2022 to 10.9% in TTM. Revenue growth has been inconsistent, with a recent increase of 4.5% from March 2023 to TTM, indicating potential recovery.

Balance Sheet

The company maintains a solid financial position with a very low debt-to-equity ratio of 0.02 in TTM, reflecting minimal leverage. Return on equity remains strong at 7.3% in TTM, though it has decreased from 13.9% in 2022. The equity ratio is robust at 85.8% in TTM, indicating financial stability and a high degree of asset backing by equity.

Cash Flow

Murata Manufacturing Co demonstrates strong cash flow management, with an impressive operating cash flow to net income ratio of 2.81 in TTM, indicating efficient conversion of income to cash. The free cash flow to net income ratio is also strong at 1.67 in TTM. Free cash flow growth is positive at 22.9% from March 2023 to TTM, highlighting effective capital expenditure management.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
1.71T	1.64T	1.69T	1.81T	1.63T	1.53T
	Gross Profit
682.07B	636.80B	675.85B	768.23B	622.20B	581.46B
	EBIT
278.65B	261.10B	297.89B	424.06B	313.24B	253.25B
	EBITDA
434.78B	418.49B	473.47B	588.60B	459.88B	394.81B
	Net Income Common Stockholders
186.00B	180.84B	243.95B	314.12B	237.06B	183.01B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
571.70B	622.01B	493.25B	568.44B	450.80B	376.16B
	Total Assets
2.97T	3.04T	2.87T	2.81T	2.46T	2.25T
	Total Debt
53.99B	105.94B	151.00B	142.98B	175.75B	236.07B
	Net Debt
-517.71B	-516.07B	-167.56B	-227.41B	-188.22B	-3.59B
	Total Liabilities
422.49B	482.29B	470.29B	545.26B	540.62B	555.42B
	Stockholders Equity
2.55T	2.56T	2.26T	2.26T	1.92T	1.69T
Cash Flow		Free Cash Flow
311.41B	253.41B	86.33B	270.93B	173.69B	64.40B
	Operating Cash Flow
522.90B	489.64B	276.28B	421.46B	373.57B	350.33B
	Investing Cash Flow
-192.70B	-214.34B	-157.85B	-212.30B	-150.28B	-284.43B
	Financing Cash Flow
-267.60B	-165.32B	-173.71B	-117.50B	-118.19B	17.65B

Murata Manufacturing Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.22
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MRAAY, the sentiment is Negative. The current price of 7.22 is below the 20-day moving average (MA) of 7.23, above the 50-day MA of 7.14, and below the 200-day MA of 8.30, indicating a neutral trend. The MACD of 0.04 indicates Negative momentum. The RSI at 48.74 is Neutral, neither overbought nor oversold. The STOCH value of 63.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MRAAY.

Murata Manufacturing Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GRMN	82 Outperform	$38.76B	26.52	19.04%	1.49%	18.08%	7.28%
TEL	78 Outperform	$48.22B	35.64	11.33%	1.75%	1.23%	-58.22%
KEYS	78 Outperform	$27.23B	37.15	14.30%	―	-1.16%	-7.04%
FTV	74 Outperform	$23.60B	30.48	7.70%	0.46%	0.85%	-10.01%
MRAAY	72 Outperform	$26.34B	17.60	8.98%	1.45%	0.94%	23.04%
GLW	64 Neutral	$42.48B	94.91	4.14%	2.26%	9.77%	-26.50%
Sector *	62 Neutral	$11.80B	10.08	-7.46%	2.99%	7.37%	-8.21%