Takeuchi vs IHI Which Offers More Value?

Takeuchi and IHI are both well-known companies in the construction equipment industry, particularly in the manufacturing of compact excavators. Investors frequently compare the stock performance of these two companies due to their similar market focus. Takeuchi has gained popularity for its durable and efficient machines, while IHI is known for its innovative technology and strong presence in the global market. Analyzing the stocks of these companies can provide valuable insights for investors looking to capitalize on the growth of the construction equipment sector.

Takeuchi or IHI?

When comparing Takeuchi and IHI, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Takeuchi and IHI.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Takeuchi has a dividend yield of 3.17%, while IHI has a dividend yield of 1.19%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Takeuchi reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, IHI reports a 5-year dividend growth of 10.76% year and a payout ratio of 13.99%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Takeuchi P/E ratio at 7.59 and IHI's P/E ratio at 11.71. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Takeuchi P/B ratio is 1.39 while IHI's P/B ratio is 3.13.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Takeuchi has seen a 5-year revenue growth of 0.93%, while IHI's is -0.09%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Takeuchi's ROE at 19.90% and IHI's ROE at 28.98%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥4825.00 for Takeuchi and ¥8342.00 for IHI. Over the past year, Takeuchi's prices ranged from ¥3560.00 to ¥6700.00, with a yearly change of 88.20%. IHI's prices fluctuated between ¥2480.00 and ¥9479.00, with a yearly change of 282.22%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.