Analyzing Marubeni (MARUY) and The Competition

Dividends

Marubeni pays an annual dividend of $5.46 per share and has a dividend yield of 2.7%. Marubeni pays out 27.5% of its earnings in the form of a dividend. As a group, “DIVERSIFIED OPS” companies pay a dividend yield of 1.6% and pay out 26.9% of their earnings in the form of a dividend.

Earnings and Valuation

This table compares Marubeni and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Marubeni	$51.16 billion	$3.32 billion	10.15
Marubeni Competitors	$13.29 billion	$969.16 million	42.70

Marubeni has higher revenue and earnings than its rivals. Marubeni 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.

Institutional and Insider Ownership

0.1% of Marubeni shares are held by institutional investors. Comparatively, 44.2% of shares of all “DIVERSIFIED OPS” companies are held by institutional investors. 28.6% of shares of all “DIVERSIFIED OPS” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Risk and Volatility

Marubeni has a beta of 0.8, meaning that its stock price is 20% less volatile than the S&P 500. Comparatively, Marubeni’s rivals have a beta of 0.80, meaning that their average stock price is 20% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Marubeni	6.45%	13.37%	5.48%
Marubeni Competitors	-24.47%	-40.66%	-9.10%

Summary

Marubeni beats its rivals on 6 of the 11 factors compared.

About Marubeni

Marubeni Corporation engages in various business activities. It manufactures, wholesales, and retails apparel, footwear, home furnishing and sport goods, industrial and textile materials, tire and rubber materials, and household and nursing care products; develops uranium, nuclear fuel cycle, iron ore, coking coal, copper mines, and related equipment and services; smelts and refines aluminum and magnesium; leases temporary steel construction materials; explores for, develops, and produces oil and gas; manages infrastructure funds; and develops and manages real estate. The company also offers insurance, technical, ICT, and logistic services; agri-inputs; fertilizer and crop protection product contracting services; crop protection product formulations; wood chips, biomass fuels, pulp and waste papers, paper, paperboards, sanitary, and building and construction materials; engineering, procurement, and construction services; and operation and maintenance services. It trades in fertilizers, dairy, agricultural, and marine products; sugar, processed food, beverages raw materials, and commercial use food materials; grains, oilseeds, feed ingredients, compound feeds, fresh and processed meat, petrochemicals, plastics, salts, chlor-alkalis, life science products, electronic materials, fertilizer materials, and inorganic mineral resources and chemicals; steelmaking raw materials, ferroalloys, nonferrous metals, and steel products; cement and ingots related materials; and petroleum and LPG. The company engages in infrastructure; water; automotive finance; power generation; power service and retail; natural gas; hydrogen; and fuel ammonia businesses. It owns, purchases, operates, leases, sells, and charters aerospace and ship products; leases refrigerated trailers, commercial vehicles, and freight cars; and sells, trades in, leases, finances, and services construction and industrial machinery, and mobility products. The company was founded in 1858 and is based in Tokyo, Japan.