PARKER CORPORATION9845

Why the market may be pricing it low

• The dividend policy remains a traditional twice-yearly stable payout with no mention of buybacks, reinforcing the perception of a firm that hoards cash rather than returning it.

  中間配当及び期末配当の年２回を基本的な方針としておりますDividend policy

What could close the gap

• The report states that reviewing unprofitable operations sharply improved the chemical products segment's profitability, so further portfolio pruning could shift market perception.

  不採算部門の見直しによる事業効率化や原材料価格の安定化により収益構造が大きく改善し、増益を確保しておりますMD&A

• The company states it holds board meetings twice a month to speed up decision-making, so concrete governance-strengthening steps could become a catalyst if actually rolled out.

  月間２回実施の取締役会を継続し、情報の的確な把握による経営判断を迅速に行いManagement policy

How a buyer could still lose (value trap)

• The profit recovery leans on temporary auto-production normalization and stabilized raw material costs, so the improved 8.8% operating margin could unwind if conditions reverse.

  自動車業界において年間を通じた主要顧客の稼働が安定的に推移したことや、設備検収が増加したことによるものですMD&A

• Operating profit is 54.9% of enterprise value, but with the parent as controlling shareholder, the 26.3 billion yen cash pile may keep being retained internally rather than returned to shareholders.

  Based on the figures below

Financial quality (Piotroski F-score)

• ✓Profitable (ROA > 0)
• ✓Positive operating cash flow
• ✓ROA up on last year
• ✓Cash flow exceeds net profit
• ✓Leverage down on last year
• ✓Current ratio up on last year
• ✓No new shares issued
• ✓Gross margin up on last year
• ✓Asset turnover up on last year

Scored out of the checks with data, scaled to 9. Compares the latest year with the year before.

Figures

Sales

¥73.3bn

Operating profit

¥6.5bn

Net profit

¥4.7bn

Operating cash flow

¥8.7bn

Cash

¥26.3bn

Debt

¥4.1bn

Equity

¥54.1bn

Annual report for the year to 2026-03-31