Financial Review: Mitsubishi Motors (MMTOF) versus The Competition

Mitsubishi Motors (OTCMKTS:MMTOF) is one of 119 publicly-traded companies in the “Automobiles” industry, but how does it compare to its competitors? We will compare Mitsubishi Motors to related businesses based on the strength of its risk, dividends, valuation, profitability, earnings, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

9.8% of Mitsubishi Motors shares are held by institutional investors. Comparatively, 39.1% of shares of all “Automobiles” companies are held by institutional investors. 13.9% of shares of all “Automobiles” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and target prices for Mitsubishi Motors and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mitsubishi Motors	1	0	0	0	1.00
Mitsubishi Motors Competitors	2040	5033	6306	186	2.34

As a group, “Automobiles” companies have a potential upside of 75.32%. Given Mitsubishi Motors’ competitors stronger consensus rating and higher possible upside, analysts clearly believe Mitsubishi Motors has less favorable growth aspects than its competitors.

Profitability

This table compares Mitsubishi Motors and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mitsubishi Motors	N/A	N/A	N/A
Mitsubishi Motors Competitors	-1,522.44%	-125.00%	-11.47%

Dividends

Mitsubishi Motors pays an annual dividend of $17.92 per share and has a dividend yield of 716.8%. Mitsubishi Motors pays out 12.8% of its earnings in the form of a dividend. As a group, “Automobiles” companies pay a dividend yield of 150.2% and pay out 7.2% of their earnings in the form of a dividend.

Earnings & Valuation

This table compares Mitsubishi Motors and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Mitsubishi Motors	N/A	N/A	0.02
Mitsubishi Motors Competitors	$53.44 billion	$1.13 billion	6.68

Mitsubishi Motors’ competitors have higher revenue and earnings than Mitsubishi Motors. Mitsubishi Motors is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

Mitsubishi Motors competitors beat Mitsubishi Motors on 9 of the 13 factors compared.

Mitsubishi Motors Company Profile

Mitsubishi Motors Corporation, together with its subsidiaries, engages in the development, production, and sale of passenger vehicles, and its parts and components in Japan, Europe, North America, Oceania, the rest of Asia, and internationally. Its products include EVs/PHEVs, SUVs, pickup trucks, MPVs, and cars under the Mitsubishi brand. It is also involved in automobile transport and maintenance activities; auto sales financing, leasing, rental, and sale; investigation, testing, and research related to automobiles; and manufacturing of automobile engines and transmissions, and press parts. The company was incorporated in 1970 and is headquartered in Tokyo, Japan.