Canon (CAJ) has a market cap of $39.1 billion. It rose 0.83% to close at $29.29 per share on September 22, 2016. The stock’s weekly, monthly, and year-to-date (or YTD) price movements were 3.0%, 2.3%, and -2.8%, respectively, on the same day.
CAJ is trading 2.0% above its 20-day moving average, 2.8% above its 50-day moving average, and 1.5% above its 200-day moving average.
Related ETF and peers
The Vanguard FTSE Pacific ETF (VPL) invests 0.67% of its holdings in Canon. The ETF tracks the FTSE Developed Asia Pacific Index, a market cap–weighted index of securities in the developed markets of the Pacific region. The YTD price movement of VPL was 9.5% on September 22.
The market caps of Canon’s competitors are as follows:
Latest news on Canon
In a press release on September 22, 2016, Canon reported, “Canon USA, Inc., a leader in digital imaging solutions, today announced that it has made an equity investment in T2 Biosystems, Inc., a company developing innovative diagnostic products to improve patient health.
“Through this investment, Canon U.S.A. has purchased approximately 40 million dollars of the company’s stock at the closing market price of $6.56 in a private placement, resulting in Canon’s ownership of approximately 19.9 percent of T2 Biosystems. Canon U.S. Life Sciences, Inc., a wholly owned subsidiary of Canon U.S.A. began working with T2 Biosystems back in February of 2015 to develop a diagnostic test panel for rapidly detecting Lyme disease.”
Canon’s performance in 2Q16
Canon (CAJ) reported 2Q16 net sales of 860.2 billion Japanese yen (about $8.4 billion), which represents a fall of 11.7% from its net sales of 974.4 billion yen (about $9.5 billion) in 2Q15. Sales from its Office and Imaging System units fell 15.0% and 13.5%, respectively. Sales from its Industry and Other segments rose 5.8% between 2Q15 and 2Q16. The company’s gross profit margin and operating income fell 2.8% and 34.5%, respectively.
The company’s net income and EPS (earnings per share) fell to 53.4 billion yen (about $523 million) and ~48.9 yen (about $0.48), respectively, in 2Q16 compared to 68.2 billion yen (about $668 million) and 62.44 yen (about $0.61), respectively, in 2Q15.
Canon’s cash and cash equivalents and inventories fell 10.2% and 4.5%, respectively, between 4Q15 and 2Q16. Its current ratio fell to 1.3x and debt-to-equity ratio rose to 0.59x in 2Q16, as compared with 2.5x and 0.39x, respectively, in 4Q15.
Canon (CAJ) has made following projections for fiscal 2016:
- net sales of 3.5 trillion yen (about $34 billion), a fall of 7.4% from fiscal 2015
- operating profit of 265 billion yen (about 2.6 billion), which represents a fall of 25.4% from fiscal 2015
- net income of 180 billion yen (or $1.8 billion), which represents a fall of 18.3% from fiscal 2015
This drop in performance and outlook are mainly due to the global economic slowdown and the negative impact of the foreign exchange rate.
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