Financial Review: Nitori (OTC:NCLTY) versus JFE (OTCMKTS:JFEEF)

Profitability

This table compares JFE and Nitori’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JFE	2.58%	5.09%	2.27%
Nitori	9.61%	10.79%	8.02%

Earnings & Valuation

This table compares JFE and Nitori”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JFE	$35.84 billion	0.18	$1.36 billion	$1.30	8.00
Nitori	$6.21 billion	2.15	$597.01 million	$0.53	22.23

JFE has higher revenue and earnings than Nitori. JFE is trading at a lower price-to-earnings ratio than Nitori, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

JFE has a beta of 0.81, meaning that its share price is 19% less volatile than the S&P 500. Comparatively, Nitori has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500.

Summary

Nitori beats JFE on 6 of the 9 factors compared between the two stocks.

About JFE

JFE Holdings, Inc., through its subsidiaries, engages in steel, engineering, and trading businesses in Japan and internationally. Its Steel segment produces and sells various steel products, processed steel products, and raw materials, as well as operates in the transportation, facility maintenance, and construction businesses. The company's Engineering segment handles the engineering of energy, urban environment, steel structures and industrial machinery, recycling, and electricity retailing projects. Its Trading segment purchases, processes, and distributes steel products, raw materials for steel production, nonferrous metal products, food, etc. JFE Holdings, Inc. was incorporated in 2002 and is headquartered in Tokyo, Japan.

About Nitori

Nitori Holdings Co., Ltd. engages in the retail of furniture and interior products in Japan. It is involved in the advertising; logistics; and other activities. The company engages in insurance and clothing related businesses. Nitori Holdings Co., Ltd. was founded in 1967 and is headquartered in Tokyo, Japan.