Daido Steel Co (DAIDF) Fair Value & Analysis

Basic Materials · US · Market cap $2.3B

A solid business, screening 14% undervalued on our models.

What matters now

• Our model range runs from $10.40 (bear) to $17.31 (bull), base $13.32. The closer the price sits to the lower half, the larger the margin of safety.
• Quality 58/100 (solid quality) with medium evidence: read the verdict with care.

Price vs Fair Value (2 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.

How to read this chart

25‑month range $8.17 – $12.21 · fair‑value band $10.40 – $17.31 · the $11.70 price screens below the $13.32 fair value. Dashed = 300-day average. As of Jul 15, 2026.

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Analysis

Daido Steel Co (DAIDF) currently trades at $11.70, while our model-based Fair Value estimate is $13.32, implying the stock looks roughly 13.9% undervalued today. The Quality Score stands at 58/100 (solid quality), in the Basic Materials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium), always confirm before acting.

Over the trailing twelve months, Daido Steel Co generated revenue of $578B at a net margin of 5.6%. Revenue grew 4.9% year over year. It earns a return on equity of 7.1%. Net debt stands at $110B. Fundamentals as of Jul 15, 2026

Our scenario range runs from $10.40 (bear case) to $17.31 (bull case); at $11.70, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 4% below its 52-week high and 36% above its 52-week low, currently above its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -7% fair-value upside, at 14%, DAIDF screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Multiples ($18.24) versus Growth DCF ($4.39). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Daido Steel Co., Ltd. engages in the manufacture and sale of steel products in Japan and internationally. The Specialty Steel segment is involved in automotive parts, industrial machinery parts, electrical machinery parts, construction, and tool steel business; and products and materials manufacturing, distribution, raw materials sales, transportation and …

Full company description

Daido Steel Co., Ltd. engages in the manufacture and sale of steel products in Japan and internationally. The Specialty Steel segment is involved in automotive parts, industrial machinery parts, electrical machinery parts, construction, and tool steel business; and products and materials manufacturing, distribution, raw materials sales, transportation and logistics business. The High Performance Materials and Magnetic Materials segment offers stainless steel products, nickel-based alloys, electrical and electronics parts, magnetic material products, alloy powders, titanium products, and welding wires. The Parts For Automobile and Industrial Equipment segment provides die forgings, precise hot forgings, and welded parts, including automotive parts and bearing races; open die forgings parts for boats and ships, industrial machines, heavy electric machines, steel making equipment, chemical equipment, oil drilling rigs, and spacecraft and aircraft; and castings comprising manganese railway rails, components for automobiles, industrial machines, electric machines and furnaces, cast steel products, etc. This segment also offers precision castings for automotive, industrial machines, electric machines, telecommunications equipment, etc.; and lumber industry band saws, engine valves, compressors, hydraulic equipment, and machine tool parts. The Engineering segment provides steel making equipment; industrial furnaces and facilities; environmental equipment for drainage, exhaust, waste disposal, and treatment facilities; machine tools; and machine maintenance services. The Trading and Service segment engages in the provision of welfare services; real estate and insurance business; and golf course management and analysis businesses. Daido Steel Co., Ltd. was founded in 1916 and is headquartered in Nagoya, Japan.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2025 · reported fiscal years

Daido Steel Co reported revenue of $575B in FY2025 versus $530B in FY2022, a compound +2.8%/yr. Reported net income was $28.3B in FY2025, compounding +1.7%/yr from FY2022.

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Peer Group

Steel · 378 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Steel median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.