--- title: "Teijin (TSE:3401) Looks Slightly Undervalued, Is The Recent Rally Already Priced In?" type: "News" locale: "en" url: "https://longbridge.com/en/news/293289665.md" description: "Teijin (TSE:3401) is considered slightly undervalued, with a fair value estimate of ¥1,700 against its recent close of ¥1,688.5. The stock has shown strong momentum, rising 25.9% year-to-date and 45.4% over the past year. Analysts attribute this valuation to a strategic shift toward higher-value solutions in materials and healthcare, aiming for resilient growth. However, risks include potential impairment charges or weaker margins that could challenge the bullish case." datetime: "2026-07-21T05:09:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/293289665.md) - [en](https://longbridge.com/en/news/293289665.md) - [zh-HK](https://longbridge.com/zh-HK/news/293289665.md) --- # Teijin (TSE:3401) Looks Slightly Undervalued, Is The Recent Rally Already Priced In? ## Teijin stock reaction and recent performance With no single headline event driving Teijin (TSE:3401) today, investors are focusing on the stock’s recent returns, its current valuation signals, and how its diversified materials and healthcare exposure might fit into portfolios. See our latest analysis for Teijin. Recent trading reflects that Teijin’s share price return of 5.9% over the past month and 25.9% year to date has been strong, while the 1 year total shareholder return of 45.4% points to solid momentum rather than a short term spike. If you are weighing Teijin against other opportunities in materials and industrials, it can help to broaden your watchlist and scan for 33 power grid technology and infrastructure stocks After a 45.4% total return over the past year and a share price near ¥1,688, the key issue is whether Teijin still offers an appealing trade off between risk and potential reward at today’s valuation. ## Most Popular Narrative: 1% Undervalued At a last close of ¥1,688.5 versus a narrative fair value of ¥1,700, Teijin is framed as slightly undervalued, with that gap anchored in detailed long term assumptions. > _The shift to a customer issue driven business model across Apparel & Industries, Healthcare & Life Solutions, Electronics & Energy and Specialty Materials aims to move Teijin toward higher value solutions rather than commoditized materials. This is intended to support more resilient revenue growth and a higher adjusted operating income base._ Read the complete narrative. Analysts behind this narrative are not just guessing. Their fair value hinges on a specific blend of revenue growth, margin repair and a future earnings multiple that differs from today. Curious which of those levers does the heavy lifting in the model and how sensitive that ¥1,700 figure is to small tweaks. **Result: Fair Value of ¥1,700 (UNDERVALUED)** Have a read of the narrative in full and understand what's behind the forecasts. However, the Teijin narrative still hinges on execution, as further impairment charges or weaker margins in Materials and Specialty Materials could quickly challenge that ¥1,700 fair value case. Find out about the key risks to this Teijin narrative. ## Next Steps With Teijin presenting both concerns and reasons for optimism, it makes sense to check the underlying numbers yourself and decide quickly where you stand by reviewing the 3 key rewards and 2 important warning signs ## Looking for more investment ideas beyond Teijin? If you like the depth of analysis on Teijin, do not stop here. Broaden your opportunity set with focused stock lists built from clear fundamentals. - Target income potential by scanning companies built around robust cash payouts through the 48 dividend fortresses. - Hunt for quality at a reasonable price by reviewing the screener containing 61 high quality undiscovered gems before others notice them. - Prioritise resilience by zeroing in on companies that score well for financial strength via the solid balance sheet and fundamentals stocks screener (37 results). _This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._ ### Valuation is complex, but we're here to simplify it. Discover if Teijin might be undervalued or overvalued with our detailed analysis, featuring **fair value estimates, potential risks, dividends, insider trades, and its financial condition.** Access Free Analysis ### Related Stocks - [3401.JP](https://longbridge.com/en/quote/3401.JP.md) ## Related News & Research - [Teijin (TSE:3401) Following Its Rally Is The Valuation Upside Still There](https://longbridge.com/en/news/291042566.md) - [Nomura Sticks to Its Hold Rating for Teijin (TINLF)](https://longbridge.com/en/news/296226457.md) - [Chiyoda (TSE:6366) Has Strong Long Term Returns, Is The Stock Still A Bargain?](https://longbridge.com/en/news/296320264.md) - [Nidec (TSE:6594) Faces An 8% Fair Value Gap As Results Delay Raises Questions](https://longbridge.com/en/news/296191443.md) - [Is Kurabo Industries (TSE:3106) Undervalued As Raised Guidance Lifts The Outlook?](https://longbridge.com/en/news/295954750.md)