Acmos, Inc. (6888) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Acmos, Inc.

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Why is Acmos, Inc. ?

High Management Efficiency with a high ROE of 13.46%

Company has very low debt and has enough cash to service the debt requirements

The company has declared Negative results for the last 3 consecutive quarters

ROCE(HY) Lowest at 9.41%
RAW MATERIAL COST(Y) Grown by 25.42% (YoY)
DEBT-EQUITY RATIO (HY) Highest at -33.02 %

With ROE of 12.00%, it has a very attractive valuation with a 1.81 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -13.95%, its profits have risen by 9.9% ; the PEG ratio of the company is 1.5

Below par performance in long term as well as near term

Along with generating -13.95% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Acmos, Inc. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Acmos, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Acmos, Inc.

-12.16%

-1.02

14.61%

Japan Nikkei 225

81.96%

2.98

27.54%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.43%

EBIT Growth (5y)

5.31%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.51

Sales to Capital Employed (avg)

1.74

Tax Ratio

30.51%

Dividend Payout Ratio

64.20%

Pledged Shares

Institutional Holding

ROCE (avg)

52.61%

ROE (avg)

13.46%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.81

EV to EBIT

7.02

EV to EBITDA

6.21

EV to Capital Employed

2.69

EV to Sales

0.61

PEG Ratio

1.52

Dividend Yield

ROCE (Latest)

38.27%

ROE (Latest)

12.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

8What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 10.28 times

NET SALES(Q)

Highest at JPY 2,836.42 MM

-15What is not working for the Company

ROCE(HY)

Lowest at 9.41%

RAW MATERIAL COST(Y)

Grown by 25.42% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -33.02 %

INTEREST(Q)

Highest at JPY 2.75 MM

Here's what is working for Acmos, Inc.

Net Sales

At JPY 2,836.42 MM has Grown at 34.23%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

Highest at JPY 2,836.42 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Inventory Turnover Ratio

Highest at 10.28 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

Highest at JPY 24.65 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Depreciation

At JPY 24.65 MM has Grown at 36.89%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (JPY MM)

Here's what is not working for Acmos, Inc.

Interest

At JPY 2.75 MM has Grown at 99.06%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 2.75 MM

in the last five periods and Increased by 99.06% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -33.02 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 25.42% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales