ACOM Co., Ltd. (8572) 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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Why is ACOM Co., Ltd. ?

Weak Long Term Fundamental Strength with a 0.57% CAGR growth in Operating Profits

Poor long term growth as Net Sales has grown by an annual rate of 4.90% and Operating profit at 0.57%

Flat results in Jun 26

INTEREST(HY) At JPY 3 MM has Grown at 50%
DEBTORS TURNOVER RATIO(HY) Lowest at 0.26 times

With ROE of 11.81%, it has a very attractive valuation with a 0.98 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 5.62%, its profits have risen by 132% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

The stock has generated a return of 5.62% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to ACOM Co., Ltd. should be less than 10%
Overall Portfolio exposure to Finance should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)

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

Is ACOM Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

ACOM Co., Ltd.

5.62%

1.10

23.16%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.90%

EBIT Growth (5y)

0.57%

EBIT to Interest (avg)

17.23

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

15.74%

Dividend Payout Ratio

43.28%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

14.02%

ROE (avg)

10.86%

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

0.98

EV to EBIT

5.83

EV to EBITDA

5.62

EV to Capital Employed

0.98

EV to Sales

1.85

PEG Ratio

0.06

Dividend Yield

ROCE (Latest)

16.75%

ROE (Latest)

11.81%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

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

ROCE(HY)

Highest at 9.34%

NET SALES(Q)

Highest at JPY 88,727 MM

INTEREST COVERAGE RATIO(Q)

Highest at 3,067,200

RAW MATERIAL COST(Y)

Fallen by 0.7% (YoY

PRE-TAX PROFIT(Q)

Highest at JPY 29,585 MM

-6What is not working for the Company

INTEREST(HY)

At JPY 3 MM has Grown at 50%

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.26 times

Here's what is working for ACOM Co., Ltd.

Net Sales

Highest at JPY 88,727 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Interest Coverage Ratio

Highest at 3,067,200

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Pre-Tax Profit

Highest at JPY 29,585 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Raw Material Cost

Fallen by 0.7% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales

Here's what is not working for ACOM Co., Ltd.

Interest

At JPY 3 MM has Grown at 50%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 0.26 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio