Aica Kogyo Co., Ltd. (4206) 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

Nippon Paint Holdings Co., Ltd.

Kansai Paint Co., Ltd.

C. Uyemura & Co., Ltd.

Aica Kogyo Co., Ltd.

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Fujimi, Inc.

KeePer Technical Laboratory Co., Ltd.

LINTEC Corp.

artience Co. Ltd.

Sekisui Chemical Co., Ltd.

Why is Aica Kogyo Co., Ltd. ?

Weak Long Term Fundamental Strength with a 10.69% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Operating profit has grown by an annual rate 10.69% of over the last 5 years

Flat results in Jun 26

DEBT-EQUITY RATIO (HY) Highest at -5.09 %
INVENTORY TURNOVER RATIO(HY) Lowest at 4.85 times
INTEREST(Q) Highest at JPY 156 MM

With ROE of 11.49%, it has a very attractive valuation with a 1.32 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 8.93%, its profits have risen by 6.6% ; the PEG ratio of the company is 1.8
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 8.93% 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 Aica Kogyo Co., Ltd. should be less than 10%
Overall Portfolio exposure to Other Industrial Products should be less than 30%

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

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

Is Aica Kogyo Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Aica Kogyo Co., Ltd.

-100.0%

1.10

17.75%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.40%

EBIT Growth (5y)

10.69%

EBIT to Interest (avg)

97.98

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

1.22

Tax Ratio

32.86%

Dividend Payout Ratio

46.55%

Pledged Shares

Institutional Holding

0.08%

ROCE (avg)

17.94%

ROE (avg)

9.76%

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

1.32

EV to EBIT

7.78

EV to EBITDA

5.78

EV to Capital Employed

1.36

EV to Sales

0.88

PEG Ratio

1.76

Dividend Yield

ROCE (Latest)

17.44%

ROE (Latest)

11.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

6What is working for the Company

NET SALES(Q)

Highest at JPY 71,379 MM

RAW MATERIAL COST(Y)

Fallen by -5.63% (YoY

OPERATING PROFIT(Q)

Highest at JPY 11,824 MM

PRE-TAX PROFIT(Q)

Highest at JPY 9,674 MM

-13What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -5.09 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.85 times

INTEREST(Q)

Highest at JPY 156 MM

Here's what is working for Aica Kogyo Co., Ltd.

Net Sales

Highest at JPY 71,379 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 71,379 MM has Grown at 13.41%

over average net sales of the previous four periods of JPY 62,941 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 11,824 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 9,674 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 -5.63% (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

Depreciation

Highest at JPY 2,662 MM

in the last five periods

MOJO Watch

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

Depreciation (JPY MM)

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

Interest

At JPY 156 MM has Grown at 12.23%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 156 MM

in the last five periods and Increased by 12.23% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -5.09 %

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

Inventory Turnover Ratio

Lowest at 4.85 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio