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

KeePer Technical Laboratory Co., Ltd.

Kansai Paint Co., Ltd.

Fujimi, Inc.

Aica Kogyo Co., Ltd.

Nihon Parkerizing Co., Ltd.

ZEON Corp.

Nippon Paint Holdings Co., Ltd.

C. Uyemura & Co., Ltd.

artience Co. Ltd.

LINTEC Corp.

Sekisui Chemical Co., Ltd.

Why is Aica Kogyo Co., Ltd. ?

High Management Efficiency with a high ROE of 9.76%

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

Poor long term growth as Operating profit has grown by an annual rate 5.62% of over the last 5 years

Flat results in Dec 25

INTEREST(HY) At JPY 141 MM has Grown at 10.16%
DEBT-EQUITY RATIO (HY) Highest at -9.3 %

With ROE of 11.31%, it has a very attractive valuation with a 1.41 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 6.26%, its profits have risen by 15.5% ; the PEG ratio of the company is 0.8
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 6.26% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

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.

6.26%

0.39

16.06%

Japan Nikkei 225

38.94%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.37%

EBIT Growth (5y)

5.62%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.18

Sales to Capital Employed (avg)

1.26

Tax Ratio

31.37%

Dividend Payout Ratio

47.31%

Pledged Shares

Institutional Holding

0.08%

ROCE (avg)

18.30%

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

1.41

EV to EBIT

7.78

EV to EBITDA

5.97

EV to Capital Employed

1.50

EV to Sales

0.86

PEG Ratio

0.80

Dividend Yield

0.03%

ROCE (Latest)

19.30%

ROE (Latest)

11.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

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

7What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -3.32% (YoY

NET SALES(Q)

Highest at JPY 64,888 MM

OPERATING PROFIT(Q)

Highest at JPY 10,824 MM

OPERATING PROFIT MARGIN(Q)

Highest at 16.68 %

PRE-TAX PROFIT(Q)

Highest at JPY 9,362 MM

NET PROFIT(Q)

Highest at JPY 5,967 MM

EPS(Q)

Highest at JPY 89.24

-6What is not working for the Company

INTEREST(HY)

At JPY 141 MM has Grown at 10.16%

DEBT-EQUITY RATIO (HY)

Highest at -9.3 %

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

Net Sales

Highest at JPY 64,888 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 10,824 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 16.68 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 9,362 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 5,967 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 89.24

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -3.32% (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 Aica Kogyo Co., Ltd.

Interest

At JPY 141 MM has Grown at 10.16%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -9.3 %

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