Akikawa Foods & Farms Co., Ltd. (1380) 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

STI Foods Holdings, Inc.

Akikawa Foods & Farms Co., Ltd.

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Maruichi Co., Ltd.

Kyokuyo Co., Ltd.

Rokko Butter Co., Ltd.

Fukutome Meat Packers, Ltd.

Ichimasa Kamaboko Co., Ltd.

Natori Co., Ltd.

Hagoromo Foods Corp.

NICHIMO CO., LTD.

Why is Akikawa Foods & Farms Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.53%

The company has been able to generate a Return on Capital Employed (avg) of 2.53% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Operating profit has grown by an annual rate -12.08% of over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Capital Employed (avg) of 2.53% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Operating profit has grown by an annual rate -12.08% of over the last 5 years

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

DEBTORS TURNOVER RATIO(HY) Highest at 8.48 times
RAW MATERIAL COST(Y) Fallen by -5.86% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at 102.76 %

With ROCE of 3.26%, it has a expensive valuation with a 1.49 Enterprise value to Capital Employed

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 1.73%, its profits have risen by 343% ; the PEG ratio of the company is 0.1

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Akikawa Foods & Farms Co., Ltd. should be less than 10%
Overall Portfolio exposure to FMCG should be less than 30%

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

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

Is Akikawa Foods & Farms Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Akikawa Foods & Farms Co., Ltd.

-100.0%

-0.26

14.99%

Japan Nikkei 225

75.22%

2.67

28.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.54%

EBIT Growth (5y)

-12.08%

EBIT to Interest (avg)

7.09

Debt to EBITDA (avg)

3.85

Net Debt to Equity (avg)

1.06

Sales to Capital Employed (avg)

1.46

Tax Ratio

38.61%

Dividend Payout Ratio

147.92%

Pledged Shares

Institutional Holding

ROCE (avg)

2.53%

ROE (avg)

6.21%

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

2.00

EV to EBIT

45.69

EV to EBITDA

10.64

EV to Capital Employed

1.49

EV to Sales

0.81

PEG Ratio

0.10

Dividend Yield

ROCE (Latest)

3.26%

ROE (Latest)

5.89%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

No Trend

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

14What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 8.48 times

RAW MATERIAL COST(Y)

Fallen by -5.86% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 102.76 %

INVENTORY TURNOVER RATIO(HY)

Highest at 6.38 times

NET PROFIT(Q)

Highest at JPY 86.48 MM

-8What is not working for the Company

INTEREST(HY)

At JPY 16.27 MM has Grown at 6.79%

NET SALES(Q)

Lowest at JPY 1,923.79 MM

EPS(Q)

Lowest at JPY -13.39

Here's what is working for Akikawa Foods & Farms Co., Ltd.

Debtors Turnover Ratio

Highest at 8.48 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Profit

Highest at JPY 86.48 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Debt-Equity Ratio

Lowest at 102.76 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 6.38 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -5.86% (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 Akikawa Foods & Farms Co., Ltd.

Interest

At JPY 16.27 MM has Grown at 6.79%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 1,923.79 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

EPS

Lowest at JPY -13.39

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)