Alpha Systems, Inc. (4719) 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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Alpha Systems, Inc.

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NSW, Inc. (Japan)

Why is Alpha Systems, Inc. ?

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 5.79% of over the last 5 years

Positive results in Dec 25

ROCE(HY) Highest at 8.07%
OPERATING PROFIT(Q) Highest at JPY 1,659.7 MM
OPERATING PROFIT MARGIN(Q) Highest at 16.12 %

With ROE of 7.39%, it has a very attractive valuation with a 1.11 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 -0.15%, its profits have risen by 5.5% ; the PEG ratio of the company is 2.8

Below par performance in long term as well as near term

Along with generating -0.15% 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 Alpha Systems, 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 Alpha Systems, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Alpha Systems, Inc.

-0.15%

0.40

35.01%

Japan Nikkei 225

36.73%

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)

4.54%

EBIT Growth (5y)

5.79%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

0.88

Tax Ratio

29.28%

Dividend Payout Ratio

54.64%

Pledged Shares

Institutional Holding

ROCE (avg)

26.26%

ROE (avg)

7.12%

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

1.11

EV to EBIT

5.40

EV to EBITDA

5.13

EV to Capital Employed

1.25

EV to Sales

0.62

PEG Ratio

2.75

Dividend Yield

ROCE (Latest)

23.06%

ROE (Latest)

7.39%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

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

7What is working for the Company

ROCE(HY)

Highest at 8.07%

OPERATING PROFIT(Q)

Highest at JPY 1,659.7 MM

OPERATING PROFIT MARGIN(Q)

Highest at 16.12 %

PRE-TAX PROFIT(Q)

Highest at JPY 1,609.01 MM

NET PROFIT(Q)

Highest at JPY 1,104.49 MM

EPS(Q)

Highest at JPY 78.67

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -51.38 %

Here's what is working for Alpha Systems, Inc.

Operating Profit

Highest at JPY 1,659.7 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 16.12 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 1,609.01 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 1,104.49 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 78.67

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Depreciation

Highest at JPY 74.05 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 Alpha Systems, Inc.

Debt-Equity Ratio

Highest at -51.38 % and Grown

In each half year 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