ScoreWhy is Asahi Diamond Industrial Co., Ltd. ?
1
Poor Management Efficiency with a low ROE of 3.54%
- The company has been able to generate a Return on Equity (avg) of 3.54% signifying low profitability per unit of shareholders funds
2
Company has very low debt and has enough cash to service the debt requirements
3
Low Debt Company with Strong Long Term Fundamental Strength
4
Negative results in Jun 25
- INTEREST(9M) At JPY 10 MM has Grown at 150%
- INVENTORY TURNOVER RATIO(HY) Lowest at 3.46%
- DEBT-EQUITY RATIO (HY) Highest at -17.03 %
5
With ROE of 4.33%, it has a very attractive valuation with a 0.60 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 -1.72%, its profits have risen by 19.8% ; the PEG ratio of the company is 0.7
- At the current price, the company has a high dividend yield of 0.1
6
Below par performance in long term as well as near term
- Along with generating -1.72% 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 ReportHow much should you hold?
- Overall Portfolio exposure to Asahi Diamond Industrial Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Asahi Diamond Industrial Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Asahi Diamond Industrial Co., Ltd.
-1.72%
-0.42
26.25%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.04%
EBIT Growth (5y)
50.94%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.20
Sales to Capital Employed (avg)
0.63
Tax Ratio
29.74%
Dividend Payout Ratio
62.04%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
3.94%
ROE (avg)
3.54%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
0.60
EV to EBIT
10.55
EV to EBITDA
4.31
EV to Capital Employed
0.50
EV to Sales
0.59
PEG Ratio
0.70
Dividend Yield
0.07%
ROCE (Latest)
4.71%
ROE (Latest)
4.33%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.12% (YoY
NET PROFIT(9M)
Higher at JPY 2,203 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 3.99%
-11What is not working for the Company
INTEREST(9M)
At JPY 10 MM has Grown at 150%
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.46%
DEBT-EQUITY RATIO
(HY)
Highest at -17.03 %
Here's what is working for Asahi Diamond Industrial Co., Ltd.
Debtors Turnover Ratio
Highest at 3.99%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Net Profit
Higher at JPY 2,203 MM
than preceding 12 month period ended Jun 2025MOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Profit (JPY MM)
Raw Material Cost
Fallen by -2.12% (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 Asahi Diamond Industrial Co., Ltd.
Interest
At JPY 7 MM has Grown at 250%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Inventory Turnover Ratio
Lowest at 3.46% and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debt-Equity Ratio
Highest at -17.03 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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