Asahi Intelligence Service Co., Ltd. (9799) 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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Asahi Intelligence Service Co., Ltd.

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Why is Asahi Intelligence Service Co., Ltd. ?

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

Negative results in Dec 25

INTEREST(HY) At JPY 1.04 MM has Grown at 32.06%
INTEREST COVERAGE RATIO(Q) Lowest at 71,957.27
RAW MATERIAL COST(Y) Grown by 12.31% (YoY)

With ROE of 10.10%, it has a fair valuation with a 1.53 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 -19.23%, its profits have risen by 0.1% ; the PEG ratio of the company is 15.2

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -19.23% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Asahi Intelligence Service Co., Ltd. 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 Asahi Intelligence Service Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Asahi Intelligence Service Co., Ltd.

-18.74%

0.82

27.72%

Japan Nikkei 225

71.75%

2.62

26.55%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.08%

EBIT Growth (5y)

5.77%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.60

Sales to Capital Employed (avg)

1.34

Tax Ratio

26.88%

Dividend Payout Ratio

41.83%

Pledged Shares

Institutional Holding

ROCE (avg)

35.32%

ROE (avg)

9.44%

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

1.53

EV to EBIT

8.32

EV to EBITDA

8.11

EV to Capital Employed

2.07

EV to Sales

0.75

PEG Ratio

15.19

Dividend Yield

ROCE (Latest)

24.85%

ROE (Latest)

10.10%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-12What is not working for the Company

INTEREST(HY)

At JPY 1.04 MM has Grown at 32.06%

INTEREST COVERAGE RATIO(Q)

Lowest at 71,957.27

RAW MATERIAL COST(Y)

Grown by 12.31% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -49.62 %

Here's what is not working for Asahi Intelligence Service Co., Ltd.

Interest

At JPY 1.04 MM has Grown at 32.06%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 71,957.27

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at -49.62 %

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

Raw Material Cost

Grown by 12.31% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at JPY 0.1 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income