ASAHI KOGYOSHA CO., LTD. (1975) 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

TANSEISHA Co., Ltd.

Nittoc Construction Co., Ltd.

DAI-DAN Co., Ltd.

Tokyo Energy & Systems, Inc.

P.S. Mitsubishi Construction Co., Ltd.

ASAHI KOGYOSHA CO., LTD.

Fuji Furukawa Engineering & Construction Co. Ltd.

Wakachiku Construction Co., Ltd.

Fukuda Corp.

Daiichi Kensetsu Corp.

Kawada Technologies, Inc.

Why is ASAHI KOGYOSHA CO., LTD. ?

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

Flat results in Dec 25

INTEREST COVERAGE RATIO(Q) Lowest at 11,823.81
DEBT-EQUITY RATIO (HY) Highest at -8.67 %
INVENTORY TURNOVER RATIO(HY) Lowest at 19.13 times

With ROE of 14.83%, it has a very attractive valuation with a 1.50 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 77.15%, its profits have risen by 67.6%

Market Beating Performance

The stock has generated a return of 77.15% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to ASAHI KOGYOSHA CO., LTD. should be less than 10%
Overall Portfolio exposure to Construction should be less than 30%

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

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

Is ASAHI KOGYOSHA CO., LTD. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

ASAHI KOGYOSHA CO., LTD.

77.15%

4.20

37.97%

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)

-2.43%

EBIT Growth (5y)

14.63%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.35

Sales to Capital Employed (avg)

2.15

Tax Ratio

27.78%

Dividend Payout Ratio

49.60%

Pledged Shares

Institutional Holding

ROCE (avg)

16.28%

ROE (avg)

8.40%

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

1.50

EV to EBIT

6.67

EV to EBITDA

6.13

EV to Capital Employed

1.78

EV to Sales

0.53

PEG Ratio

Dividend Yield

ROCE (Latest)

26.64%

ROE (Latest)

14.83%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

ROCE(HY)

Highest at 18.33%

RAW MATERIAL COST(Y)

Fallen by -26.35% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 2.89 times

NET SALES(Q)

At JPY 27,126 MM has Grown at 22.33%

PRE-TAX PROFIT(Q)

At JPY 2,422 MM has Grown at 70.56%

NET PROFIT(Q)

At JPY 1,666.69 MM has Grown at 73.25%

-15What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 11,823.81

DEBT-EQUITY RATIO (HY)

Highest at -8.67 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 19.13 times

INTEREST(Q)

Highest at JPY 21 MM

Here's what is working for ASAHI KOGYOSHA CO., LTD.

Net Sales

At JPY 27,126 MM has Grown at 22.33%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 2,422 MM has Grown at 70.56%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 1,666.69 MM has Grown at 73.25%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Debtors Turnover Ratio

Highest at 2.89 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -26.35% (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

Depreciation

Highest at JPY 175 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 ASAHI KOGYOSHA CO., LTD.

Interest

At JPY 21 MM has Grown at 23.53%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 11,823.81

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 21 MM

in the last five periods and Increased by 23.53% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -8.67 %

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

Inventory Turnover Ratio

Lowest at 19.13 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio