Asaka Riken Co., Ltd. (5724) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Nihon Seiko Co., Ltd.

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Chugai Mining Co., Ltd.

Yotai Refractories Co., Ltd.

OSAKA Titanium Technologies Co., Ltd.

Toho Titanium Co., Ltd.

Kurotani Corp.

Asaka Riken Co., Ltd.

Toho Zinc Co., Ltd.

Nippon Denkai Ltd.

Why is Asaka Riken Co., Ltd. ?

Negative results in Jun 25

ROCE(HY) Lowest at 5.07%
INVENTORY TURNOVER RATIO(HY) Lowest at 2.82%
INTEREST(Q) At JPY 31.01 MM has Grown at 27.21%

With ROCE of 6.08%, it has a expensive valuation with a 1.23 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 152.33%, its profits have risen by 140.2% ; the PEG ratio of the company is 0.2

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Asaka Riken Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Asaka Riken Co., Ltd.

152.33%

1.34

79.04%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.44%

EBIT Growth (5y)

44.88%

EBIT to Interest (avg)

12.97

Debt to EBITDA (avg)

1.90

Net Debt to Equity (avg)

0.58

Sales to Capital Employed (avg)

1.07

Tax Ratio

21.90%

Dividend Payout Ratio

42.14%

Pledged Shares

Institutional Holding

ROCE (avg)

8.86%

ROE (avg)

8.27%

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

1.37

EV to EBIT

20.28

EV to EBITDA

11.94

EV to Capital Employed

1.23

EV to Sales

1.06

PEG Ratio

0.16

Dividend Yield

ROCE (Latest)

6.08%

ROE (Latest)

6.19%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Bullish

No Trend

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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -9.29% (YoY

NET PROFIT(9M)

Higher at JPY 233.13 MM

CASH AND EQV(HY)

Highest at JPY 6,740.44 MM

-22What is not working for the Company

ROCE(HY)

Lowest at 5.07%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.82%

INTEREST(Q)

At JPY 31.01 MM has Grown at 27.21%

INTEREST COVERAGE RATIO(Q)

Lowest at 541.38

DEBT-EQUITY RATIO (HY)

Highest at 59.55 %

NET SALES(Q)

Lowest at JPY 1,956.3 MM

Here's what is working for Asaka Riken Co., Ltd.

Cash and Eqv

Highest at JPY 6,740.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Net Profit

Higher at JPY 233.13 MM

than preceding 12 month period ended Jun 2025

MOJO 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 -9.29% (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 89.25 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 Asaka Riken Co., Ltd.

Net Sales

At JPY 1,956.3 MM has Fallen at -10.07%

over average net sales of the previous four periods of JPY 2,175.38 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (JPY MM)

Interest

At JPY 31.01 MM has Grown at 27.21%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 541.38

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Inventory Turnover Ratio

Lowest at 2.82% and Fallen

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

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Net Sales

Lowest at JPY 1,956.3 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Interest

Highest at JPY 31.01 MM

in the last five periods and Increased by 27.21% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 59.55 %

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