ASJ Inc. (2351) 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

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Broadband Tower, Inc.

ODK Solutions Co., Ltd.

ASJ Inc.

Why is ASJ Inc. ?

Poor Management Efficiency with a low ROE of 3.35%

The company has been able to generate a Return on Equity (avg) of 3.35% signifying low profitability per unit of shareholders funds
OPERATING CASH FLOW(Y) Lowest at JPY 0 MM
INTEREST COVERAGE RATIO(Q) Lowest at 2,319.93
NET SALES(Q) Fallen at -11.36%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -22.56% 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 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 Commercial Services & Supplies)

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

Is ASJ Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

ASJ Inc.

-22.56%

-0.82

51.07%

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)

2.00%

EBIT Growth (5y)

45.26%

EBIT to Interest (avg)

33.94

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.10

Sales to Capital Employed (avg)

0.93

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

9.67%

Pledged Shares

Institutional Holding

ROCE (avg)

3.56%

ROE (avg)

3.35%

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

0.87

EV to EBIT

14.00

EV to EBITDA

5.25

EV to Capital Employed

0.85

EV to Sales

0.81

PEG Ratio

0.09

Dividend Yield

ROCE (Latest)

6.10%

ROE (Latest)

8.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

Mildly 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

10What is working for the Company

NET PROFIT(HY)

Higher at JPY 204.91 MM

ROCE(HY)

Highest at 8.9%

RAW MATERIAL COST(Y)

Fallen by -1.1% (YoY

CASH AND EQV(HY)

Highest at JPY 2,087.88 MM

PRE-TAX PROFIT(Q)

At JPY -1.55 MM has Grown at 72.54%

-19What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at JPY 0 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 2,319.93

NET SALES(Q)

Fallen at -11.36%

INTEREST(Q)

Highest at JPY 3.14 MM

NET PROFIT(Q)

Lowest at JPY -7.1 MM

EPS(Q)

Lowest at JPY -0.89

Here's what is working for ASJ Inc.

Pre-Tax Profit

At JPY -1.55 MM has Grown at 72.54%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Cash and Eqv

Highest at JPY 2,087.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -1.1% (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 73.47 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 ASJ Inc.

Operating Cash Flow

Lowest at JPY 0 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (JPY MM)

Interest Coverage Ratio

Lowest at 2,319.93

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at JPY 580.16 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Net Sales

Fallen at -11.36%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Interest

Highest at JPY 3.14 MM

in the last five periods and Increased by 6.26% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

Lowest at JPY -7.1 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Net Profit

Fallen at -43.37%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -0.89

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)