ASKUL Corp. (2678) 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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Rakuten Group, Inc.

ASKUL Corp.

Why is ASKUL Corp. ?

Poor long term growth as Net Sales has grown by an annual rate of 3.82% over the last 5 years

With a fall in Net Sales of -29.37%, the company declared Very Negative results in Nov 25

ROCE(HY) Lowest at -1.84%
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
RAW MATERIAL COST(Y) Grown by 5.93% (YoY)

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -24.21%, its profits have fallen by -16%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -24.21% 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 E-Retail/ E-Commerce)

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

Is ASKUL Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

ASKUL Corp.

-24.21%

-1.73

25.79%

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)

3.82%

EBIT Growth (5y)

11.10%

EBIT to Interest (avg)

49.49

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.42

Sales to Capital Employed (avg)

5.09

Tax Ratio

30.69%

Dividend Payout Ratio

39.81%

Pledged Shares

Institutional Holding

0.03%

ROCE (avg)

76.70%

ROE (avg)

14.32%

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

1.92

EV to EBIT

8.02

EV to EBITDA

4.55

EV to Capital Employed

2.59

EV to Sales

0.24

PEG Ratio

Dividend Yield

ROCE (Latest)

32.31%

ROE (Latest)

12.34%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 8.76 times

-44What is not working for the Company

ROCE(HY)

Lowest at -1.84%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 5.93% (YoY

CASH AND EQV(HY)

Lowest at JPY 98,234 MM

DEBT-EQUITY RATIO (HY)

Highest at -11.63 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 14.15 times

DIVIDEND PER SHARE(HY)

Lowest at JPY 8.76

NET SALES(Q)

Lowest at JPY 86,401 MM

INTEREST(Q)

Highest at JPY 181 MM

OPERATING PROFIT(Q)

Lowest at JPY -535 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.62 %

PRE-TAX PROFIT(Q)

Lowest at JPY -4,836 MM

NET PROFIT(Q)

Lowest at JPY -1,728 MM

EPS(Q)

Lowest at JPY -77.69

Here's what is working for ASKUL Corp.

Debtors Turnover Ratio

Highest at 8.76 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at JPY 3,514 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 ASKUL Corp.

Net Sales

At JPY 86,401 MM has Fallen at -28.75%

over average net sales of the previous four periods of JPY 121,260.25 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY -4,836 MM has Fallen at -258.74%

over average net sales of the previous four periods of JPY 3,046.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -1,728 MM has Fallen at -187.12%

over average net sales of the previous four periods of JPY 1,983.51 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 181 MM has Grown at 15.29%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 86,401 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Interest

Highest at JPY 181 MM

in the last five periods and Increased by 15.29% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY -535 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -0.62 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -4,836 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -1,728 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -77.69

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Cash and Eqv

Lowest at JPY 98,234 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -11.63 %

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 14.15 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Dividend per share

Lowest at JPY 8.76

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (JPY)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 5.93% (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