Atrae, Inc. (6194) 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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Atrae, Inc.

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Proto Corp.

Why is Atrae, Inc. ?

High Management Efficiency with a high ROE of 14.15%

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

Healthy long term growth as Net Sales has grown by an annual rate of 17.10%

The company has declared Negative results for the last 6 consecutive quarters

RAW MATERIAL COST(Y) Grown by 7.05% (YoY)
CASH AND EQV(HY) Lowest at JPY 6,965.48 MM
DEBT-EQUITY RATIO (HY) Highest at -60.17 %

With ROE of 23.58%, it has a very attractive valuation with a 3.40 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 3.43%, its profits have fallen by -6.2%

Underperformed the market in the last 1 year

The stock has generated a return of 3.43% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 75.22%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Atrae, Inc. 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 Atrae, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Atrae, Inc.

3.43%

-0.11

31.75%

Japan Nikkei 225

75.22%

2.67

28.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.10%

EBIT Growth (5y)

15.26%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.61

Sales to Capital Employed (avg)

1.40

Tax Ratio

36.95%

Dividend Payout Ratio

62.83%

Pledged Shares

Institutional Holding

ROCE (avg)

125.97%

ROE (avg)

14.15%

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

3.40

EV to EBIT

7.99

EV to EBITDA

7.84

EV to Capital Employed

6.55

EV to Sales

1.73

PEG Ratio

Dividend Yield

ROCE (Latest)

81.97%

ROE (Latest)

23.58%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Sideways

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bullish

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

3What is working for the Company

ROCE(HY)

Highest at 23.69%

DEBTORS TURNOVER RATIO(HY)

Highest at 11.95 times

-14What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 7.05% (YoY

CASH AND EQV(HY)

Lowest at JPY 6,965.48 MM

DEBT-EQUITY RATIO (HY)

Highest at -60.17 %

INTEREST(Q)

Highest at JPY 2.52 MM

Here's what is working for Atrae, Inc.

Debtors Turnover Ratio

Highest at 11.95 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Atrae, Inc.

Interest

At JPY 2.52 MM has Grown at 39.57%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 2.52 MM

in the last five periods and Increased by 39.57% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 6,965.48 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -60.17 %

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 7.05% (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