AVANTIA Co., Ltd. (8904) 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

Tokyu Construction Co., Ltd.

NISSHIN GROUP HOLDINGS Co., Ltd.

AVANTIA Co., Ltd.

Tama Home Co., Ltd.

Asanuma Corp.

Sankyo Frontier Co., Ltd.

Japan Living Warranty, Inc.

Takamatsu Construction Group Co. Ltd.

Grandy House Corp.

NIHON HOUSE HOLDINGS Co., Ltd.

First Juken Co., Ltd.

Why is AVANTIA Co., Ltd. ?

Strong Long Term Fundamental Strength with a 11.31% CAGR growth in Net Sales

The company has declared Negative results for the last 8 consecutive quarters

INTEREST(HY) At JPY 238.05 MM has Grown at 81.44%
DEBTORS TURNOVER RATIO(HY) Lowest at 35.82 times
NET SALES(Q) Lowest at JPY 11,412.47 MM

With ROE of 0.88%, it has a very attractive valuation with a 0.43 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 7.82%, its profits have fallen by -74.7%

Underperformed the market in the last 1 year

The stock has generated a return of 7.82% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 41.20%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to AVANTIA Co., Ltd. should be less than 10%
Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%

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

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

Is AVANTIA Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

AVANTIA Co., Ltd.

-100.0%

0.00

14.14%

Japan Nikkei 225

41.2%

1.45

28.34%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.31%

EBIT Growth (5y)

-11.17%

EBIT to Interest (avg)

11.15

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

2.42

Tax Ratio

48.54%

Dividend Payout Ratio

85.60%

Pledged Shares

Institutional Holding

ROCE (avg)

12.01%

ROE (avg)

4.19%

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

0.43

EV to EBIT

0.92

EV to EBITDA

0.64

EV to Capital Employed

0.05

EV to Sales

0.01

PEG Ratio

Dividend Yield

ROCE (Latest)

5.00%

ROE (Latest)

0.88%

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 Bullish

OBV

Mildly Bearish

Mildly 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

17What is working for the Company

PRE-TAX PROFIT(Q)

At JPY 259.01 MM has Grown at 190.21%

NET PROFIT(Q)

At JPY 223.15 MM has Grown at 183.46%

RAW MATERIAL COST(Y)

Fallen by -39.32% (YoY

CASH AND EQV(HY)

Highest at JPY 34,185.46 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 1.34 times

-11What is not working for the Company

INTEREST(HY)

At JPY 238.05 MM has Grown at 81.44%

DEBTORS TURNOVER RATIO(HY)

Lowest at 35.82 times

NET SALES(Q)

Lowest at JPY 11,412.47 MM

Here's what is working for AVANTIA Co., Ltd.

Pre-Tax Profit

At JPY 259.01 MM has Grown at 190.21%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 223.15 MM has Grown at 183.46%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 34,185.46 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 1.34 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -39.32% (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

Here's what is not working for AVANTIA Co., Ltd.

Interest

At JPY 238.05 MM has Grown at 81.44%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 11,412.47 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Net Sales

Fallen at -10.42%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Debtors Turnover Ratio

Lowest at 35.82 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at JPY 1.51 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income