Benefit Japan Co., Ltd. (3934) 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

Benefit Japan Co., Ltd.

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JTOWER, Inc.

Why is Benefit Japan Co., Ltd. ?

High Management Efficiency with a high ROE of 12.93%

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

With a growth in Net Sales of 14.07%, the company declared Very Positive results in Mar 26

ROCE(HY) Highest at 11.93%
NET SALES(Q) Highest at JPY 5,571.45 MM
DIVIDEND PAYOUT RATIO(Y) Highest at 176.57%

With ROE of 11.56%, it has a expensive valuation with a 1.44 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 27.85%, its profits have risen by 25.2% ; the PEG ratio of the company is 0.5

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Benefit Japan Co., Ltd. should be less than 10%
Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

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

Is Benefit Japan Co., Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Benefit Japan Co., Ltd.

-100.0%

2.80

30.47%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.74%

EBIT Growth (5y)

1.91%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.28

Sales to Capital Employed (avg)

1.41

Tax Ratio

32.50%

Dividend Payout Ratio

30.46%

Pledged Shares

Institutional Holding

ROCE (avg)

20.68%

ROE (avg)

12.93%

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

1.44

EV to EBIT

7.26

EV to EBITDA

6.59

EV to Capital Employed

1.55

EV to Sales

0.64

PEG Ratio

0.50

Dividend Yield

ROCE (Latest)

21.34%

ROE (Latest)

11.56%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

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

19What is working for the Company

ROCE(HY)

Highest at 11.93%

NET SALES(Q)

Highest at JPY 5,571.45 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 176.57%

DEBTORS TURNOVER RATIO(HY)

Highest at 2.48 times

DIVIDEND PER SHARE(HY)

Highest at JPY 2.48

OPERATING PROFIT(Q)

Highest at JPY 456.19 MM

EPS(Q)

Highest at JPY 47.81

-16What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 13,075.12

DEBT-EQUITY RATIO (HY)

Highest at -16.4 %

INTEREST(Q)

Highest at JPY 3.49 MM

Here's what is working for Benefit Japan Co., Ltd.

Net Sales

Highest at JPY 5,571.45 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 5,571.45 MM has Grown at 38.48%

over average net sales of the previous four periods of JPY 4,023.3 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 456.19 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

EPS

Highest at JPY 47.81

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Highest at 2.48 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at JPY 2.48

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 176.57%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at JPY 67.12 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Depreciation

At JPY 67.12 MM has Grown at 108.14%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (JPY MM)

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

Interest

At JPY 3.49 MM has Grown at 22.16%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 13,075.12

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 3.49 MM

in the last five periods and Increased by 22.16% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -16.4 %

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