Berg Earth Co., Ltd. (1383) 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

Kitoku Shinryo Co., Ltd.

Hokuryo Co., Ltd.

AXYZ Co., Ltd.

Ensuiko Sugar Refining Co., Ltd.

Ifuji Sangyo Co., Ltd.

The Torigoe Co., Ltd.

Japan Animal Referral Medical Center Co., Ltd.

Berg Earth Co., Ltd.

Beauty Kadan Holdings Co., Ltd.

Toyo Sugar Refining Co. Ltd.

Nichiwa Sangyo Co., Ltd.

Why is Berg Earth Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.43%

The company has been able to generate a Return on Capital Employed (avg) of 0.43% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 1.08% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0.43%

The company has declared Negative results for the last 3 consecutive quarters

ROCE(HY) Lowest at -0.6%
INTEREST(Q) At JPY 3.98 MM has Grown at 51.29%
RAW MATERIAL COST(Y) Grown by 6.92% (YoY)

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -3.67% 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 Other Agricultural Products)

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

Is Berg Earth Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Berg Earth Co., Ltd.

-3.67%

0.20

12.99%

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)

7.48%

EBIT Growth (5y)

-193.32%

EBIT to Interest (avg)

-4.39

Debt to EBITDA (avg)

10.00

Net Debt to Equity (avg)

0.72

Sales to Capital Employed (avg)

1.67

Tax Ratio

100.00%

Dividend Payout Ratio

40.00%

Pledged Shares

Institutional Holding

ROCE (avg)

0.61%

ROE (avg)

1.08%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.69

EV to EBIT

-196.75

EV to EBITDA

26.76

EV to Capital Employed

1.98

EV to Sales

0.85

PEG Ratio

Dividend Yield

ROCE (Latest)

-1.01%

ROE (Latest)

-4.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

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

2What is working for the Company

CASH AND EQV(HY)

Highest at JPY 1,685.24 MM

EPS(Q)

Highest at JPY 129.16

-25What is not working for the Company

ROCE(HY)

Lowest at -0.6%

INTEREST(Q)

At JPY 3.98 MM has Grown at 51.29%

RAW MATERIAL COST(Y)

Grown by 6.92% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 91.56 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 9.53%

NET PROFIT(Q)

Fallen at -34.34%

Here's what is working for Berg Earth Co., Ltd.

EPS

Highest at JPY 129.16

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 1,685.24 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation

Highest at JPY 79.07 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 79.07 MM has Grown at 36.79%

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 Berg Earth Co., Ltd.

Interest

At JPY 3.98 MM has Grown at 51.29%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 3.98 MM

in the last five periods and Increased by 51.29% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

Fallen at -34.34%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Debt-Equity Ratio

Highest at 91.56 %

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 9.53%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 6.92% (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