Why is Besterra Co., Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 5.21 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 5.21 times
2
With ROE of 8.68%, it has a very attractive valuation with a 2.07 Price to Book Value
- Over the past year, while the stock has generated a return of 16.62%, its profits have risen by 109.4% ; the PEG ratio of the company is 0.2
3
Underperformed the market in the last 1 year
- The stock has generated a return of 16.62% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%
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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Besterra Co., Ltd for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Besterra Co., Ltd
16.62%
0.43
29.91%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality key factors
Factor
Value
Sales Growth (5y)
25.97%
EBIT Growth (5y)
48.94%
EBIT to Interest (avg)
20.26
Debt to EBITDA (avg)
3.34
Net Debt to Equity (avg)
0.77
Sales to Capital Employed (avg)
1.09
Tax Ratio
34.66%
Dividend Payout Ratio
43.25%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
6.13%
ROE (avg)
6.64%
Valuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
Price to Book Value
2.07
EV to EBIT
32.71
EV to EBITDA
25.21
EV to Capital Employed
1.74
EV to Sales
1.12
PEG Ratio
0.22
Dividend Yield
NA
ROCE (Latest)
5.33%
ROE (Latest)
8.68%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
13What is working for the Company
NET PROFIT(HY)
Higher at JPY 356.94 MM
ROCE(HY)
Highest at 13.05%
RAW MATERIAL COST(Y)
Fallen by -53.75% (YoY
-19What is not working for the Company
INTEREST(9M)
At JPY 17.49 MM has Grown at 82.51%
NET SALES(9M)
At JPY 7,661.48 MM has Grown at -15.11%
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.3%
Here's what is working for Besterra Co., Ltd
Net Profit
At JPY 356.94 MM has Grown at 256.37%
Year on Year (YoY)MOJO Watch
Net Profit trend is very positive
Net Profit (JPY MM)
Net Profit
Higher at JPY 356.94 MM
than preceding 12 month period ended Apr 2025MOJO Watch
In the half year the company has already crossed Net Profit of the previous twelve months
Net Profit (JPY MM)
Raw Material Cost
Fallen by -53.75% (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 Besterra Co., Ltd
Interest
At JPY 6.84 MM has Grown at 40.87%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Sales
At JPY 2,531.67 MM has Fallen at -7.07%
over average net sales of the previous four periods of JPY 2,724.37 MMMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Interest
Highest at JPY 6.84 MM
in the last five periods and Increased by 40.87% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debtors Turnover Ratio
Lowest at 2.3%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






