BOOKOFF Group Holdings Ltd. (9278) 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

Tsutsumi Jewelry Co., Ltd.

Shinnihonseiyaku Co., Ltd.

Treasure Factory Co., Ltd.

Asahi Co., Ltd.

G-7 Holdings, Inc.

KU Holdings Co., Ltd.

SAC'S BAR Holdings, Inc.

BOOKOFF Group Holdings Ltd.

Yamaya Corp.

Nissan Tokyo Sales Holdings Co., Ltd.

OPTIMUS GROUP Co., Ltd.

Why is BOOKOFF Group Holdings Ltd. ?

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 declared Negative results for the last 4 consecutive quarters

DEBTORS TURNOVER RATIO(HY) Lowest at 32.73%
INTEREST(Q) At JPY 80 MM has Grown at 29.03%
INTEREST COVERAGE RATIO(Q) Lowest at 1,098.75

With ROCE of 9.78%, it has a very attractive valuation with a 1.18 Enterprise value to Capital Employed

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 -6.32%, its profits have fallen by -12.4%

Below par performance in long term as well as near term

Along with generating -6.32% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

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 Retailing)

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

Is BOOKOFF Group Holdings Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

BOOKOFF Group Holdings Ltd.

-6.08%

-0.55

21.00%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.50%

EBIT Growth (5y)

8.86%

EBIT to Interest (avg)

12.63

Debt to EBITDA (avg)

3.13

Net Debt to Equity (avg)

0.62

Sales to Capital Employed (avg)

2.73

Tax Ratio

37.13%

Dividend Payout Ratio

23.03%

Pledged Shares

Institutional Holding

ROCE (avg)

7.69%

ROE (avg)

10.71%

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

1.30

EV to EBIT

12.10

EV to EBITDA

7.45

EV to Capital Employed

1.18

EV to Sales

0.35

PEG Ratio

Dividend Yield

ROCE (Latest)

9.78%

ROE (Latest)

11.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -2.33% (YoY

-15What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 32.73%

INTEREST(Q)

At JPY 80 MM has Grown at 29.03%

INTEREST COVERAGE RATIO(Q)

Lowest at 1,098.75

DEBT-EQUITY RATIO (HY)

Highest at 107.17 %

NET PROFIT(Q)

Lowest at JPY 353.99 MM

Here's what is working for BOOKOFF Group Holdings Ltd.

Raw Material Cost

Fallen by -2.33% (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

Depreciation

Highest at JPY 579 MM

in the last five periods

MOJO Watch

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

Depreciation (JPY MM)

Here's what is not working for BOOKOFF Group Holdings Ltd.

Interest

At JPY 80 MM has Grown at 29.03%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 1,098.75

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debtors Turnover Ratio

Lowest at 32.73% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Profit

Lowest at JPY 353.99 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Debt-Equity Ratio

Highest at 107.17 %

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

Non Operating Income

Highest at JPY 1.3 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income