Bridgestone Corp. (5108) 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

Bridgestone Corp.

Sumitomo Rubber Industries, Ltd.

The Yokohama Rubber Co., Ltd.

Toyo Tire Corp.

JVCKenwood Corp.

TS TECH CO., LTD.

Why is Bridgestone Corp. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 19.07

With a growth in Net Profit of 250.03%, the company declared Outstanding results in Dec 25

The company has declared positive results in Jan 70 after 3 consecutive negative quarters
DIVIDEND PER SHARE(HY) Highest at JPY 4.06
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
RAW MATERIAL COST(Y) Fallen by -1.75% (YoY)

With ROE of 8.26%, it has a very attractive valuation with a 1.18 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 7.29%, its profits have fallen by -13.1%
At the current price, the company has a high dividend yield of 0

Majority shareholders : FIIs

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Bridgestone Corp. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

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

Is Bridgestone Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Bridgestone Corp.

7.29%

138.06

56.65%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.55%

EBIT Growth (5y)

9.74%

EBIT to Interest (avg)

19.07

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.05

Sales to Capital Employed (avg)

1.09

Tax Ratio

27.40%

Dividend Payout Ratio

50.46%

Pledged Shares

Institutional Holding

0.04%

ROCE (avg)

13.52%

ROE (avg)

9.03%

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

1.18

EV to EBIT

8.54

EV to EBITDA

4.90

EV to Capital Employed

1.19

EV to Sales

0.91

PEG Ratio

Dividend Yield

0.03%

ROCE (Latest)

13.89%

ROE (Latest)

8.26%

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 Bearish

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

23What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 4.06

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -1.75% (YoY

NET SALES(Q)

Highest at JPY 1,194,526 MM

PRE-TAX PROFIT(Q)

Highest at JPY 189,116 MM

NET PROFIT(Q)

Highest at JPY 224,553 MM

EPS(Q)

Highest at JPY 94.54

-2What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.06 times

OPERATING PROFIT MARGIN(Q)

Lowest at 17.82 %

Here's what is working for Bridgestone Corp.

Net Profit

At JPY 224,553 MM has Grown at 589.47%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Pre-Tax Profit

At JPY 189,116 MM has Grown at 212.17%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Dividend per share

Highest at JPY 4.06 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Sales

Highest at JPY 1,194,526 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

Highest at JPY 189,116 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 224,553 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 94.54

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -1.75% (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 Bridgestone Corp.

Operating Profit Margin

Lowest at 17.82 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debtors Turnover Ratio

Lowest at 4.06 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio