ScoreWhy is Brother Industries, Ltd. ?
1
High Management Efficiency with a high ROE of 9.56%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 60.49
3
Poor long term growth as Operating profit has grown by an annual rate 3.02% of over the last 5 years
4
Flat results in Dec 25
- OPERATING CASH FLOW(Y) Lowest at JPY 91,644 MM
- DEBTORS TURNOVER RATIO(HY) Lowest at 6.32 times
5
With ROE of 7.92%, it has a very attractive valuation with a 0.89 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 4.11%, its profits have fallen by -10.3%
6
Underperformed the market in the last 1 year
- The stock has generated a return of 4.11% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Brother Industries, Ltd. should be less than 10%
- Overall Portfolio exposure to IT - Hardware should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in IT - Hardware)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Brother Industries, Ltd. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Brother Industries, Ltd.
4.11%
522.92
31.04%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.58%
EBIT Growth (5y)
3.02%
EBIT to Interest (avg)
60.49
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.25
Sales to Capital Employed (avg)
1.24
Tax Ratio
26.82%
Dividend Payout Ratio
46.67%
Pledged Shares
0
Institutional Holding
0.07%
ROCE (avg)
16.71%
ROE (avg)
9.56%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
0.89
EV to EBIT
5.70
EV to EBITDA
3.39
EV to Capital Employed
0.85
EV to Sales
0.50
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
14.96%
ROE (Latest)
7.92%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 10,857.4
EPS(Q)
Highest at JPY 93.64
-4What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at JPY 91,644 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 6.32 times
Here's what is working for Brother Industries, Ltd.
Interest Coverage Ratio
Highest at 10,857.4
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
EPS
Highest at JPY 93.64
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Here's what is not working for Brother Industries, Ltd.
Operating Cash Flow
Lowest at JPY 91,644 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (JPY MM)
Debtors Turnover Ratio
Lowest at 6.32 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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