ScoreComparison
Why is Business Brain Showa-ota, Inc. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 20.43%
- Healthy long term growth as Net Sales has grown by an annual rate of 6.48% and Operating profit at 5.98%
- Company has very low debt and has enough cash to service the debt requirements
2
With ROE of 8.73%, it has a very attractive valuation with a 1.16 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 62.39%, its profits have fallen by -82.5%
- At the current price, the company has a high dividend yield of 0
3
Market Beating Performance
- The stock has generated a return of 62.39% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 28.54%
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Business Brain Showa-ota, Inc. should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Business Brain Showa-ota, Inc. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Business Brain Showa-ota, Inc.
62.39%
2.01
31.20%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.48%
EBIT Growth (5y)
5.98%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.31
Sales to Capital Employed (avg)
1.35
Tax Ratio
29.09%
Dividend Payout Ratio
36.36%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
45.30%
ROE (avg)
20.43%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
Price to Book Value
1.16
EV to EBIT
8.69
EV to EBITDA
5.87
EV to Capital Employed
1.24
EV to Sales
0.64
PEG Ratio
NA
Dividend Yield
0.02%
ROCE (Latest)
14.21%
ROE (Latest)
8.73%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
NET SALES(9M)
At JPY 30,791.69 MM has Grown at 18.58%
NET PROFIT(9M)
At JPY 2,038.49 MM has Grown at 59.92%
PRE-TAX PROFIT(Q)
At JPY 893.08 MM has Grown at 137.74%
RAW MATERIAL COST(Y)
Fallen by -4.57% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 168.99%
DEBTORS TURNOVER RATIO(HY)
Highest at 7.01%
-15What is not working for the Company
INTEREST(HY)
At JPY 65.27 MM has Grown at 473.69%
OPERATING CASH FLOW(Y)
Lowest at JPY 0 MM
DEBT-EQUITY RATIO
(HY)
Highest at -25.11 %
INTEREST COVERAGE RATIO(Q)
Lowest at 3,213.24
Here's what is working for Business Brain Showa-ota, Inc.
Pre-Tax Profit
At JPY 893.08 MM has Grown at 137.74%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 555.88 MM has Grown at 186.5%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Net Sales
At JPY 30,791.69 MM has Grown at 18.58%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Inventory Turnover Ratio
Highest at 168.99%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 7.01%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -4.57% (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 Business Brain Showa-ota, Inc.
Interest
At JPY 65.27 MM has Grown at 473.69%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Operating Cash Flow
Lowest at JPY 0 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)
Interest Coverage Ratio
Lowest at 3,213.24
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at -25.11 % and Grown
In each half year in the last five Semi-Annual periodsMOJO 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 0.31 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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