CAC Holdings Corp. (4725) 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

FURYU CORP.

Marvelous, Inc.

TDC SOFT, Inc.

Safie Inc.

Avant Group Corp.

Bushiroad, Inc.

Broadleaf Co., Ltd.

CAC Holdings Corp.

OPTiM Corp.

Sun Asterisk, Inc.

UNITED, Inc.

Why is CAC Holdings Corp. ?

High Management Efficiency with a high ROE of 8.60%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 51.04

Healthy long term growth as Operating profit has grown by an annual rate 5.78%

Flat results in Mar 26

PRE-TAX PROFIT(Q) At JPY 823 MM has Fallen at -55.55%
NET PROFIT(Q) At JPY 371 MM has Fallen at -65.7%
DEBTORS TURNOVER RATIO(HY) Lowest at 4.61 times

With ROE of 13.04%, it has a very attractive valuation with a 1.10 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 -13.36%, its profits have risen by 22.6% ; the PEG ratio of the company is 0.4

Below par performance in long term as well as near term

Along with generating -13.36% 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 hold?

Overall Portfolio exposure to CAC Holdings Corp. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

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

Is CAC Holdings Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

CAC Holdings Corp.

-100.0%

-0.65

14.43%

Japan Nikkei 225

88.41%

3.25

27.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.83%

EBIT Growth (5y)

5.78%

EBIT to Interest (avg)

51.04

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.26

Sales to Capital Employed (avg)

1.37

Tax Ratio

33.67%

Dividend Payout Ratio

52.28%

Pledged Shares

Institutional Holding

ROCE (avg)

14.56%

ROE (avg)

8.60%

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

1.10

EV to EBIT

9.76

EV to EBITDA

7.09

EV to Capital Employed

1.16

EV to Sales

0.50

PEG Ratio

0.37

Dividend Yield

ROCE (Latest)

11.84%

ROE (Latest)

13.04%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

5What is working for the Company

ROCE(HY)

Highest at 10.55%

RAW MATERIAL COST(Y)

Fallen by -3.19% (YoY

CASH AND EQV(HY)

Highest at JPY 30,901 MM

NET SALES(Q)

Highest at JPY 13,583 MM

-13What is not working for the Company

PRE-TAX PROFIT(Q)

At JPY 823 MM has Fallen at -55.55%

NET PROFIT(Q)

At JPY 371 MM has Fallen at -65.7%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.61 times

INTEREST(Q)

Highest at JPY 12 MM

Here's what is working for CAC Holdings Corp.

Net Sales

Highest at JPY 13,583 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 30,901 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -3.19% (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 297 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 CAC Holdings Corp.

Pre-Tax Profit

At JPY 823 MM has Fallen at -55.55%

over average net sales of the previous four periods of JPY 1,851.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 371 MM has Fallen at -65.7%

over average net sales of the previous four periods of JPY 1,081.52 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 12 MM has Grown at 50%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 12 MM

in the last five periods and Increased by 50% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 4.61 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio