Can Do Co., Ltd. (2698) 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

Seria Co. Ltd.

Autowave Co., Ltd.

Watts Co., Ltd.

Can Do Co., Ltd.

Jason Co., Ltd.

Kanseki Co., Ltd.

Why is Can Do Co., Ltd. ?

Poor Management Efficiency with a low ROE of 2.86%

The company has been able to generate a Return on Equity (avg) of 2.86% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 3.29% and Operating profit at 3.19% over the last 5 years

Negative results in Feb 26

INTEREST(HY) At JPY 33 MM has Grown at 120%
NET PROFIT(Q) At JPY 19 MM has Fallen at -76.98%
INTEREST COVERAGE RATIO(Q) Lowest at 2,225

Below par performance in long term as well as near term

Along with generating -1.45% 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 Can Do Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Can Do Co., Ltd.

-1.45%

0.50

16.90%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.29%

EBIT Growth (5y)

3.19%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

0.31

Net Debt to Equity (avg)

0.05

Sales to Capital Employed (avg)

5.74

Tax Ratio

82.04%

Dividend Payout Ratio

60.98%

Pledged Shares

Institutional Holding

ROCE (avg)

8.29%

ROE (avg)

2.86%

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

5.14

EV to EBIT

29.66

EV to EBITDA

18.01

EV to Capital Employed

5.52

EV to Sales

0.63

PEG Ratio

0.16

Dividend Yield

ROCE (Latest)

18.63%

ROE (Latest)

10.30%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

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

9What is working for the Company

NET PROFIT(HY)

At JPY -5.08 MM has Grown at 98.69%

CASH AND EQV(HY)

Highest at JPY 9,452 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 6.59 times

NET SALES(Q)

Highest at JPY 22,133 MM

-20What is not working for the Company

INTEREST(HY)

At JPY 33 MM has Grown at 120%

NET PROFIT(Q)

At JPY 19 MM has Fallen at -76.98%

INTEREST COVERAGE RATIO(Q)

Lowest at 2,225

OPERATING PROFIT(Q)

Lowest at JPY 356 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.61 %

PRE-TAX PROFIT(Q)

Lowest at JPY 3 MM

EPS(Q)

Lowest at JPY -16.44

Here's what is working for Can Do Co., Ltd.

Net Sales

Highest at JPY 22,133 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 9,452 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 6.59 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

Highest at JPY 334 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 Can Do Co., Ltd.

Interest

At JPY 33 MM has Grown at 120%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

At JPY 3 MM has Fallen at -99.37%

over average net sales of the previous four periods of JPY 475.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 19 MM has Fallen at -76.98%

over average net sales of the previous four periods of JPY 82.54 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest Coverage Ratio

Lowest at 2,225

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at JPY 356 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 1.61 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 3 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

EPS

Lowest at JPY -16.44

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)