ScoreWhy is Canare Electric Co., Ltd. ?
1
Poor Management Efficiency with a low ROE of 5.66%
- The company has been able to generate a Return on Equity (avg) of 5.66% signifying low profitability per unit of shareholders funds
2
Weak Long Term Fundamental Strength with a 12.68% CAGR growth in Operating Profits over the last 5 years
- The company has been able to generate a Return on Equity (avg) of 5.66% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 6.85% and Operating profit at 12.68% over the last 5 years
4
The company has declared Negative results for the last 3 consecutive quarters
- INTEREST(HY) At JPY 3.33 MM has Grown at 434.57%
- ROCE(HY) Lowest at 5.87%
- CASH AND EQV(HY) Lowest at JPY 18,015.03 MM
5
With ROE of 5.83%, it has a very attractive valuation with a 0.65 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 2.47%, its profits have risen by 2.6% ; the PEG ratio of the company is 4.3
- At the current price, the company has a high dividend yield of 0.1
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Canare Electric Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Electronics & Appliances should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Canare Electric Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Canare Electric Co., Ltd.
2.47%
0.45
26.15%
Japan Nikkei 225
59.79%
2.06
29.57%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.85%
EBIT Growth (5y)
12.68%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.54
Sales to Capital Employed (avg)
0.71
Tax Ratio
28.47%
Dividend Payout Ratio
37.55%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
19.73%
ROE (avg)
5.66%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
0.65
EV to EBIT
2.49
EV to EBITDA
2.15
EV to Capital Employed
0.35
EV to Sales
0.28
PEG Ratio
4.26
Dividend Yield
0.06%
ROCE (Latest)
14.09%
ROE (Latest)
5.83%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Sideways
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
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)
The company hardly has any interest cost
INVENTORY TURNOVER RATIO(HY)
Highest at 2.35 times
-12What is not working for the Company
INTEREST(HY)
At JPY 3.33 MM has Grown at 434.57%
ROCE(HY)
Lowest at 5.87%
CASH AND EQV(HY)
Lowest at JPY 18,015.03 MM
DEBT-EQUITY RATIO
(HY)
Highest at -45.85 %
Here's what is working for Canare Electric Co., Ltd.
Inventory Turnover Ratio
Highest at 2.35 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Canare Electric Co., Ltd.
Interest
At JPY 3.33 MM has Grown at 434.57%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Cash and Eqv
Lowest at JPY 18,015.03 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at -45.85 %
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
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