ScoreWhy is Cawachi Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 0.09% over the last 5 years
2
Negative results in Dec 25
- INTEREST(HY) At JPY 36 MM has Grown at 111.76%
- ROCE(HY) Lowest at 3.8%
- INVENTORY TURNOVER RATIO(HY) Lowest at 5.95 times
3
With ROE of 4.78%, it has a very attractive valuation with a 0.64 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 7.70%, its profits have risen by 4.8% ; the PEG ratio of the company is 2.8
- At the current price, the company has a high dividend yield of 0
4
Underperformed the market in the last 1 year
- The stock has generated a return of 7.70% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 66.43%
Real-Time Research ReportHow 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 Cawachi Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Cawachi Ltd.
6.29%
0.38
15.71%
Japan Nikkei 225
66.43%
2.61
25.49%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
0.09%
EBIT Growth (5y)
-9.84%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.18
Sales to Capital Employed (avg)
2.21
Tax Ratio
28.45%
Dividend Payout Ratio
36.58%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.84%
ROE (avg)
5.44%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
Price to Book Value
0.64
EV to EBIT
7.42
EV to EBITDA
4.34
EV to Capital Employed
0.52
EV to Sales
0.16
PEG Ratio
2.77
Dividend Yield
0.05%
ROCE (Latest)
7.06%
ROE (Latest)
4.78%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by 1.66% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at -23.78 %
-13What is not working for the Company
INTEREST(HY)
At JPY 36 MM has Grown at 111.76%
ROCE(HY)
Lowest at 3.8%
INVENTORY TURNOVER RATIO(HY)
Lowest at 5.95 times
PRE-TAX PROFIT(Q)
Lowest at JPY 1,603 MM
NET PROFIT(Q)
Lowest at JPY 1,020.72 MM
Here's what is working for Cawachi Ltd.
Debt-Equity Ratio
Lowest at -23.78 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by 1.66% (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 Cawachi Ltd.
Interest
At JPY 36 MM has Grown at 111.76%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Pre-Tax Profit
Lowest at JPY 1,603 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Net Profit
Lowest at JPY 1,020.72 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
Inventory Turnover Ratio
Lowest at 5.95 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
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