Central Automotive Products Ltd. (8117) 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

Central Automotive Products Ltd.

Mitani Corp.

Yuasa Trading Co., Ltd.

Taikisha Ltd.

ARE Holdings, Inc.

Yamazen Corp.

SAN-AI OBBLI Co., Ltd.

NICHIDEN Corp.

Yellow Hat Ltd.

Trusco Nakayama Corp.

Autobacs Seven Co., Ltd.

Why is Central Automotive Products Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 14.17%

Healthy long term growth as Net Sales has grown by an annual rate of 10.41% and Operating profit at 18.95%
Company has very low debt and has enough cash to service the debt requirements

With a growth in Net Sales of 11.21%, the company declared Very Positive results in Mar 26

NET SALES(HY) At JPY 26,243.42 MM has Grown at 18.65%
DEBT-EQUITY RATIO (HY) Lowest at -46.46 %
DIVIDEND PER SHARE(HY) Highest at JPY 9.45

With ROE of 14.88%, it has a very attractive valuation with a 1.97 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 12.53%, its profits have risen by 6.8%
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Central Automotive Products Ltd. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

Is Central Automotive Products Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Central Automotive Products Ltd.

12.53%

0.83

26.02%

Japan Nikkei 225

75.22%

2.67

28.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.41%

EBIT Growth (5y)

18.95%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.42

Sales to Capital Employed (avg)

0.77

Tax Ratio

30.10%

Dividend Payout Ratio

33.71%

Pledged Shares

Institutional Holding

0.02%

ROCE (avg)

31.37%

ROE (avg)

14.17%

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

1.97

EV to EBIT

8.15

EV to EBITDA

7.62

EV to Capital Employed

2.77

EV to Sales

2.01

PEG Ratio

Dividend Yield

ROCE (Latest)

34.06%

ROE (Latest)

14.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Bullish (Daily)

KST

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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 SALES(HY)

At JPY 26,243.42 MM has Grown at 18.65%

DEBT-EQUITY RATIO (HY)

Lowest at -46.46 %

DIVIDEND PER SHARE(HY)

Highest at JPY 9.45

DIVIDEND PAYOUT RATIO(Y)

Highest at 86.35%

CASH AND EQV(HY)

Highest at JPY 56,772.22 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 12.02 times

-2What is not working for the Company

ROCE(HY)

Lowest at 16.26%

Here's what is working for Central Automotive Products Ltd.

Net Sales

At JPY 26,243.42 MM has Grown at 18.65%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Debt-Equity Ratio

Lowest at -46.46 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend per share

Highest at JPY 9.45 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Cash and Eqv

Highest at JPY 56,772.22 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 12.02 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend Payout Ratio

Highest at 86.35%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at JPY 208.99 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)