CERESPO CO., LTD. (9625) 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

Livero, Inc.

Harima B.Stem Corp.

Aoba-BBT, Inc.

Honyaku Center, Inc.

CERESPO CO., LTD.

Soiken Holdings Inc.

TOSNET Corp.

Bridge Consulting Group, Inc.

Birdman, Inc.

Draft, Inc. (Japan)

Shingakukai Holdings Co., Ltd.

Why is CERESPO CO., LTD. ?

INTEREST(HY) At JPY 4.19 MM has Grown at 36.94%
NET SALES(Q) At JPY 2,552.08 MM has Fallen at -31.44%
OPERATING PROFIT(Q) Lowest at JPY -526.95 MM

With ROE of 8.79%, it has a very attractive valuation with a 0.61 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 -18.29%, its profits have risen by 102.2% ; the PEG ratio of the company is 0.1

Below par performance in long term as well as near term

Along with generating -18.29% 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 CERESPO CO., LTD. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is CERESPO CO., LTD. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

CERESPO CO., LTD.

-100.0%

-0.39

25.88%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

26.75%

EBIT Growth (5y)

20.26%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.68

Sales to Capital Employed (avg)

1.22

Tax Ratio

29.46%

Dividend Payout Ratio

28.58%

Pledged Shares

Institutional Holding

ROCE (avg)

91.99%

ROE (avg)

14.61%

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

0.61

EV to EBIT

1.22

EV to EBITDA

1.16

EV to Capital Employed

0.29

EV to Sales

0.11

PEG Ratio

0.07

Dividend Yield

ROCE (Latest)

23.58%

ROE (Latest)

8.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

7What is working for the Company

NET PROFIT(HY)

Higher at JPY 706.22 MM

ROCE(HY)

Highest at 8.1%

RAW MATERIAL COST(Y)

Fallen by 0.31% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 91.05 times

-21What is not working for the Company

INTEREST(HY)

At JPY 4.19 MM has Grown at 36.94%

NET SALES(Q)

At JPY 2,552.08 MM has Fallen at -31.44%

OPERATING PROFIT(Q)

Lowest at JPY -526.95 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -20.65 %

PRE-TAX PROFIT(Q)

Lowest at JPY -543.39 MM

NET PROFIT(Q)

Lowest at JPY -347.21 MM

Here's what is working for CERESPO CO., LTD.

Inventory Turnover Ratio

Highest at 91.05 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 0.31% (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 19.06 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 CERESPO CO., LTD.

Interest

At JPY 4.19 MM has Grown at 36.94%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 2,552.08 MM has Fallen at -31.44%

over average net sales of the previous four periods of JPY 3,722.53 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY -543.39 MM has Fallen at -265.43%

over average net sales of the previous four periods of JPY 328.46 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -347.21 MM has Fallen at -256.05%

over average net sales of the previous four periods of JPY 222.5 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Operating Profit

Lowest at JPY -526.95 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -20.65 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -543.39 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -347.21 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)