Why is Chugokukogyo Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 3.29%
- The company has been able to generate a Return on Capital Employed (avg) of 3.29% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 0.89% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 4.90% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 0.89% over the last 5 years
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 Packaging)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Chugokukogyo Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Chugokukogyo Co., Ltd.
49.73%
1.11
34.04%
Japan Nikkei 225
43.52%
1.48
29.43%
Quality key factors
Factor
Value
Sales Growth (5y)
0.89%
EBIT Growth (5y)
25.10%
EBIT to Interest (avg)
28.16
Debt to EBITDA (avg)
2.12
Net Debt to Equity (avg)
0.17
Sales to Capital Employed (avg)
1.93
Tax Ratio
34.71%
Dividend Payout Ratio
24.03%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
3.99%
ROE (avg)
4.90%
Valuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.49
EV to EBIT
9.22
EV to EBITDA
4.96
EV to Capital Employed
0.55
EV to Sales
0.26
PEG Ratio
0.16
Dividend Yield
NA
ROCE (Latest)
5.93%
ROE (Latest)
6.69%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
6What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.21% (YoY
CASH AND EQV(HY)
Highest at JPY 2,013 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 3.52 %
INVENTORY TURNOVER RATIO(HY)
Highest at 6.87 times
DEBTORS TURNOVER RATIO(HY)
Highest at 4.63 times
PRE-TAX PROFIT(Q)
At JPY 3 MM has Grown at 106.25%
-2What is not working for the Company
NET PROFIT(HY)
At JPY 130 MM has Grown at -32.29%
Here's what is working for Chugokukogyo Co., Ltd.
Pre-Tax Profit
At JPY 3 MM has Grown at 106.25%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Cash and Eqv
Highest at JPY 2,013 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at 3.52 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 6.87 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 4.63 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -2.21% (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 Chugokukogyo Co., Ltd.
Net Profit
At JPY 130 MM has Grown at -32.29%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
Non Operating Income
Highest at JPY 23.67 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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