Chuo Spring Co., Ltd. (5992) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Nishikawa Rubber Co., Ltd.

Chuo Spring Co., Ltd.

Yachiyo Industry Co., Ltd.

Taiho Kogyo Co., Ltd.

Ohashi Technica Inc.

Yutaka Giken Co., Ltd.

Ultrafabrics Holdings Co., Ltd.

Nihon Tokushu Toryo Co., Ltd.

Furukawa Battery Co., Ltd.

Yorozu Corp.

Sekisui Kasei Co., Ltd.

Why is Chuo Spring Co., Ltd. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 27.91

Positive results in Jun 25

NET PROFIT(9M) At JPY 3,773.69 MM has Grown at 153.82%
RAW MATERIAL COST(Y) Fallen by -22.35% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 6.83%

With ROE of 5.54%, it has a very attractive valuation with a 0.55 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 127.51%, its profits have risen by 104.3% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0.1

Market Beating performance in long term as well as near term

Along with generating 127.51% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Chuo Spring Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Chuo Spring Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Chuo Spring Co., Ltd.

120.88%

4.29

45.48%

Japan Nikkei 225

38.59%

1.50

26.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.72%

EBIT Growth (5y)

10.21%

EBIT to Interest (avg)

27.91

Debt to EBITDA (avg)

0.23

Net Debt to Equity (avg)

0.03

Sales to Capital Employed (avg)

1.06

Tax Ratio

24.78%

Dividend Payout Ratio

54.41%

Pledged Shares

Institutional Holding

ROCE (avg)

2.46%

ROE (avg)

3.10%

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

0.55

EV to EBIT

10.14

EV to EBITDA

5.04

EV to Capital Employed

0.56

EV to Sales

0.40

PEG Ratio

0.10

Dividend Yield

0.06%

ROCE (Latest)

5.54%

ROE (Latest)

5.54%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

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

7What is working for the Company

NET PROFIT(9M)

At JPY 3,773.69 MM has Grown at 153.82%

RAW MATERIAL COST(Y)

Fallen by -22.35% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 6.83%

DEBTORS TURNOVER RATIO(HY)

Highest at 6.38%

-14What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 4.69 %

INTEREST(Q)

Highest at JPY 35.13 MM

PRE-TAX PROFIT(Q)

Fallen at -36.28%

NET PROFIT(Q)

Fallen at -37.41%

Here's what is working for Chuo Spring Co., Ltd.

Inventory Turnover Ratio

Highest at 6.83%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 6.38%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -22.35% (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 Chuo Spring Co., Ltd.

Interest

At JPY 35.13 MM has Grown at 19.7%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 35.13 MM

in the last five periods and Increased by 19.7% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Fallen at -36.28%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Fallen at -37.41%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Debt-Equity Ratio

Highest at 4.69 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio