Colowide Co., Ltd. (7616) 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

Zensho Holdings Co., Ltd.

McDonald's Holdings Co. (Japan) Ltd.

FOOD & LIFE COMPANIES LTD.

Yoshinoya Holdings Co., Ltd.

TORIDOLL Holdings Corp.

Saizeriya Co., Ltd.

Colowide Co., Ltd.

Skylark Holdings Co., Ltd.

create restaurants holdings, inc.

Ichibanya Co., Ltd.

ATOM Corp.

Why is Colowide Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.40%

The company has been able to generate a Return on Capital Employed (avg) of 3.40% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 9.66% and Operating profit at 26.15% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 3.64% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 9.66% and Operating profit at 26.15% over the last 5 years

Flat results in Jun 26

INVENTORY TURNOVER RATIO(HY) Lowest at 19.51 times
INTEREST(Q) Highest at JPY 1,445 MM

With ROCE of 6.46%, it has a very attractive valuation with a 1.59 Enterprise value to Capital Employed

Over the past year, while the stock has generated a return of 4.18%, its profits have fallen by -15.2%

Underperformed the market in the last 1 year

The stock has generated a return of 4.18% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 43.52%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Colowide Co., Ltd. should be less than 10%
Overall Portfolio exposure to Leisure Services should be less than 30%

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

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

Is Colowide Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Colowide Co., Ltd.

4.18%

-0.10

22.92%

Japan Nikkei 225

43.52%

1.48

29.43%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.66%

EBIT Growth (5y)

26.15%

EBIT to Interest (avg)

1.90

Debt to EBITDA (avg)

2.94

Net Debt to Equity (avg)

0.94

Sales to Capital Employed (avg)

1.23

Tax Ratio

73.84%

Dividend Payout Ratio

31.79%

Pledged Shares

Institutional Holding

ROCE (avg)

4.77%

ROE (avg)

3.64%

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

2.28

EV to EBIT

24.58

EV to EBITDA

7.74

EV to Capital Employed

1.59

EV to Sales

1.01

PEG Ratio

Dividend Yield

ROCE (Latest)

6.46%

ROE (Latest)

3.69%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Mildly 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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JPY 30,515 MM

NET SALES(Q)

Highest at JPY 85,032 MM

RAW MATERIAL COST(Y)

Fallen by -2.05% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 22.21 times

-11What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 19.51 times

INTEREST(Q)

Highest at JPY 1,445 MM

Here's what is working for Colowide Co., Ltd.

Operating Cash Flow

Highest at JPY 30,515 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Net Sales

Highest at JPY 85,032 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 85,032 MM has Grown at 13.34%

over average net sales of the previous four periods of JPY 75,022.5 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Debtors Turnover Ratio

Highest at 22.21 times

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 -2.05% (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 8,530 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 Colowide Co., Ltd.

Interest

At JPY 1,445 MM has Grown at 13.78%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 1,445 MM

in the last five periods and Increased by 13.78% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 19.51 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Footer loading