ScoreWhy is COVER Corp. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 35.47%
- Healthy long term growth as Net Sales has grown by an annual rate of 65.90% and Operating profit at 47.33%
- Company has very low debt and has enough cash to service the debt requirements
2
Flat results in Mar 26
- ROCE(HY) Lowest at 16.34%
- RAW MATERIAL COST(Y) Grown by 14.44% (YoY)
- DEBTORS TURNOVER RATIO(HY) Lowest at 6.78 times
3
With ROE of 26.98%, it has a expensive valuation with a 4.45 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 -26.39%, its profits have risen by 43% ; the PEG ratio of the company is 0.5
4
Underperformed the market in the last 1 year
- Even though the market (Japan Nikkei 225) has generated returns of 59.79% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -26.39% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to COVER Corp. should be less than 10%
- Overall Portfolio exposure to Media & Entertainment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is COVER Corp. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
COVER Corp.
-26.39%
-0.15
60.77%
Japan Nikkei 225
60.14%
2.04
29.37%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
65.90%
EBIT Growth (5y)
47.33%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.68
Sales to Capital Employed (avg)
2.60
Tax Ratio
20.96%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
182.94%
ROE (avg)
35.47%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
4.45
EV to EBIT
10.15
EV to EBITDA
8.53
EV to Capital Employed
13.13
EV to Sales
1.58
PEG Ratio
0.49
Dividend Yield
NA
ROCE (Latest)
129.43%
ROE (Latest)
26.98%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at -80.18 %
NET SALES(Q)
Highest at JPY 14,649 MM
NET PROFIT(Q)
Highest at JPY 2,238 MM
-5What is not working for the Company
ROCE(HY)
Lowest at 16.34%
RAW MATERIAL COST(Y)
Grown by 14.44% (YoY
DEBTORS TURNOVER RATIO(HY)
Lowest at 6.78 times
EPS(Q)
Lowest at JPY -13.88
Here's what is working for COVER Corp.
Net Sales
Highest at JPY 14,649 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Net Profit
Highest at JPY 2,238 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Debt-Equity Ratio
Lowest at -80.18 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Depreciation
Highest at JPY 413 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for COVER Corp.
EPS
Lowest at JPY -13.88
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (JPY)
Debtors Turnover Ratio
Lowest at 6.78 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 14.44% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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