Create Medic Co., Ltd. (5187) 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

3-D Matrix Ltd.

Techno Medica Co., Ltd.

Mizuho Medy Co., Ltd.

Precision System Science Co., Ltd.

Rion Co., Ltd.

Create Medic Co., Ltd.

CYBERDYNE, Inc.

JMS Co., Ltd.

Seed Co., Ltd. /7743/

Japan Medical Dynamic Marketing, Inc.

ReproCELL, Inc.

Why is Create Medic Co., Ltd. ?

Poor Management Efficiency with a low ROE of 3.91%

The company has been able to generate a Return on Equity (avg) of 3.91% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a -2.74% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 3.91% signifying low profitability per unit of shareholders funds

Poor long term growth as Operating profit has grown by an annual rate -2.74% of over the last 5 years

Flat results in Mar 26

RAW MATERIAL COST(Y) Grown by 6.63% (YoY)

With ROE of 3.79%, it has a very attractive valuation with a 0.64 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 13.12%, its profits have fallen by -26%
At the current price, the company has a high dividend yield of 0.1

Underperformed the market in the last 1 year

The stock has generated a return of 13.12% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 60.14%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Create Medic Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Create Medic Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Create Medic Co., Ltd.

12.97%

0.67

20.19%

Japan Nikkei 225

58.07%

2.05

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.41%

EBIT Growth (5y)

-2.74%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.32

Sales to Capital Employed (avg)

0.81

Tax Ratio

33.40%

Dividend Payout Ratio

53.41%

Pledged Shares

Institutional Holding

ROCE (avg)

7.60%

ROE (avg)

3.91%

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

0.64

EV to EBIT

6.23

EV to EBITDA

3.83

EV to Capital Employed

0.50

EV to Sales

0.42

PEG Ratio

Dividend Yield

0.09%

ROCE (Latest)

7.98%

ROE (Latest)

3.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

OBV

No Trend

Mildly Bearish

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

INVENTORY TURNOVER RATIO(HY)

Highest at 1.91 times

DIVIDEND PAYOUT RATIO(Y)

Highest at 151.16%

CASH AND EQV(HY)

Highest at JPY 11,068 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 4.55 times

DIVIDEND PER SHARE(HY)

Highest at JPY 4.55

NET SALES(Q)

Highest at JPY 3,567.94 MM

-3What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 13.4% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -29.64 %

NET PROFIT(Q)

At JPY 106.36 MM has Fallen at -31%

Here's what is working for Create Medic Co., Ltd.

Inventory Turnover Ratio

Highest at 1.91 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at JPY 3,567.94 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 11,068 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 4.55 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at JPY 4.55

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 151.16%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at JPY 156.52 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 Create Medic Co., Ltd.

Net Profit

At JPY 106.36 MM has Fallen at -31%

over average net sales of the previous four periods of JPY 154.15 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Debt-Equity Ratio

Highest at -29.64 %

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

Raw Material Cost

Grown by 13.4% (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