create restaurants holdings, inc. (3387) 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

McDonald's Holdings Co. (Japan) Ltd.

TORIDOLL Holdings Corp.

Saizeriya Co., Ltd.

Skylark Holdings Co., Ltd.

Colowide Co., Ltd.

Zensho Holdings Co., Ltd.

FOOD & LIFE COMPANIES LTD.

create restaurants holdings, inc.

Ichibanya Co., Ltd.

Yoshinoya Holdings Co., Ltd.

ATOM Corp.

Why is create restaurants holdings, inc. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 2.33% and Operating profit at 7.42% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 7.95% signifying low profitability per unit of total capital (equity and debt)

Flat results in May 25

INTEREST(9M) At JPY 812 MM has Grown at 44.48%
CASH AND EQV(HY) Lowest at JPY 42,476 MM

With ROCE of 18.12%, it has a attractive valuation with a 5.45 Enterprise value to Capital Employed

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 14.35%, its profits have risen by 23.3% ; the PEG ratio of the company is 1.8

Underperformed the market in the last 1 year

The stock has generated a return of 14.35% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 38.59%

Real-Time Research Report

Verdict Report

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 Leisure Services)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is create restaurants holdings, inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

create restaurants holdings, inc.

-100.0%

-0.57

56.94%

Japan Nikkei 225

38.59%

1.45

26.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.33%

EBIT Growth (5y)

7.42%

EBIT to Interest (avg)

-1.57

Debt to EBITDA (avg)

14.57

Net Debt to Equity (avg)

0.41

Sales to Capital Employed (avg)

1.97

Tax Ratio

20.09%

Dividend Payout Ratio

30.11%

Pledged Shares

Institutional Holding

ROCE (avg)

9.01%

ROE (avg)

14.28%

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

7.25

EV to EBIT

30.06

EV to EBITDA

11.95

EV to Capital Employed

5.45

EV to Sales

1.97

PEG Ratio

1.81

Dividend Yield

ROCE (Latest)

18.12%

ROE (Latest)

17.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JPY 25,520 MM

DEBT-EQUITY RATIO (HY)

Lowest at 116.3 %

RAW MATERIAL COST(Y)

Fallen by 0.53% (YoY

NET SALES(Q)

Highest at JPY 41,814 MM

OPERATING PROFIT(Q)

Highest at JPY 7,315 MM

EPS(Q)

Highest at JPY 9.92

-9What is not working for the Company

INTEREST(9M)

At JPY 812 MM has Grown at 44.48%

CASH AND EQV(HY)

Lowest at JPY 42,476 MM

Here's what is working for create restaurants holdings, inc.

Debt-Equity Ratio

Lowest at 116.3 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Operating Cash Flow

Highest at JPY 25,520 MM

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 41,814 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 7,315 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

EPS

Highest at JPY 9.92

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by 0.53% (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 3,956 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 restaurants holdings, inc.

Interest

At JPY 576 MM has Grown at 46.56%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 42,476 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents