Daiki Aluminium Industry Co., Ltd. (5702) 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

Hakudo Co., Ltd.

Daiki Aluminium Industry Co., Ltd.

UACJ Corp.

Nippon Light Metal Holdings Co., Ltd.

Sankyo Tateyama, Inc.

Why is Daiki Aluminium Industry Co., Ltd. ?

High Management Efficiency with a high ROCE of 10.22%

With ROCE of 3.40%, it has a very attractive valuation with a 0.77 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 20.76%, its profits have fallen by -38.8%
At the current price, the company has a high dividend yield of 0.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Daiki Aluminium Industry Co., Ltd. should be less than 10%
Overall Portfolio exposure to Non - Ferrous Metals should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Non - Ferrous Metals)

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

Is Daiki Aluminium Industry Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Daiki Aluminium Industry Co., Ltd.

-100.0%

-0.07

30.77%

Japan Nikkei 225

38.94%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.51%

EBIT Growth (5y)

-10.19%

EBIT to Interest (avg)

15.84

Debt to EBITDA (avg)

3.77

Net Debt to Equity (avg)

0.82

Sales to Capital Employed (avg)

2.15

Tax Ratio

78.13%

Dividend Payout Ratio

314.78%

Pledged Shares

Institutional Holding

ROCE (avg)

10.27%

ROE (avg)

12.45%

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

0.58

EV to EBIT

22.57

EV to EBITDA

11.93

EV to Capital Employed

0.77

EV to Sales

0.34

PEG Ratio

Dividend Yield

0.05%

ROCE (Latest)

3.40%

ROE (Latest)

2.72%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

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

11What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 619.32

RAW MATERIAL COST(Y)

Fallen by -40.14% (YoY

OPERATING PROFIT(Q)

Highest at JPY 2,917 MM

OPERATING PROFIT MARGIN(Q)

Highest at 3.56 %

PRE-TAX PROFIT(Q)

Highest at JPY 1,310 MM

NET PROFIT(Q)

Highest at JPY 856 MM

EPS(Q)

Highest at JPY 21.33

-8What is not working for the Company

INTEREST(Q)

At JPY 471 MM has Grown at 14.32%

DEBT-EQUITY RATIO (HY)

Highest at 95.7 %

Here's what is working for Daiki Aluminium Industry Co., Ltd.

Interest Coverage Ratio

Highest at 619.32

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Profit

At JPY 856 MM has Grown at 122.92%

over average net sales of the previous four periods of JPY 384 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Operating Profit

Highest at JPY 2,917 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 3.56 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 1,310 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 1,310 MM has Grown at 73.74%

over average net sales of the previous four periods of JPY 754 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 856 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 21.33

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -40.14% (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 Daiki Aluminium Industry Co., Ltd.

Interest

At JPY 471 MM has Grown at 14.32%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 95.7 %

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