Daio Paper Corp. (3880) 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

Daio Paper Corp.

Nippon Kodoshi Corp.

Rengo Co., Ltd.

Tokushu Tokai Paper Co., Ltd.

Tomoegawa Corp.

Hokuetsu Corp.

Nippon Filcon Co., Ltd.

Nichiban Co., Ltd.

Nippon Paper Industries Co., Ltd.

Chuetsu Pulp & Paper Co., Ltd.

Mitsubishi Paper Mills Ltd.

Why is Daio Paper Corp. ?

With a growth in Operating Profit of 23.34%, the company declared Outstanding results in Dec 25

ROCE(HY) Highest at 1.64%
INTEREST COVERAGE RATIO(Q) Highest at 1,270.92
RAW MATERIAL COST(Y) Fallen by -17.11% (YoY)

With ROE of 0.42%, it has a risky valuation with a 0.59 Price to Book Value

Over the past year, while the stock has generated a return of 21.81%, its profits have fallen by -87.5%
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 Daio Paper Corp. should be less than 10%
Overall Portfolio exposure to Paper, Forest & Jute Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)

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

Is Daio Paper Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Daio Paper Corp.

21.81%

0.60

28.48%

Japan Nikkei 225

70.1%

3.05

24.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.13%

EBIT Growth (5y)

-20.37%

EBIT to Interest (avg)

3.53

Debt to EBITDA (avg)

6.68

Net Debt to Equity (avg)

1.40

Sales to Capital Employed (avg)

0.95

Tax Ratio

100.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.57%

ROE (avg)

4.54%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

141

Industry P/E

Price to Book Value

0.59

EV to EBIT

48.01

EV to EBITDA

8.08

EV to Capital Employed

0.83

EV to Sales

0.70

PEG Ratio

Dividend Yield

0.06%

ROCE (Latest)

1.73%

ROE (Latest)

0.42%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

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

27What is working for the Company

ROCE(HY)

Highest at 1.64%

INTEREST COVERAGE RATIO(Q)

Highest at 1,270.92

RAW MATERIAL COST(Y)

Fallen by -17.11% (YoY

CASH AND EQV(HY)

Highest at JPY 240,165 MM

DEBT-EQUITY RATIO (HY)

Lowest at 130.8 %

NET SALES(Q)

Highest at JPY 173,705 MM

OPERATING PROFIT(Q)

Highest at JPY 21,631 MM

OPERATING PROFIT MARGIN(Q)

Highest at 12.45 %

PRE-TAX PROFIT(Q)

Highest at JPY 10,427 MM

NET PROFIT(Q)

Highest at JPY 4,848.1 MM

EPS(Q)

Highest at JPY 26.65

-9What is not working for the Company

INTEREST(Q)

Highest at JPY 1,702 MM

Here's what is working for Daio Paper Corp.

Net Profit

At JPY 4,848.1 MM has Grown at 726.67%

over average net sales of the previous four periods of JPY 586.46 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Interest Coverage Ratio

Highest at 1,270.92

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Pre-Tax Profit

At JPY 10,427 MM has Grown at 175.32%

over average net sales of the previous four periods of JPY 3,787.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Sales

Highest at JPY 173,705 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 21,631 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 12.45 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 10,427 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 4,848.1 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 26.65

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 240,165 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 130.8 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -17.11% (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 Daio Paper Corp.

Interest

At JPY 1,702 MM has Grown at 11.75%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 1,702 MM

in the last five periods and Increased by 11.75% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)