ScoreWhy is Denyo Co., Ltd. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 87.46
2
Poor long term growth as Operating profit has grown by an annual rate 4.06% of over the last 5 years
3
Flat results in Jun 25
- ROCE(HY) Lowest at 6.47%
- INVENTORY TURNOVER RATIO(HY) Lowest at 2.71%
- INTEREST COVERAGE RATIO(Q) Lowest at 4,643.48
4
With ROE of 7.73%, it has a very attractive valuation with a 0.81 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 16.12%, its profits have risen by 15.3% ; the PEG ratio of the company is 0.7
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- The stock has generated a return of 16.12% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Denyo Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Denyo Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Denyo Co., Ltd.
16.12%
0.60
31.40%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.39%
EBIT Growth (5y)
4.06%
EBIT to Interest (avg)
87.46
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.26
Sales to Capital Employed (avg)
0.93
Tax Ratio
28.32%
Dividend Payout Ratio
27.37%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.07%
ROE (avg)
6.34%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
0.81
EV to EBIT
5.75
EV to EBITDA
4.84
EV to Capital Employed
0.75
EV to Sales
0.60
PEG Ratio
0.69
Dividend Yield
0.02%
ROCE (Latest)
13.00%
ROE (Latest)
7.73%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Bullish
Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
CASH AND EQV(HY)
Highest at JPY 49,945 MM
-25What is not working for the Company
ROCE(HY)
Lowest at 6.47%
INVENTORY TURNOVER RATIO(HY)
Lowest at 2.71%
INTEREST COVERAGE RATIO(Q)
Lowest at 4,643.48
RAW MATERIAL COST(Y)
Grown by 6.31% (YoY
NET SALES(Q)
Lowest at JPY 14,089 MM
OPERATING PROFIT(Q)
Lowest at JPY 1,068 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 7.58 %
PRE-TAX PROFIT(Q)
Lowest at JPY 780 MM
NET PROFIT(Q)
Lowest at JPY 484 MM
EPS(Q)
Lowest at JPY 23.66
Here's what is working for Denyo Co., Ltd.
Cash and Eqv
Highest at JPY 49,945 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Denyo Co., Ltd.
Net Sales
At JPY 14,089 MM has Fallen at -15.68%
Year on Year (YoY)MOJO Watch
Near term sales trend is very negative
Net Sales (JPY MM)
Interest Coverage Ratio
Lowest at 4,643.48
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Pre-Tax Profit
At JPY 780 MM has Fallen at -59.33%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 484 MM has Fallen at -61.59%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Inventory Turnover Ratio
Lowest at 2.71% and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Net Sales
Lowest at JPY 14,089 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Operating Profit
Lowest at JPY 1,068 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (JPY MM)
Operating Profit Margin
Lowest at 7.58 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at JPY 780 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Net Profit
Lowest at JPY 484 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
EPS
Lowest at JPY 23.66
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (JPY)
Raw Material Cost
Grown by 6.31% (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
Non Operating Income
Highest at JPY 0.24 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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