DTS Corp. (9682) 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

OTSUKA CORP.

DTS Corp.

GMO Internet Group, Inc.

NS Solutions Corp.

Simplex Holdings, Inc.

TIS, Inc. (Japan)

SHIFT, Inc.

Fuji Soft, Inc.

NEC Networks & System Integration Corp.

Net One Systems Co., Ltd.

Infocom Corp.

Why is DTS Corp. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 14.02%

Company has very low debt and has enough cash to service the debt requirements

With a fall in Net Sales of -5.74%, the company declared Very Negative results in Jun 26

The company has declared negative results for the last 2 consecutive quarters
INTEREST COVERAGE RATIO(Q) Lowest at 90,675
NET SALES(Q) Lowest at JPY 31,020 MM
INTEREST(Q) Highest at JPY 4 MM

With ROE of 20.37%, it has a very attractive valuation with a 2.68 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 -79.85%, its profits have risen by 44.2%
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

Even though the market (Japan Nikkei 225) has generated returns of 59.79% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -79.85% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to DTS Corp. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.28%

EBIT Growth (5y)

9.65%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.52

Sales to Capital Employed (avg)

2.08

Tax Ratio

30.63%

Dividend Payout Ratio

50.73%

Pledged Shares

Institutional Holding

0.04%

ROCE (avg)

59.83%

ROE (avg)

14.02%

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

2.68

EV to EBIT

8.13

EV to EBITDA

7.55

EV to Capital Employed

3.97

EV to Sales

1.01

PEG Ratio

Dividend Yield

ROCE (Latest)

48.90%

ROE (Latest)

20.37%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -2.47% (YoY

-20What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 90,675

NET SALES(Q)

Lowest at JPY 31,020 MM

INTEREST(Q)

Highest at JPY 4 MM

OPERATING PROFIT(Q)

Lowest at JPY 3,627 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 11.69 %

PRE-TAX PROFIT(Q)

Lowest at JPY 3,473 MM

NET PROFIT(Q)

Lowest at JPY 2,310 MM

EPS(Q)

Lowest at JPY 14.57

Here's what is working for DTS Corp.

Raw Material Cost

Fallen by -2.47% (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 DTS Corp.

Interest

At JPY 4 MM has Grown at 100%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 90,675

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at JPY 31,020 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Interest

Highest at JPY 4 MM

in the last five periods and Increased by 100% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY 3,627 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 11.69 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 3,473 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 2,310 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 14.57

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)