ScoreWhy is eGuarantee, Inc. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 14.42%
2
Healthy long term growth as Net Sales has grown by an annual rate of 11.50% and Operating profit at 17.18%
3
Flat results in Dec 25
- RAW MATERIAL COST(Y) Grown by 5.53% (YoY)
- CASH AND EQV(HY) Lowest at JPY 23,819.92 MM
- DEBTORS TURNOVER RATIO(HY) Lowest at 23.74 times
4
With ROE of 14.84%, it has a very attractive valuation with a 2.97 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 -10.01%, its profits have risen by 6.2% ; the PEG ratio of the company is 3.5
5
Below par performance in long term as well as near term
- Along with generating -10.01% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to eGuarantee, Inc. should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is eGuarantee, Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
eGuarantee, Inc.
-10.01%
0.88
31.34%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
11.50%
EBIT Growth (5y)
17.18%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.44
Tax Ratio
30.01%
Dividend Payout Ratio
50.62%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
94.58%
ROE (avg)
14.42%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
Price to Book Value
2.97
EV to EBIT
9.73
EV to EBITDA
9.57
EV to Capital Employed
7.18
EV to Sales
5.44
PEG Ratio
3.49
Dividend Yield
NA
ROCE (Latest)
73.85%
ROE (Latest)
14.84%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
ROCE(HY)
Highest at 17.07%
NET SALES(Q)
Highest at JPY 2,765.13 MM
PRE-TAX PROFIT(Q)
Highest at JPY 1,415.39 MM
EPS(Q)
Highest at JPY 20.51
-3What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 5.53% (YoY
CASH AND EQV(HY)
Lowest at JPY 23,819.92 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 23.74 times
Here's what is working for eGuarantee, Inc.
Net Sales
Highest at JPY 2,765.13 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (JPY MM)
Pre-Tax Profit
Highest at JPY 1,415.39 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
EPS
Highest at JPY 20.51
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Here's what is not working for eGuarantee, Inc.
Cash and Eqv
Lowest at JPY 23,819.92 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 23.74 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 5.53% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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