Eidai Kako Co., Ltd. (7877) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Kodama Chemical Industry Co., Ltd.

Kanemitsu Corp.

Ogura Clutch Co., Ltd.

Meiwa Industry Co., Ltd.

HKS Co., Ltd.

Eidai Kako Co., Ltd.

Mitsuchi Corp.

Nikki Co., Ltd.

Sanko Co., Ltd. (Nagano)

FALTEC Co., Ltd.

Sawafuji Electric Co., Ltd.

Why is Eidai Kako Co., Ltd. ?

Poor Management Efficiency with a low ROE of 1.76%

The company has been able to generate a Return on Equity (avg) of 1.76% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 11.16

Poor long term growth as Net Sales has grown by an annual rate of 1.81% and Operating profit at 3.18% over the last 5 years

Flat results in Jun 25

INTEREST(9M) At JPY 6.62 MM has Grown at 18.16%

With ROE of 2.47%, it has a very attractive valuation with a 0.31 Price to Book Value

Over the past year, while the stock has generated a return of 19.25%, its profits have fallen by -1.1%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Eidai Kako Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

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

Is Eidai Kako Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Eidai Kako Co., Ltd.

19.25%

0.98

16.13%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.81%

EBIT Growth (5y)

3.18%

EBIT to Interest (avg)

11.16

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.17

Sales to Capital Employed (avg)

1.09

Tax Ratio

31.98%

Dividend Payout Ratio

42.50%

Pledged Shares

Institutional Holding

ROCE (avg)

2.61%

ROE (avg)

1.76%

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

0.31

EV to EBIT

3.46

EV to EBITDA

1.63

EV to Capital Employed

0.17

EV to Sales

0.11

PEG Ratio

Dividend Yield

ROCE (Latest)

4.89%

ROE (Latest)

2.47%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

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

11What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 14,810.36

RAW MATERIAL COST(Y)

Fallen by -31.44% (YoY

NET PROFIT(9M)

Higher at JPY 222.94 MM

CASH AND EQV(HY)

Highest at JPY 4,438.08 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 4.27%

NET SALES(Q)

Highest at JPY 2,325.27 MM

PRE-TAX PROFIT(Q)

At JPY 119.97 MM has Grown at 81.24%

-7What is not working for the Company

INTEREST(9M)

At JPY 6.62 MM has Grown at 18.16%

Here's what is working for Eidai Kako Co., Ltd.

Interest Coverage Ratio

Highest at 14,810.36

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at JPY 2,325.27 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 119.97 MM has Grown at 81.24%

over average net sales of the previous four periods of JPY 66.2 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 72.43 MM has Grown at 63.06%

over average net sales of the previous four periods of JPY 44.42 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 4,438.08 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 4.27%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -31.44% (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 Eidai Kako Co., Ltd.

Interest

At JPY 4.15 MM has Grown at 20.28%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)