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

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Kodama Chemical Industry Co., Ltd.

Ogura Clutch Co., Ltd.

Mitsuchi Corp.

Eidai Kako Co., Ltd.

Kanemitsu Corp.

Nikki Co., Ltd.

Meiwa Industry Co., Ltd.

Sawafuji Electric Co., Ltd.

Sanko Co., Ltd. (Nagano)

HKS Co., Ltd.

FALTEC 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

With a growth in Net Profit of 80.85%, the company declared Very Positive results in Dec 25

ROCE(HY) Highest at 4.37%
RAW MATERIAL COST(Y) Fallen by -1.54% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at -15.79 %

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 27.89%, 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, Medium Return

Absolute

Risk Adjusted

Volatility

Eidai Kako Co., Ltd.

27.89%

1.68

20.77%

Japan Nikkei 225

36.73%

1.30

28.24%

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)

1.10

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

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

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

18What is working for the Company

ROCE(HY)

Highest at 4.37%

RAW MATERIAL COST(Y)

Fallen by -1.54% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -15.79 %

INVENTORY TURNOVER RATIO(HY)

Highest at 4.32 times

DEBTORS TURNOVER RATIO(HY)

Highest at 4.79 times

NET SALES(Q)

Highest at JPY 2,359.67 MM

PRE-TAX PROFIT(Q)

Highest at JPY 171.32 MM

NET PROFIT(Q)

Highest at JPY 129.78 MM

EPS(Q)

Highest at JPY 105.5

-7What is not working for the Company

INTEREST(HY)

At JPY 5.18 MM has Grown at 12.57%

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

Net Sales

Highest at JPY 2,359.67 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

Highest at JPY 171.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 171.32 MM has Grown at 52.39%

over average net sales of the previous four periods of JPY 112.42 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 129.78 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Net Profit

At JPY 129.78 MM has Grown at 76.15%

over average net sales of the previous four periods of JPY 73.67 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 105.5

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Lowest at -15.79 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 4.32 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 4.79 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -1.54% (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 5.18 MM has Grown at 12.57%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)