Festaria Holdings Co., Ltd. (2736) 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

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Festaria Holdings Co., Ltd.

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Why is Festaria Holdings Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 5.73%

The company has been able to generate a Return on Capital Employed (avg) of 5.73% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -0.97% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 5.73% signifying low profitability per unit of total capital (equity and debt)
INTEREST(HY) At JPY 49.59 MM has Grown at 17.7%
DEBTORS TURNOVER RATIO(HY) Lowest at 9.68 times
NET SALES(Q) Lowest at JPY 2,052.22 MM

Underperformed the market in the last 1 year

The stock has generated a return of 12.19% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 40.96%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gems, Jewellery And Watches)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Festaria Holdings Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Festaria Holdings Co., Ltd.

12.19%

0.80

29.40%

Japan Nikkei 225

40.96%

1.44

28.42%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.97%

EBIT Growth (5y)

58.13%

EBIT to Interest (avg)

3.87

Debt to EBITDA (avg)

5.54

Net Debt to Equity (avg)

1.44

Sales to Capital Employed (avg)

1.79

Tax Ratio

32.96%

Dividend Payout Ratio

14.15%

Pledged Shares

Institutional Holding

ROCE (avg)

6.91%

ROE (avg)

13.92%

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

1.42

EV to EBIT

13.02

EV to EBITDA

8.50

EV to Capital Employed

1.17

EV to Sales

0.48

PEG Ratio

0.55

Dividend Yield

ROCE (Latest)

9.01%

ROE (Latest)

12.08%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 1.37% (YoY

CASH AND EQV(HY)

Highest at JPY 2,622.73 MM

-21What is not working for the Company

INTEREST(HY)

At JPY 49.59 MM has Grown at 17.7%

DEBTORS TURNOVER RATIO(HY)

Lowest at 9.68 times

NET SALES(Q)

Lowest at JPY 2,052.22 MM

OPERATING PROFIT(Q)

Lowest at JPY -87.68 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -4.27 %

PRE-TAX PROFIT(Q)

Lowest at JPY -131.2 MM

NET PROFIT(Q)

Lowest at JPY -87.05 MM

EPS(Q)

Lowest at JPY -24.37

Here's what is working for Festaria Holdings Co., Ltd.

Cash and Eqv

Highest at JPY 2,622.73 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by 1.37% (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 Festaria Holdings Co., Ltd.

Interest

At JPY 49.59 MM has Grown at 17.7%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 2,052.22 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY -87.68 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -4.27 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -131.2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

Fallen at -44.3%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -87.05 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -24.37

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Lowest at 9.68 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio