First Brothers Co., Ltd. (3454) 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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Why is First Brothers Co., Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 10.04%

With a growth in Operating Profit of 226.44%, the company declared Outstanding results in Nov 25

NET SALES(Q) At JPY 8,749.21 MM has Grown at 81.6%
DIVIDEND PER SHARE(HY) Highest at JPY 39.64
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost

With ROE of 5.81%, it has a very attractive valuation with a 0.57 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 16.70%, its profits have fallen by -55%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to First Brothers Co., Ltd. should be less than 10%
Overall Portfolio exposure to Capital Markets should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Capital Markets)

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

Is First Brothers Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

First Brothers Co., Ltd.

16.7%

-0.12

24.34%

Japan Nikkei 225

38.94%

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)

-3.20%

EBIT Growth (5y)

-2.95%

EBIT to Interest (avg)

6.91

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

33.78%

Dividend Payout Ratio

28.05%

Pledged Shares

Institutional Holding

ROCE (avg)

29.20%

ROE (avg)

10.04%

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

0.57

EV to EBIT

2.84

EV to EBITDA

1.94

EV to Capital Employed

0.44

EV to Sales

0.49

PEG Ratio

Dividend Yield

ROCE (Latest)

15.43%

ROE (Latest)

5.81%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

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

25What is working for the Company

NET SALES(Q)

At JPY 8,749.21 MM has Grown at 81.6%

DIVIDEND PER SHARE(HY)

Highest at JPY 39.64

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -105.94% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 185.73 %

PRE-TAX PROFIT(Q)

Highest at JPY 3,506.72 MM

NET PROFIT(Q)

Highest at JPY 1,737.05 MM

EPS(Q)

Highest at JPY 77.73

-8What is not working for the Company

INTEREST(HY)

At JPY 400.52 MM has Grown at 17.65%

DEBTORS TURNOVER RATIO(HY)

Lowest at 39.64 times

Here's what is working for First Brothers Co., Ltd.

Net Sales

At JPY 8,749.21 MM has Grown at 81.6%

over average net sales of the previous four periods of JPY 4,817.8 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 3,506.72 MM has Grown at 461.26%

over average net sales of the previous four periods of JPY 624.8 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 1,737.05 MM has Grown at 348.39%

over average net sales of the previous four periods of JPY 387.4 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Dividend per share

Highest at JPY 39.64 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Pre-Tax Profit

Highest at JPY 3,506.72 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 1,737.05 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 77.73

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Lowest at 185.73 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -105.94% (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 First Brothers Co., Ltd.

Interest

At JPY 400.52 MM has Grown at 17.65%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 39.64 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio