Freund Corp. (6312) 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

Nippon Dry-Chemical Co., Ltd.

Kitagawa Corp.

Freund Corp.

Kimura Kohki Co., Ltd.

Seiko Electric Co., Ltd.

Kimura Chemical Plants Co., Ltd.

Odawara Engineering Co., Ltd.

PEGASUS Co., Ltd.

NPC, Inc. (Japan)

Toyo Machinery & Metal Co., Ltd.

Koike Sanso Kogyo Co., Ltd.

Why is Freund Corp. ?

Company has very low debt and has enough cash to service the debt requirements

Low Debt Company with Strong Long Term Fundamental Strength

With a growth in Net Sales of 34.41%, the company declared Outstanding results in May 25

The company has declared positive results for the last 2 consecutive quarters
PRE-TAX PROFIT(Q) At JPY 466.58 MM has Grown at 285.2%
NET PROFIT(HY) At JPY 820.39 MM has Grown at 62.41%
ROCE(HY) Highest at 7.64%

With ROE of 3.86%, it has a very attractive valuation with a 0.86 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 53.71%, its profits have fallen by -22.7%

Market Beating Performance

The stock has generated a return of 53.71% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 29.35%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Freund Corp. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Freund Corp. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Freund Corp.

53.71%

0.79

32.37%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.88%

EBIT Growth (5y)

16.56%

EBIT to Interest (avg)

98.98

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.32

Sales to Capital Employed (avg)

1.46

Tax Ratio

37.82%

Dividend Payout Ratio

66.30%

Pledged Shares

Institutional Holding

ROCE (avg)

10.69%

ROE (avg)

4.59%

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

0.86

EV to EBIT

6.97

EV to EBITDA

4.49

EV to Capital Employed

0.80

EV to Sales

0.36

PEG Ratio

Dividend Yield

ROCE (Latest)

11.45%

ROE (Latest)

3.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

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

20What is working for the Company

PRE-TAX PROFIT(Q)

At JPY 466.58 MM has Grown at 285.2%

NET PROFIT(HY)

At JPY 820.39 MM has Grown at 62.41%

ROCE(HY)

Highest at 7.64%

NET SALES(Q)

At JPY 5,544.07 MM has Grown at 34.41%

RAW MATERIAL COST(Y)

Fallen by -4.7% (YoY

CASH AND EQV(HY)

Highest at JPY 9,581.53 MM

DEBT-EQUITY RATIO (HY)

Lowest at -26.5 %

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Freund Corp.

Pre-Tax Profit

At JPY 466.58 MM has Grown at 285.2%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Sales

At JPY 5,544.07 MM has Grown at 34.41%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Profit

At JPY 296.66 MM has Grown at 244.4%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 9,581.53 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -26.5 %

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 -4.7% (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