ScoreWhy is Furukawa Co., Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Operating profit has grown by an annual rate 2.35% of 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 Equity (avg) of 9.92% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Operating profit has grown by an annual rate 2.35% of over the last 5 years
3
Flat results in Dec 25
- INTEREST(9M) At JPY 417 MM has Grown at 225.78%
- NET PROFIT(HY) At JPY 7,250 MM has Grown at -35.74%
- ROCE(HY) Lowest at 11.05%
4
With ROCE of 6.02%, it has a very attractive valuation with a 0.77 Enterprise value to Capital Employed
- 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 95.00%, its profits have risen by 18.2% ; the PEG ratio of the company is 0.3
- At the current price, the company has a high dividend yield of 0
5
Market Beating performance in long term as well as near term
- Along with generating 95.00% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Furukawa Co., Ltd. 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 Furukawa Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Furukawa Co., Ltd.
95.0%
2.61
51.65%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.02%
EBIT Growth (5y)
2.35%
EBIT to Interest (avg)
24.16
Debt to EBITDA (avg)
3.78
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
1.06
Tax Ratio
25.57%
Dividend Payout Ratio
13.71%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
5.21%
ROE (avg)
9.92%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
5
Industry P/E
Price to Book Value
0.71
EV to EBIT
12.75
EV to EBITDA
8.53
EV to Capital Employed
0.77
EV to Sales
0.62
PEG Ratio
0.26
Dividend Yield
0.02%
ROCE (Latest)
6.02%
ROE (Latest)
15.28%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -12.13% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 29.41 %
OPERATING PROFIT(Q)
Highest at JPY 4,679 MM
OPERATING PROFIT MARGIN(Q)
Highest at 8.94 %
EPS(Q)
Highest at JPY 145.76
-10What is not working for the Company
INTEREST(9M)
At JPY 417 MM has Grown at 225.78%
NET PROFIT(HY)
At JPY 7,250 MM has Grown at -35.74%
ROCE(HY)
Lowest at 11.05%
Here's what is working for Furukawa Co., Ltd.
Operating Profit
Highest at JPY 4,679 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (JPY MM)
Operating Profit Margin
Highest at 8.94 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
EPS
Highest at JPY 145.76
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Debt-Equity Ratio
Lowest at 29.41 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -12.13% (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
Depreciation
Highest at JPY 1,275 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Furukawa Co., Ltd.
Interest
At JPY 417 MM has Grown at 225.78%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Profit
At JPY 7,250 MM has Grown at -35.74%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
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