Fuso Dentsu Co., Ltd. (7505) 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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Fuso Dentsu Co., Ltd.

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Hibino Corp.

Marubun Corp.

PC Depot Corp.

Musashi Co., Ltd.

Why is Fuso Dentsu Co., Ltd. ?

Strong Long Term Fundamental Strength with a 24.01% CAGR growth in Operating Profits

Company has very low debt and has enough cash to service the debt requirements
The company has been able to generate a Return on Capital Employed (avg) of 34.58% signifying high profitability per unit of total capital (equity and debt)

The company has declared Positive results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Highest at JPY 5,107 MM
NET SALES(9M) At JPY 47,452.77 MM has Grown at 22.34%
ROCE(HY) Highest at 21.07%

With ROE of 19.00%, it has a very attractive valuation with a 1.58 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 -31.65%, its profits have risen by 105.3% ; the PEG ratio of the company is 3.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Fuso Dentsu Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Fuso Dentsu Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Fuso Dentsu Co., Ltd.

-31.3%

0.28

72.70%

Japan Nikkei 225

57.85%

1.98

29.31%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.65%

EBIT Growth (5y)

24.01%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.52

Sales to Capital Employed (avg)

3.54

Tax Ratio

31.92%

Dividend Payout Ratio

40.11%

Pledged Shares

Institutional Holding

ROCE (avg)

28.39%

ROE (avg)

8.86%

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

1.58

EV to EBIT

4.63

EV to EBITDA

4.39

EV to Capital Employed

1.91

EV to Sales

0.35

PEG Ratio

3.13

Dividend Yield

ROCE (Latest)

41.22%

ROE (Latest)

19.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JPY 5,107 MM

NET SALES(9M)

At JPY 47,452.77 MM has Grown at 22.34%

ROCE(HY)

Highest at 21.07%

RAW MATERIAL COST(Y)

Fallen by 0.83% (YoY

NET PROFIT(9M)

Higher at JPY 2,540.59 MM

CASH AND EQV(HY)

Highest at JPY 20,405.64 MM

-4What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 26,195.67

INVENTORY TURNOVER RATIO(HY)

Lowest at 13.36 times

OPERATING PROFIT MARGIN(Q)

Lowest at 1.64 %

Here's what is working for Fuso Dentsu Co., Ltd.

Operating Cash Flow

Highest at JPY 5,107 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Net Sales

At JPY 47,452.77 MM has Grown at 22.34%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Profit

At JPY 2,540.59 MM has Grown at 55%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 20,405.64 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Net Profit

Higher at JPY 2,540.59 MM

than preceding 12 month period ended Jun 2026

MOJO Watch

In the nine month period the company has already crossed sales of the previous twelve months

Net Profit (JPY MM)

Raw Material Cost

Fallen by 0.83% (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 85.87 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Fuso Dentsu Co., Ltd.

Interest Coverage Ratio

Lowest at 26,195.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit Margin

Lowest at 1.64 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 13.36 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Non Operating Income

Highest at JPY 0.53 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income