Fuso Pharmaceutical Industries Ltd. (4538) 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

CellSource Co., Ltd.

Elan Corp.

Seikagaku Corp.

Daito Pharmaceutical Co., Ltd.

ASKA Pharmaceutical Holdings Co., Ltd.

Katakura Industries Co., Ltd.

Koa Shoji Holdings Co., Ltd.

Fuji Pharma Co., Ltd.

Noile-Immune Biotech, Inc.

Fuso Pharmaceutical Industries Ltd.

SanBio Co., Ltd.

Why is Fuso Pharmaceutical Industries Ltd. ?

Poor Management Efficiency with a low ROCE of 5.92%

The company has been able to generate a Return on Capital Employed (avg) of 5.92% signifying low profitability per unit of total capital (equity and debt)

The company has declared negative results for the last 4 consecutive quarters

The company has declared negative results in Jun 25 after 3 consecutive negative quarters
DEBT-EQUITY RATIO (HY) Highest at 67.36 %
INTEREST COVERAGE RATIO(Q) Lowest at 760.78
RAW MATERIAL COST(Y) Grown by 11.85% (YoY)

Below par performance in long term as well as near term

Along with generating -2.13% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

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 Pharmaceuticals & Biotechnology)

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

Is Fuso Pharmaceutical Industries Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Fuso Pharmaceutical Industries Ltd.

-2.13%

-0.52

18.55%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.93%

EBIT Growth (5y)

3.83%

EBIT to Interest (avg)

14.69

Debt to EBITDA (avg)

1.50

Net Debt to Equity (avg)

0.45

Sales to Capital Employed (avg)

1.06

Tax Ratio

33.84%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.92%

ROE (avg)

6.65%

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

0.67

EV to EBIT

16.10

EV to EBITDA

9.41

EV to Capital Employed

0.80

EV to Sales

0.74

PEG Ratio

0.06

Dividend Yield

ROCE (Latest)

4.98%

ROE (Latest)

13.50%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

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

1What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 2.33

-33What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 67.36 %

INTEREST COVERAGE RATIO(Q)

Lowest at 760.78

RAW MATERIAL COST(Y)

Grown by 11.85% (YoY

CASH AND EQV(HY)

Lowest at JPY 11,726 MM

INTEREST(Q)

Highest at JPY 102 MM

PRE-TAX PROFIT(Q)

Lowest at JPY 129 MM

NET PROFIT(Q)

Lowest at JPY 324 MM

Here's what is working for Fuso Pharmaceutical Industries Ltd.

Dividend per share

Highest at JPY 2.33

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Here's what is not working for Fuso Pharmaceutical Industries Ltd.

Pre-Tax Profit

At JPY 129 MM has Fallen at -70.62%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 324 MM has Fallen at -89.39%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 102 MM has Grown at 27.5%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 760.78

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at 67.36 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Interest

Highest at JPY 102 MM

in the last five periods and Increased by 27.5% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY 129 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 324 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Cash and Eqv

Lowest at JPY 11,726 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 11.85% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales