Gala, Inc. (4777) 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 Gala, Inc. ?

The company has declared Negative results for the last 7 consecutive quarters

NET PROFIT(Q) At JPY -122.64 MM has Fallen at -82.51%
DEBT-EQUITY RATIO (HY) Highest at 173.68 %
INVENTORY TURNOVER RATIO(HY) Lowest at 243.39 times

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -16.32%, its profits have fallen by -6.8%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -16.32% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

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 Software Products)

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

Is Gala, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Gala, Inc.

-16.32%

-0.44

30.41%

Japan Nikkei 225

75.22%

2.67

28.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

31.30%

EBIT Growth (5y)

6.30%

EBIT to Interest (avg)

-14.86

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.76

Sales to Capital Employed (avg)

1.16

Tax Ratio

13.06%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

273.50%

ROE (avg)

17.06%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

13.15

EV to EBIT

-29.48

EV to EBITDA

-80.24

EV to Capital Employed

5.82

EV to Sales

2.52

PEG Ratio

Dividend Yield

ROCE (Latest)

-19.73%

ROE (Latest)

-67.60%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

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

NET SALES(9M)

At JPY 1,980.85 MM has Grown at 22.17%

NET PROFIT(HY)

Higher at JPY 36.39 MM

PRE-TAX PROFIT(Q)

At JPY 33.74 MM has Grown at 130.18%

RAW MATERIAL COST(Y)

Fallen by -20.89% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 7.32 times

EPS(Q)

Highest at JPY -0.47

-20What is not working for the Company

NET PROFIT(Q)

At JPY -122.64 MM has Fallen at -82.51%

DEBT-EQUITY RATIO (HY)

Highest at 173.68 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 243.39 times

INTEREST(Q)

Highest at JPY 12.35 MM

Here's what is working for Gala, Inc.

Pre-Tax Profit

At JPY 33.74 MM has Grown at 130.18%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Sales

At JPY 1,980.85 MM has Grown at 22.17%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

EPS

Highest at JPY -0.47

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Highest at 7.32 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -20.89% (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 Gala, Inc.

Net Profit

At JPY -122.64 MM has Fallen at -82.51%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 12.35 MM has Grown at 25.08%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 12.35 MM

in the last five periods and Increased by 25.08% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 173.68 %

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

Inventory Turnover Ratio

Lowest at 243.39 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio