GMO Financial Holdings, Inc. (7177) 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

Matsui Securities Co., Ltd.

Okasan Securities Group, Inc.

Tokai Tokyo Financial Holdings, Inc.

Japan Exchange Group, Inc.

Aozora Bank Ltd.

Japan Securities Finance Co., Ltd.

Nihon M&A Center Holdings Inc.

Daiwa Securities Group, Inc.

GMO Financial Holdings, Inc.

Nomura Holdings, Inc.

Financial Partners Group Co., Ltd.

Why is GMO Financial Holdings, Inc. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 15.45%

Poor long term growth as Operating profit has grown by an annual rate of -1.93%

Flat results in Dec 25

NET SALES(Q) Lowest at JPY 11,102 MM
PRE-TAX PROFIT(Q) At JPY 2,401 MM has Fallen at -26.15%
NET PROFIT(Q) At JPY 1,591.91 MM has Fallen at -39.59%

With ROE of 9.29%, it has a very attractive valuation with a 1.97 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 16.43%, its profits have fallen by -38%

Underperformed the market in the last 1 year

The stock has generated a return of 16.43% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 38.30%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to GMO Financial Holdings, Inc. should be less than 10%
Overall Portfolio exposure to Capital Markets should be less than 30%

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

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

Is GMO Financial Holdings, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

GMO Financial Holdings, Inc.

16.43%

0.60

25.28%

Japan Nikkei 225

40.96%

1.35

28.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.30%

EBIT Growth (5y)

-1.93%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

38.43%

Dividend Payout Ratio

68.08%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

15.45%

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

1.97

EV to EBIT

-38.51

EV to EBITDA

-27.38

EV to Capital Employed

0.87

EV to Sales

-6.15

PEG Ratio

Dividend Yield

ROCE (Latest)

-2.26%

ROE (Latest)

9.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

No Trend

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

8What is working for the Company

ROCE(HY)

Highest at 20.69%

NET PROFIT(9M)

Higher at JPY 8,091.3 MM

CASH AND EQV(HY)

Highest at JPY 1,100,918 MM

-11What is not working for the Company

NET SALES(Q)

Lowest at JPY 11,102 MM

PRE-TAX PROFIT(Q)

At JPY 2,401 MM has Fallen at -26.15%

NET PROFIT(Q)

At JPY 1,591.91 MM has Fallen at -39.59%

Here's what is working for GMO Financial Holdings, Inc.

Cash and Eqv

Highest at JPY 1,100,918 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for GMO Financial Holdings, Inc.

Net Sales

At JPY 11,102 MM has Fallen at -12.98%

over average net sales of the previous four periods of JPY 12,758.5 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Net Sales

Lowest at JPY 11,102 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 2,401 MM has Fallen at -26.15%

over average net sales of the previous four periods of JPY 3,251.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 1,591.91 MM has Fallen at -39.59%

over average net sales of the previous four periods of JPY 2,634.98 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)