GMO Media, Inc. (6180) 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

GMO AD Partners, Inc.

CyberBuzz, Inc.

Ray Corp.

Interspace Co., Ltd.

CL Holdings, Inc. (Japan)

Orchestra Holdings, Inc.

HYOJITO Co., Ltd.

GMO Media, Inc.

Trenders, Inc.

Scigineer, Inc.

CDG Co., Ltd.

Why is GMO Media, Inc. ?

Poor Management Efficiency with a low ROE of 11.02%

The company has been able to generate a Return on Equity (avg) of 11.02% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 11.02%

Poor long term growth as Net Sales has grown by an annual rate of 3.54% and Operating profit at 54.92% over the last 5 years
The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Net Sales has grown by an annual rate of 3.54% and Operating profit at 54.92% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At JPY 0.27 MM has Grown at 122.76%
DEBT-EQUITY RATIO (HY) Highest at -99.59 %
RAW MATERIAL COST(Y) Grown by 6.2% (YoY)

With ROE of 19.55%, it has a very attractive valuation with a 2.37 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 -27.36%, its profits have fallen by -13.6%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to GMO Media, Inc. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is GMO Media, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

GMO Media, Inc.

-24.9%

0.52

29.45%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.54%

EBIT Growth (5y)

54.92%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-1.15

Sales to Capital Employed (avg)

2.44

Tax Ratio

26.88%

Dividend Payout Ratio

66.84%

Pledged Shares

Institutional Holding

ROCE (avg)

6,573.11%

ROE (avg)

11.02%

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

2.37

EV to EBIT

5.15

EV to EBITDA

4.43

EV to Capital Employed

338.80

EV to Sales

0.57

PEG Ratio

Dividend Yield

ROCE (Latest)

6573.11%

ROE (Latest)

19.55%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-20What is not working for the Company

INTEREST(HY)

At JPY 0.27 MM has Grown at 122.76%

DEBT-EQUITY RATIO (HY)

Highest at -99.59 %

RAW MATERIAL COST(Y)

Grown by 6.2% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 67.49 times

PRE-TAX PROFIT(Q)

Fallen at -39.83%

NET PROFIT(Q)

Fallen at -38.83%

Here's what is working for GMO Media, Inc.

Depreciation

Highest at JPY 32.91 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 GMO Media, Inc.

Interest

At JPY 0.27 MM has Grown at 122.76%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -99.59 % 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

Pre-Tax Profit

Fallen at -39.83%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Fallen at -38.83%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Inventory Turnover Ratio

Lowest at 67.49 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 6.2% (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