GMO TECH, Inc. (6026) 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 Research & AI, Inc.

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Aoba-BBT, Inc.

CERESPO CO., LTD.

GMO TECH, Inc.

Prored Partners Co., Ltd.

Bridge Consulting Group, Inc.

Birdman, Inc.

Draft, Inc. (Japan)

Why is GMO TECH, Inc. ?

With a fall in Net Sales of -8.33%, the company declared Very Negative results in Jun 25

INTEREST(9M) At JPY 2 MM has Grown at 100%
PRE-TAX PROFIT(Q) At JPY 38 MM has Fallen at -81.37%
NET PROFIT(Q) At JPY 27 MM has Fallen at -81.85%

Underperformed the market in the last 1 year

Even though the market (Japan Nikkei 225) has generated returns of 22.28% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -21.03% returns

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 Miscellaneous)

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

Is GMO TECH, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

GMO TECH, Inc.

-21.03%

-0.63

53.14%

Japan Nikkei 225

81.96%

0.90

24.69%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.87%

EBIT Growth (5y)

83.63%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.75

Sales to Capital Employed (avg)

5.76

Tax Ratio

27.08%

Dividend Payout Ratio

50.03%

Pledged Shares

Institutional Holding

ROCE (avg)

191.65%

ROE (avg)

29.79%

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

8.25

EV to EBIT

9.39

EV to EBITDA

8.89

EV to Capital Employed

29.52

EV to Sales

1.14

PEG Ratio

0.63

Dividend Yield

ROCE (Latest)

314.51%

ROE (Latest)

59.32%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

Bearish

OBV

Mildly Bullish

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

Not enough Data to analyse Financial Trend

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

Raw Material Cost

Fallen by -14.39% (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 17 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 TECH, Inc.

Interest

At JPY 2 MM has Grown at 100%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

At JPY 38 MM has Fallen at -81.37%

over average net sales of the previous four periods of JPY 204 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 27 MM has Fallen at -81.85%

over average net sales of the previous four periods of JPY 148.75 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Net Sales

At JPY 1,486 MM has Fallen at -10.14%

over average net sales of the previous four periods of JPY 1,653.75 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (JPY MM)

Interest Coverage Ratio

Lowest at 6,800

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 -73.98 % 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

Net Sales

Lowest at JPY 1,486 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY 68 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 4.58 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 38 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 27 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 20.23

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Lowest at 6.85%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio