ScoreWhy is Godo Steel, Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 7.01% signifying low profitability per unit of shareholders funds
2
High Debt company with Weak Long Term Fundamental Strength
3
The company has declared Negative results for the last 6 consecutive quarters
- INTEREST(HY) At JPY 350 MM has Grown at 30.6%
- ROCE(HY) Lowest at 8.66%
- INVENTORY TURNOVER RATIO(HY) Lowest at 3.3%
4
With ROCE of 8.08%, it has a very attractive valuation with a 0.59 Enterprise value to Capital Employed
- 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 -3.73%, its profits have fallen by -25.4%
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- Even though the market (Japan Nikkei 225) has generated returns of 28.54% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -3.73% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Godo Steel, Ltd. should be less than 10%
- Overall Portfolio exposure to Ferrous Metals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Godo Steel, Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Godo Steel, Ltd.
-3.73%
-1.20
23.56%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.08%
EBIT Growth (5y)
8.54%
EBIT to Interest (avg)
19.35
Debt to EBITDA (avg)
5.97
Net Debt to Equity (avg)
0.27
Sales to Capital Employed (avg)
1.12
Tax Ratio
26.96%
Dividend Payout Ratio
31.00%
Pledged Shares
0
Institutional Holding
0.04%
ROCE (avg)
6.02%
ROE (avg)
7.01%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
6
Industry P/E
Price to Book Value
0.48
EV to EBIT
7.27
EV to EBITDA
5.31
EV to Capital Employed
0.59
EV to Sales
0.49
PEG Ratio
NA
Dividend Yield
0.01%
ROCE (Latest)
8.08%
ROE (Latest)
8.45%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend4What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 26.88 %
RAW MATERIAL COST(Y)
Fallen by -8.49% (YoY
CASH AND EQV(HY)
Highest at JPY 54,164 MM
-13What is not working for the Company
INTEREST(HY)
At JPY 350 MM has Grown at 30.6%
ROCE(HY)
Lowest at 8.66%
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.3%
NET SALES(Q)
Lowest at JPY 47,903 MM
Here's what is working for Godo Steel, Ltd.
Debt-Equity Ratio
Lowest at 26.88 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Cash and Eqv
Highest at JPY 54,164 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -8.49% (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 Godo Steel, Ltd.
Interest
At JPY 350 MM has Grown at 30.6%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Sales
Lowest at JPY 47,903 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Net Sales
At JPY 47,903 MM has Fallen at -6.62%
over average net sales of the previous four periods of JPY 51,299.75 MMMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Inventory Turnover Ratio
Lowest at 3.3%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
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