gumi, Inc. (3903) 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

Cyber Security Cloud, Inc.

Bank of Innovation, Inc.

FINDEX, Inc.

eWell Co., Ltd. (Japan)

System Support, Inc.

Pro-Ship, Inc.

RPA Holdings, Inc.

FRONTEO, Inc.

BrainPad, Inc.

gumi, Inc.

FIXER Inc

Why is gumi, Inc. ?

Poor Management Efficiency with a low ROE of 4.88%

The company has been able to generate a Return on Equity (avg) of 4.88% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a -40.85% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 4.88% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -16.08% and Operating profit at -40.85% over the last 5 years

NET PROFIT(HY) At JPY 704.06 MM has Grown at -54.7%
PRE-TAX PROFIT(Q) At JPY 196.84 MM has Fallen at -43.46%
RAW MATERIAL COST(Y) Grown by 24.87% (YoY)

Below par performance in long term as well as near term

Along with generating -59.06% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

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 gumi, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

gumi, Inc.

-59.91%

-0.53

44.70%

Japan Nikkei 225

58.07%

2.05

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-16.08%

EBIT Growth (5y)

-40.85%

EBIT to Interest (avg)

-29.12

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.57

Sales to Capital Employed (avg)

0.49

Tax Ratio

29.49%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.47%

ROE (avg)

4.88%

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

0.63

EV to EBIT

70.72

EV to EBITDA

22.17

EV to Capital Employed

0.64

EV to Sales

1.70

PEG Ratio

0.08

Dividend Yield

ROCE (Latest)

0.90%

ROE (Latest)

4.47%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

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

11What is working for the Company

NET SALES(Q)

At JPY 2,351.09 MM has Grown at 12.35%

OPERATING PROFIT(Q)

Highest at JPY 1,182.47 MM

OPERATING PROFIT MARGIN(Q)

Highest at 50.29 %

-22What is not working for the Company

NET PROFIT(HY)

At JPY 704.06 MM has Grown at -54.7%

PRE-TAX PROFIT(Q)

At JPY 196.84 MM has Fallen at -43.46%

RAW MATERIAL COST(Y)

Grown by 24.87% (YoY

CASH AND EQV(HY)

Lowest at JPY 8,050.17 MM

INTEREST(Q)

Highest at JPY 51.27 MM

EPS(Q)

Lowest at JPY -7.3

Here's what is working for gumi, Inc.

Net Sales

At JPY 2,351.09 MM has Grown at 12.35%

over average net sales of the previous four periods of JPY 2,092.61 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 1,182.47 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 50.29 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Here's what is not working for gumi, Inc.

Net Profit

At JPY 704.06 MM has Grown at -54.7%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 51.27 MM has Grown at 200.92%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

At JPY 196.84 MM has Fallen at -43.46%

over average net sales of the previous four periods of JPY 348.14 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Interest

Highest at JPY 51.27 MM

in the last five periods and Increased by 200.92% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

EPS

Lowest at JPY -7.3

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Cash and Eqv

Lowest at JPY 8,050.17 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 24.87% (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