Hagoromo Foods Corp. (2831) 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

Marudai Food Co., Ltd.

MEGMILK SNOW BRAND Co., Ltd.

Kyokuyo Co., Ltd.

B-R 31 Ice Cream Co., Ltd.

Prima Meat Packers, Ltd.

Nissui Corp.

Maruha Nichiro Corp.

Starzen Co., Ltd.

Hagoromo Foods Corp.

Ezaki Glico Co., Ltd.

Morinaga Milk Industry Co., Ltd.

Why is Hagoromo Foods Corp. ?

Poor Management Efficiency with a low ROE of 4.79%

The company has been able to generate a Return on Equity (avg) of 4.79% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a -4.92% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 4.79% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -2.25% and Operating profit at -4.92% over the last 5 years

Negative results in Mar 26

NET SALES(Q) At JPY 16,385.69 MM has Fallen at -12.68%
PRE-TAX PROFIT(Q) At JPY -255.16 MM has Fallen at -128.08%
NET PROFIT(Q) At JPY -181.25 MM has Fallen at -128.88%

Underperformed the market in the last 1 year

The stock has generated a return of 9.64% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%

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 FMCG)

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

Is Hagoromo Foods Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hagoromo Foods Corp.

8.89%

0.95

13.01%

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)

-2.25%

EBIT Growth (5y)

-4.92%

EBIT to Interest (avg)

88.31

Debt to EBITDA (avg)

1.24

Net Debt to Equity (avg)

0.04

Sales to Capital Employed (avg)

1.62

Tax Ratio

29.70%

Dividend Payout Ratio

24.98%

Pledged Shares

Institutional Holding

ROCE (avg)

4.73%

ROE (avg)

4.79%

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

0.76

EV to EBIT

12.37

EV to EBITDA

8.44

EV to Capital Employed

0.77

EV to Sales

0.49

PEG Ratio

3.60

Dividend Yield

ROCE (Latest)

6.20%

ROE (Latest)

5.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

No Trend

Mildly Bullish

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

2What is working for the Company

CASH AND EQV(HY)

Highest at JPY 8,137.06 MM

DIVIDEND PER SHARE(HY)

Highest at JPY 4.15

-21What is not working for the Company

NET SALES(Q)

At JPY 16,385.69 MM has Fallen at -12.68%

PRE-TAX PROFIT(Q)

At JPY -255.16 MM has Fallen at -128.08%

NET PROFIT(Q)

At JPY -181.25 MM has Fallen at -128.88%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4 times

INTEREST(Q)

Highest at JPY 13.9 MM

Here's what is working for Hagoromo Foods Corp.

Cash and Eqv

Highest at JPY 8,137.06 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at JPY 4.15

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Here's what is not working for Hagoromo Foods Corp.

Net Sales

At JPY 16,385.69 MM has Fallen at -12.68%

over average net sales of the previous four periods of JPY 18,765.5 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY -255.16 MM has Fallen at -128.08%

over average net sales of the previous four periods of JPY 908.81 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -181.25 MM has Fallen at -128.88%

over average net sales of the previous four periods of JPY 627.58 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 13.9 MM has Grown at 54.47%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 13.9 MM

in the last five periods and Increased by 54.47% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 4 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio