H.I.S. Co. Ltd. (9603) 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

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Why is H.I.S. Co. Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -15.38% and Operating profit at -3.98% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 3.37% signifying low profitability per unit of total capital (equity and debt)

With ROE of 23.95%, it has a attractive valuation with a 2.22 Price to Book Value

Over the past year, while the stock has generated a return of -29.02%, its profits have risen by 72.8% ; the PEG ratio of the company is 0.1

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -29.02% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

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 Tour, Travel Related Services)

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

Is H.I.S. Co. Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

H.I.S. Co. Ltd.

-100.0%

129.43

33.37%

Japan Nikkei 225

38.94%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-15.38%

EBIT Growth (5y)

-3.98%

EBIT to Interest (avg)

-20.14

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.13

Sales to Capital Employed (avg)

1.26

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

31.67%

Pledged Shares

Institutional Holding

ROCE (avg)

3.49%

ROE (avg)

8.26%

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

2.22

EV to EBIT

15.04

EV to EBITDA

7.92

EV to Capital Employed

1.57

EV to Sales

0.53

PEG Ratio

0.13

Dividend Yield

ROCE (Latest)

10.46%

ROE (Latest)

23.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

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

10What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 116.65 %

DIVIDEND PAYOUT RATIO(Y)

Highest at 25.45%

RAW MATERIAL COST(Y)

Fallen by 1.01% (YoY

DIVIDEND PER SHARE(HY)

Highest at JPY 8.47

NET SALES(Q)

Highest at JPY 106,782 MM

OPERATING PROFIT(Q)

Highest at JPY 8,472 MM

PRE-TAX PROFIT(Q)

At JPY 4,017 MM has Grown at 51.51%

NET PROFIT(Q)

At JPY 4,706 MM has Grown at 91.63%

-7What is not working for the Company

NET PROFIT(HY)

At JPY 3,195 MM has Grown at -56.48%

Here's what is working for H.I.S. Co. Ltd.

Debt-Equity Ratio

Lowest at 116.65 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Net Sales

Highest at JPY 106,782 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 106,782 MM has Grown at 14.8%

over average net sales of the previous four periods of JPY 93,019 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 8,472 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Pre-Tax Profit

At JPY 4,017 MM has Grown at 51.51%

over average net sales of the previous four periods of JPY 2,651.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 4,706 MM has Grown at 91.63%

over average net sales of the previous four periods of JPY 2,455.78 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Dividend per share

Highest at JPY 8.47

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 25.45%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by 1.01% (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 3,109 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)