ScoreWhy is Hitachi Ltd. ?
1
High Management Efficiency with a high ROCE of 12.56%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 17.50
3
With a growth in Net Sales of 7.33%, the company declared Very Positive results in Dec 25
- OPERATING CASH FLOW(Y) Highest at JPY 1,715,977 MM
- NET PROFIT(HY) At JPY 446,356 MM has Grown at 74.73%
- RAW MATERIAL COST(Y) Fallen by -3.3% (YoY)
4
With ROCE of 15.70%, it has a expensive valuation with a 3.03 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 29.78%, its profits have risen by 11.2%
5
Majority shareholders : Non Institution
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Hitachi Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Hitachi Ltd. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Hitachi Ltd.
29.78%
260.13
47.74%
Japan Nikkei 225
38.94%
1.38
28.28%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.22%
EBIT Growth (5y)
7.98%
EBIT to Interest (avg)
17.50
Debt to EBITDA (avg)
0.80
Net Debt to Equity (avg)
0.06
Sales to Capital Employed (avg)
1.36
Tax Ratio
33.82%
Dividend Payout Ratio
32.12%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
12.67%
ROE (avg)
11.07%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
28
Industry P/E
Price to Book Value
3.15
EV to EBIT
19.28
EV to EBITDA
13.35
EV to Capital Employed
3.03
EV to Sales
1.91
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
15.70%
ROE (Latest)
11.23%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
OPERATING CASH FLOW(Y)
Highest at JPY 1,715,977 MM
NET PROFIT(HY)
At JPY 446,356 MM has Grown at 74.73%
RAW MATERIAL COST(Y)
Fallen by -3.3% (YoY
CASH AND EQV(HY)
Highest at JPY 2,403,587 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -1.08 %
OPERATING PROFIT(Q)
Highest at JPY 435,530 MM
-2What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.96 times
Here's what is working for Hitachi Ltd.
Operating Cash Flow
Highest at JPY 1,715,977 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (JPY MM)
Net Profit
At JPY 446,356 MM has Grown at 74.73%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Operating Profit
Highest at JPY 435,530 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (JPY MM)
Cash and Eqv
Highest at JPY 2,403,587 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -1.08 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -3.3% (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 117,858 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Hitachi Ltd.
Debtors Turnover Ratio
Lowest at 2.96 times and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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