ScoreWhy is Hokuetsu Corp. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 2.93% 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 Equity (avg) of 7.38% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 2.93% over the last 5 years
3
The company has declared negative results in Mar'2025 after 2 consecutive positive quarters
- NET PROFIT(HY) At JPY 4,668.31 MM has Grown at -48.82%
- RAW MATERIAL COST(Y) Grown by 9.46% (YoY)
- CASH AND EQV(HY) Lowest at JPY 40,752 MM
4
With ROCE of 6.07%, it has a attractive valuation with a 0.76 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 -28.48%, its profits have risen by 0.6% ; the PEG ratio of the company is 12
- At the current price, the company has a high dividend yield of 0.1
5
Below par performance in long term as well as near term
- Along with generating -28.48% 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 ReportHow 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 Paper, Forest & Jute Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hokuetsu Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hokuetsu Corp.
-28.48%
-0.71
32.66%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.93%
EBIT Growth (5y)
11.97%
EBIT to Interest (avg)
24.06
Debt to EBITDA (avg)
2.95
Net Debt to Equity (avg)
0.23
Sales to Capital Employed (avg)
0.86
Tax Ratio
27.22%
Dividend Payout Ratio
23.83%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.77%
ROE (avg)
7.38%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
Price to Book Value
0.71
EV to EBIT
12.55
EV to EBITDA
7.49
EV to Capital Employed
0.76
EV to Sales
0.81
PEG Ratio
11.97
Dividend Yield
0.05%
ROCE (Latest)
6.07%
ROE (Latest)
5.91%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-14What is not working for the Company
NET PROFIT(HY)
At JPY 4,668.31 MM has Grown at -48.82%
RAW MATERIAL COST(Y)
Grown by 9.46% (YoY
CASH AND EQV(HY)
Lowest at JPY 40,752 MM
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.27 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.26 times
NET SALES(Q)
Fallen at -9.03%
PRE-TAX PROFIT(Q)
Fallen at -32.96%
Here's what is working for Hokuetsu Corp.
Depreciation
Highest at JPY 3,534 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 Hokuetsu Corp.
Net Profit
At JPY 4,668.31 MM has Grown at -48.82%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Net Sales
Fallen at -9.03%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Pre-Tax Profit
Fallen at -32.96%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Cash and Eqv
Lowest at JPY 40,752 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Inventory Turnover Ratio
Lowest at 3.27 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debtors Turnover Ratio
Lowest at 3.26 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 9.46% (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
Non Operating Income
Highest at JPY 0.4 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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