ScoreWhy is HOKUETSU INDUSTRIES CO., LTD. ?
1
High Management Efficiency with a high ROE of 10.40%
2
Company has very low debt and has enough cash to service the debt requirements
3
Poor long term growth as Operating profit has grown by an annual rate 5.40% of over the last 5 years
4
The company has declared Negative results for the last 4 consecutive quarters
- INTEREST(HY) At JPY 54.49 MM has Grown at 76.49%
- DEBTORS TURNOVER RATIO(HY) Lowest at 2.72 times
5
With ROE of 11.81%, it has a very attractive valuation with a 1.38 Price to Book Value
- 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 -3.05%, its profits have fallen by -5.7%
- At the current price, the company has a high dividend yield of 0
6
Underperformed the market in the last 1 year
- Even though the market (Japan Nikkei 225) has generated returns of 36.73% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -3.05% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to HOKUETSU INDUSTRIES CO., LTD. should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is HOKUETSU INDUSTRIES CO., LTD. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
HOKUETSU INDUSTRIES CO., LTD.
-3.05%
-0.51
34.32%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
5.58%
EBIT Growth (5y)
5.40%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.28
Sales to Capital Employed (avg)
1.23
Tax Ratio
29.93%
Dividend Payout Ratio
32.80%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
19.62%
ROE (avg)
10.40%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
Price to Book Value
1.38
EV to EBIT
6.49
EV to EBITDA
5.59
EV to Capital Employed
1.52
EV to Sales
0.82
PEG Ratio
NA
Dividend Yield
0.03%
ROCE (Latest)
23.42%
ROE (Latest)
11.81%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Sideways
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -13.31% (YoY
NET SALES(Q)
Highest at JPY 14,919.71 MM
PRE-TAX PROFIT(Q)
Highest at JPY 2,574.4 MM
NET PROFIT(Q)
Highest at JPY 1,783.55 MM
EPS(Q)
Highest at JPY 65.48
-9What is not working for the Company
INTEREST(HY)
At JPY 54.49 MM has Grown at 76.49%
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.72 times
Here's what is working for HOKUETSU INDUSTRIES CO., LTD.
Net Sales
Highest at JPY 14,919.71 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Pre-Tax Profit
Highest at JPY 2,574.4 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 1,783.55 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
EPS
Highest at JPY 65.48
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Raw Material Cost
Fallen by -13.31% (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
Here's what is not working for HOKUETSU INDUSTRIES CO., LTD.
Interest
At JPY 54.49 MM has Grown at 76.49%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debtors Turnover Ratio
Lowest at 2.72 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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