HOSHIZAKI Corp. (6465) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hitachi Ltd.

FANUC Corp.

DAIKIN INDUSTRIES Ltd.

Daifuku Co., Ltd.

HOSHIZAKI Corp.

YASKAWA Electric Corp.

DISCO Corp.

OMRON Corp.

TOSHIBA Corp.

SMC Corp. (Japan)

Toyota Industries Corp.

Why is HOSHIZAKI Corp. ?

Company has very low debt and has enough cash to service the debt requirements

Low Debt Company with Strong Long Term Fundamental Strength

Flat results in Jun 25

INTEREST(9M) At JPY 1,302 MM has Grown at 59.36%
DEBT-EQUITY RATIO (HY) Highest at -58.04 %
DEBTORS TURNOVER RATIO(HY) Lowest at 6.01%

With ROE of 11.24%, it has a very attractive valuation with a 2.18 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 -20.00%, its profits have risen by 7% ; the PEG ratio of the company is 2.8

Below par performance in long term as well as near term

Along with generating -20.00% 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 Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to HOSHIZAKI Corp. 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 HOSHIZAKI Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

HOSHIZAKI Corp.

-19.9%

-0.21

30.62%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.79%

EBIT Growth (5y)

9.69%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.62

Sales to Capital Employed (avg)

1.17

Tax Ratio

29.64%

Dividend Payout Ratio

40.62%

Pledged Shares

Institutional Holding

ROCE (avg)

54.02%

ROE (avg)

9.17%

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

2.18

EV to EBIT

10.51

EV to EBITDA

8.65

EV to Capital Employed

4.08

EV to Sales

1.19

PEG Ratio

2.77

Dividend Yield

ROCE (Latest)

38.82%

ROE (Latest)

11.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bullish

No Trend

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

9What is working for the Company

ROCE(HY)

Highest at 11%

NET SALES(Q)

Highest at JPY 120,373 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 63.66%

RAW MATERIAL COST(Y)

Fallen by -2.5% (YoY

DIVIDEND PER SHARE(HY)

Highest at JPY 6.01

PRE-TAX PROFIT(Q)

Highest at JPY 16,226 MM

EPS(Q)

Highest at JPY 78.54

-6What is not working for the Company

INTEREST(9M)

At JPY 1,302 MM has Grown at 59.36%

DEBT-EQUITY RATIO (HY)

Highest at -58.04 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.01%

Here's what is working for HOSHIZAKI Corp.

Net Sales

Highest at JPY 120,373 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Pre-Tax Profit

Highest at JPY 16,226 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

EPS

Highest at JPY 78.54

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Dividend per share

Highest at JPY 6.01

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 63.66%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -2.5% (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 HOSHIZAKI Corp.

Interest

At JPY 1,302 MM has Grown at 59.36%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -58.04 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 6.01%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio