Hotto Link, Inc. (3680) 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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Gexeed Co., Ltd.

Eltes Co., Ltd.

Hotto Link, Inc.

Tecmira Holdings, Inc.

Why is Hotto Link, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate 12.71% of over the last 5 years

With a fall in Operating Profit of -115.49%, the company declared Very Negative results in Dec 25

The company has declared negative results for the last 6 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at JPY 239.96 MM
NET SALES(9M) At JPY 2,729.47 MM has Grown at -11.84%
ROCE(HY) Lowest at -36.14%

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -23.36%, its profits have fallen by -388.3%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -23.36% 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 Computers - Software & Consulting)

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

Is Hotto Link, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hotto Link, Inc.

-23.36%

-0.53

56.61%

Japan Nikkei 225

36.73%

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)

1.14%

EBIT Growth (5y)

12.71%

EBIT to Interest (avg)

1.32

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.43

Sales to Capital Employed (avg)

0.69

Tax Ratio

3.75%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.99%

ROE (avg)

9.06%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.86

EV to EBIT

-18.12

EV to EBITDA

7.70

EV to Capital Employed

0.75

EV to Sales

0.60

PEG Ratio

Dividend Yield

ROCE (Latest)

-4.16%

ROE (Latest)

-13.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

Mildly 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

2What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 6.31

NET SALES(Q)

Highest at JPY 1,062.38 MM

-38What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at JPY 239.96 MM

NET SALES(9M)

At JPY 2,729.47 MM has Grown at -11.84%

ROCE(HY)

Lowest at -36.14%

INTEREST(Q)

At JPY 65.42 MM has Grown at inf%

DEBT-EQUITY RATIO (HY)

Highest at -35.98 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.31 times

PRE-TAX PROFIT(Q)

Lowest at JPY -1,725.05 MM

NET PROFIT(Q)

Lowest at JPY -1,531.22 MM

EPS(Q)

Lowest at JPY -97.65

Here's what is working for Hotto Link, Inc.

Net Sales

Highest at JPY 1,062.38 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Dividend per share

Highest at JPY 6.31

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Depreciation

Highest at JPY 115.81 MM

in the last five periods

MOJO Watch

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

Depreciation (JPY MM)

Here's what is not working for Hotto Link, Inc.

Pre-Tax Profit

At JPY -1,725.05 MM has Fallen at -204.03%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -1,531.22 MM has Fallen at -168.62%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Operating Cash Flow

Lowest at JPY 239.96 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (JPY MM)

Interest

At JPY 65.42 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY -1,725.05 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -1,531.22 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -97.65

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -35.98 %

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 6.31 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio