Ichikoh Industries Ltd. (7244) 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

Bando Chemical Industries Ltd.

Nippon Seiki Co., Ltd.

Press Kogyo Co., Ltd.

Tachi-S Co., Ltd.

G-Tekt Corp.

DaikyoNishikawa Corp.

Hi-Lex Corp.

Ichikoh Industries Ltd.

TPR Co., Ltd.

Futaba Industrial Co., Ltd.

Unipres Corp.

Why is Ichikoh Industries Ltd. ?

Weak Long Term Fundamental Strength with a 9.59% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Net Sales has grown by an annual rate of 0.27% and Operating profit at 9.59% over the last 5 years

Positive results in Jun 26

DIVIDEND PER SHARE(HY) Highest at JPY 3.06
RAW MATERIAL COST(Y) Fallen by -22.36% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 11.43 times

With ROE of 8.36%, it has a attractive valuation with a 0.64 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 40.64%, its profits have risen by 22.4% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 0.2

Underperformed the market in the last 1 year

The stock has generated a return of 40.64% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 60.14%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ichikoh Industries Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Ichikoh Industries Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ichikoh Industries Ltd.

40.64%

0.16

34.84%

Japan Nikkei 225

60.14%

2.05

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.27%

EBIT Growth (5y)

9.59%

EBIT to Interest (avg)

32.23

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.20

Sales to Capital Employed (avg)

1.78

Tax Ratio

12.43%

Dividend Payout Ratio

21.72%

Pledged Shares

Institutional Holding

ROCE (avg)

9.36%

ROE (avg)

8.99%

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

0.64

EV to EBIT

7.24

EV to EBITDA

3.49

EV to Capital Employed

0.58

EV to Sales

0.34

PEG Ratio

0.34

Dividend Yield

0.19%

ROCE (Latest)

8.02%

ROE (Latest)

8.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

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

10What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 3.06

RAW MATERIAL COST(Y)

Fallen by -22.36% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 11.43 times

OPERATING PROFIT(Q)

Highest at JPY 4,044 MM

OPERATING PROFIT MARGIN(Q)

Highest at 13.33 %

PRE-TAX PROFIT(Q)

Highest at JPY 3,261 MM

NET PROFIT(Q)

Highest at JPY 2,514 MM

EPS(Q)

Highest at JPY 26.12

-2What is not working for the Company

INTEREST(Q)

At JPY 60 MM has Grown at 57.89%

Here's what is working for Ichikoh Industries Ltd.

Dividend per share

Highest at JPY 3.06 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Operating Profit

Highest at JPY 4,044 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 13.33 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 3,261 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 3,261 MM has Grown at 71.16%

over average net sales of the previous four periods of JPY 1,905.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 2,514 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 26.12

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Inventory Turnover Ratio

Highest at 11.43 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -22.36% (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 Ichikoh Industries Ltd.

Interest

At JPY 60 MM has Grown at 57.89%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)