Imasen Electric Industrial Co., Ltd. (7266) 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

Imasen Electric Industrial Co., Ltd.

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Why is Imasen Electric Industrial Co., Ltd. ?

Poor Management Efficiency with a low ROE of 1.40%

The company has been able to generate a Return on Equity (avg) of 1.40% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -1.28

Poor long term growth as Net Sales has grown by an annual rate of -0.33% and Operating profit at 33.25% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -1.28
The company has been able to generate a Return on Equity (avg) of 1.40% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -0.33% and Operating profit at 33.25% over the last 5 years

Flat results in Jun 26

INTEREST(Q) Highest at JPY 41 MM
NET PROFIT(Q) At JPY 449.65 MM has Fallen at -32.95%

With ROE of 4.24%, it has a very attractive valuation with a 0.38 Price to Book Value

Over the past year, while the stock has generated a return of 20.84%, its profits have fallen by -24.1%
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Imasen Electric Industrial Co., 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 Imasen Electric Industrial Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Imasen Electric Industrial Co., Ltd.

30.56%

1.70

28.38%

Japan Nikkei 225

58.07%

1.98

29.31%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.33%

EBIT Growth (5y)

33.25%

EBIT to Interest (avg)

2.89

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.27

Sales to Capital Employed (avg)

1.72

Tax Ratio

15.77%

Dividend Payout Ratio

23.36%

Pledged Shares

Institutional Holding

ROCE (avg)

1.15%

ROE (avg)

1.40%

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

0.38

EV to EBIT

3.30

EV to EBITDA

1.32

EV to Capital Employed

0.17

EV to Sales

0.08

PEG Ratio

Dividend Yield

ROCE (Latest)

5.23%

ROE (Latest)

4.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

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

13What is working for the Company

NET PROFIT(HY)

At JPY 1,439.65 MM has Grown at 268.44%

OPERATING CASH FLOW(Y)

Highest at JPY 4,214 MM

RAW MATERIAL COST(Y)

Fallen by -31.33% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 5.21 times

-10What is not working for the Company

INTEREST(Q)

Highest at JPY 41 MM

NET PROFIT(Q)

At JPY 449.65 MM has Fallen at -32.95%

Here's what is working for Imasen Electric Industrial Co., Ltd.

Operating Cash Flow

Highest at JPY 4,214 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Debtors Turnover Ratio

Highest at 5.21 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -31.33% (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 Imasen Electric Industrial Co., Ltd.

Interest

At JPY 41 MM has Grown at 20.59%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 41 MM

in the last five periods and Increased by 20.59% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 449.65 MM has Fallen at -32.95%

over average net sales of the previous four periods of JPY 670.58 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)