IR Japan Holdings Ltd. (6035) 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

F&M Co., Ltd.

Bewith, Inc.

YAMADA Consulting Group Co., Ltd.

Densan System Holdings Co., Ltd.

Pronexus, Inc. (Japan)

IR Japan Holdings Ltd.

Aidma Holdings, Inc.

TAKARA & COMPANY LTD.

Net Protections Holdings, Inc.

Chilled & Frozen Logistics Holdings Co., Ltd.

Studio Alice Co., Ltd.

Why is IR Japan Holdings Ltd. ?

Weak Long Term Fundamental Strength with a -20.65% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Operating profit has grown by an annual rate -20.65% of over the last 5 years

Flat results in Jun 26

INTEREST(HY) At JPY 1.36 MM has Grown at 31.47%

With ROE of 14.68%, it has a very attractive valuation with a 2.05 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 -0.13%, its profits have risen by 30% ; the PEG ratio of the company is 0.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -0.13% 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 hold?

Overall Portfolio exposure to IR Japan Holdings Ltd. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is IR Japan Holdings Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

IR Japan Holdings Ltd.

-0.53%

-1.25

31.53%

Japan Nikkei 225

56.3%

1.91

29.54%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.81%

EBIT Growth (5y)

-20.65%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.71

Sales to Capital Employed (avg)

0.99

Tax Ratio

30.94%

Dividend Payout Ratio

55.35%

Pledged Shares

Institutional Holding

ROCE (avg)

95.67%

ROE (avg)

22.46%

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

2.05

EV to EBIT

6.00

EV to EBITDA

4.75

EV to Capital Employed

5.93

EV to Sales

1.25

PEG Ratio

0.47

Dividend Yield

ROCE (Latest)

98.88%

ROE (Latest)

14.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

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

RAW MATERIAL COST(Y)

Fallen by 0.3% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -79.02 %

NET SALES(Q)

Highest at JPY 2,163.71 MM

OPERATING PROFIT(Q)

Highest at JPY 988.38 MM

OPERATING PROFIT MARGIN(Q)

Highest at 45.68 %

PRE-TAX PROFIT(Q)

Highest at JPY 912.32 MM

NET PROFIT(Q)

Highest at JPY 617.6 MM

EPS(Q)

Highest at JPY 34.77

-8What is not working for the Company

INTEREST(HY)

At JPY 1.36 MM has Grown at 31.47%

Here's what is working for IR Japan Holdings Ltd.

Net Sales

Highest at JPY 2,163.71 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 988.38 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 45.68 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 912.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 617.6 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 34.77

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Lowest at -79.02 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by 0.3% (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 IR Japan Holdings Ltd.

Interest

At JPY 1.36 MM has Grown at 31.47%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)