J-MAX Co., Ltd. (3422) 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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J-MAX Co., Ltd.

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Diamond Electric Holdings Co., Ltd.

Why is J-MAX Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 2.21% and Operating profit at -16.64% over the last 5 years
The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 2.21% and Operating profit at -16.64% over the last 5 years

Positive results in Jun 26

NET SALES(HY) At JPY 29,066 MM has Grown at 20.67%
ROCE(HY) Highest at 10.23%
PRE-TAX PROFIT(Q) At JPY 1,089 MM has Grown at 172.42%

With ROCE of 4.76%, it has a expensive valuation with a 0.66 Enterprise value to Capital Employed

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 116.72%, its profits have fallen by -113.7%

Market Beating Performance

The stock has generated a return of 116.72% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 60.14%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to J-MAX 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 J-MAX Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

J-MAX Co., Ltd.

-100.0%

1.37

53.25%

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)

2.21%

EBIT Growth (5y)

-16.64%

EBIT to Interest (avg)

6.29

Debt to EBITDA (avg)

2.25

Net Debt to Equity (avg)

0.99

Sales to Capital Employed (avg)

1.28

Tax Ratio

15.11%

Dividend Payout Ratio

6.44%

Pledged Shares

Institutional Holding

ROCE (avg)

5.98%

ROE (avg)

9.34%

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

0.32

EV to EBIT

13.93

EV to EBITDA

4.15

EV to Capital Employed

0.66

EV to Sales

0.47

PEG Ratio

Dividend Yield

ROCE (Latest)

4.76%

ROE (Latest)

-1.34%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

21What is working for the Company

NET SALES(HY)

At JPY 29,066 MM has Grown at 20.67%

ROCE(HY)

Highest at 10.23%

PRE-TAX PROFIT(Q)

At JPY 1,089 MM has Grown at 172.42%

RAW MATERIAL COST(Y)

Fallen by -169.62% (YoY

OPERATING PROFIT(Q)

Highest at JPY 2,169 MM

OPERATING PROFIT MARGIN(Q)

Highest at 16.02 %

NET PROFIT(Q)

At JPY 651.07 MM has Grown at 106.61%

-11What is not working for the Company

INTEREST(HY)

At JPY 391 MM has Grown at 41.67%

INVENTORY TURNOVER RATIO(HY)

Lowest at 9.76 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.87 times

Here's what is working for J-MAX Co., Ltd.

Pre-Tax Profit

At JPY 1,089 MM has Grown at 172.42%

over average net sales of the previous four periods of JPY 399.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Sales

At JPY 29,066 MM has Grown at 20.67%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 2,169 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 16.02 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Net Profit

At JPY 651.07 MM has Grown at 106.61%

over average net sales of the previous four periods of JPY 315.12 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Raw Material Cost

Fallen by -169.62% (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 J-MAX Co., Ltd.

Interest

At JPY 391 MM has Grown at 41.67%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 9.76 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 3.87 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio