Japan Cash Machine Co., Ltd. (6418) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Tsuburaya Fields Holdings, Inc.

Sankyo Co., Ltd.

Adeka Corp.

Japan Cash Machine Co., Ltd.

OIZUMI Corp.

Gamecard-Joyco Holdings, Inc.

Nagaoka International Corp.

RIZAP GROUP, Inc.

Universal Entertainment Corp.

Toda Kogyo Corp.

Tri Chemical Laboratories Inc.

Why is Japan Cash Machine Co., Ltd. ?

Low Debt Company with Strong Long Term Fundamental Strength

The company declared very negative results in Mar'25 after positive results in Dec'24

INTEREST(HY) At JPY 51.01 MM has Grown at 16.72%
NET SALES(Q) At JPY 7,612.06 MM has Fallen at -19.48%
PRE-TAX PROFIT(Q) At JPY 263.01 MM has Fallen at -78.08%

With ROE of 11.90%, it has a very attractive valuation with a 0.91 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 -2.24%, its profits have risen by 16.2% ; the PEG ratio of the company is 0.5
At the current price, the company has a high dividend yield of 0.1

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.24% 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 Japan Cash Machine Co., Ltd. should be less than 10%
Overall Portfolio exposure to Diversified should be less than 30%

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

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

Is Japan Cash Machine Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Japan Cash Machine Co., Ltd.

-2.55%

-0.76

29.40%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.69%

EBIT Growth (5y)

54.10%

EBIT to Interest (avg)

-8.62

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

0.85

Tax Ratio

20.60%

Dividend Payout Ratio

28.37%

Pledged Shares

Institutional Holding

ROCE (avg)

7.52%

ROE (avg)

7.36%

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

0.91

EV to EBIT

4.57

EV to EBITDA

4.12

EV to Capital Employed

0.88

EV to Sales

0.59

PEG Ratio

0.47

Dividend Yield

0.05%

ROCE (Latest)

19.35%

ROE (Latest)

11.90%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Bearish

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

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JPY 8,770.08 MM

CASH AND EQV(HY)

Highest at JPY 34,847.66 MM

-34What is not working for the Company

INTEREST(HY)

At JPY 51.01 MM has Grown at 16.72%

NET SALES(Q)

At JPY 7,612.06 MM has Fallen at -19.48%

PRE-TAX PROFIT(Q)

At JPY 263.01 MM has Fallen at -78.08%

NET PROFIT(Q)

At JPY 76.56 MM has Fallen at -91.97%

ROCE(HY)

Lowest at 6.26%

RAW MATERIAL COST(Y)

Grown by 14.69% (YoY

Here's what is working for Japan Cash Machine Co., Ltd.

Operating Cash Flow

Highest at JPY 8,770.08 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Cash and Eqv

Highest at JPY 34,847.66 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation

Highest at JPY 147.93 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 Japan Cash Machine Co., Ltd.

Net Sales

At JPY 7,612.06 MM has Fallen at -19.48%

over average net sales of the previous four periods of JPY 9,453.98 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 263.01 MM has Fallen at -78.08%

over average net sales of the previous four periods of JPY 1,199.74 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 76.56 MM has Fallen at -91.97%

over average net sales of the previous four periods of JPY 953.32 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 51.01 MM has Grown at 16.72%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Raw Material Cost

Grown by 14.69% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales