ScoreWhy is Japan Communications Inc. ?
1
- ROCE(HY) Lowest at 18.1%
- DEBT-EQUITY RATIO (HY) Highest at -29.26 %
- INTEREST COVERAGE RATIO(Q) Lowest at 3,172.85
2
With ROE of 21.64%, it has a expensive valuation with a 4.91 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 -29.61%, its profits have risen by 20.3% ; the PEG ratio of the company is 1.2
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -29.61% 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 ReportHow much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Japan Communications Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Japan Communications Inc.
-29.61%
-1.22
34.20%
Japan Nikkei 225
85.83%
3.09
27.80%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
28.22%
EBIT Growth (5y)
38.14%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.59
Sales to Capital Employed (avg)
2.25
Tax Ratio
16.38%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
120.24%
ROE (avg)
27.42%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
23
Industry P/E
Price to Book Value
4.91
EV to EBIT
17.39
EV to EBITDA
14.05
EV to Capital Employed
7.69
EV to Sales
1.83
PEG Ratio
1.16
Dividend Yield
NA
ROCE (Latest)
44.26%
ROE (Latest)
21.64%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
OPERATING CASH FLOW(Y)
Highest at JPY 1,321.51 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 120.06 times
NET SALES(Q)
Highest at JPY 3,014.59 MM
CASH AND EQV(HY)
Highest at JPY 10,854.44 MM
-32What is not working for the Company
ROCE(HY)
Lowest at 18.1%
DEBT-EQUITY RATIO
(HY)
Highest at -29.26 %
INTEREST COVERAGE RATIO(Q)
Lowest at 3,172.85
RAW MATERIAL COST(Y)
Grown by 5.47% (YoY
INTEREST(Q)
Highest at JPY 10.52 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 11.07 %
PRE-TAX PROFIT(Q)
Lowest at JPY 233.66 MM
NET PROFIT(Q)
Lowest at JPY -80.44 MM
EPS(Q)
Lowest at JPY 0.33
Here's what is working for Japan Communications Inc.
Net Sales
Highest at JPY 3,014.59 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (JPY MM)
Inventory Turnover Ratio
Highest at 120.06 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Operating Cash Flow
Highest at JPY 1,321.51 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (JPY MM)
Net Sales
At JPY 3,014.59 MM has Grown at 17.62%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Cash and Eqv
Highest at JPY 10,854.44 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Depreciation
Highest at JPY 93.81 MM
in the last five periodsMOJO 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 Communications Inc.
Net Profit
At JPY -80.44 MM has Fallen at -127.47%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Interest
At JPY 10.52 MM has Grown at 29.79%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 3,172.85
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at -29.26 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
Highest at JPY 10.52 MM
in the last five periods and Increased by 29.79% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Operating Profit Margin
Lowest at 11.07 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at JPY 233.66 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Net Profit
Lowest at JPY -80.44 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
EPS
Lowest at JPY 0.33
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (JPY)
Raw Material Cost
Grown by 5.47% (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
Non Operating Income
Highest at JPY 0.21 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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