JAPAN FOUNDATION ENGINEERING CO., LTD. (1914) 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

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Br. Holdings Corp.

JAPAN FOUNDATION ENGINEERING CO., LTD.

Why is JAPAN FOUNDATION ENGINEERING CO., LTD. ?

Poor Management Efficiency with a low ROE of 3.27%

The company has been able to generate a Return on Equity (avg) of 3.27% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 4.65% over the last 5 years

With a fall in Operating Profit of -12.47%, the company declared Very Negative results in Jun 25

NET PROFIT(HY) At JPY -68.2 MM has Grown at -105.56%
INTEREST COVERAGE RATIO(Q) Lowest at 5,744.58
DEBT-EQUITY RATIO (HY) Highest at 1.9 %

Underperformed the market in the last 1 year

The stock has generated a return of 6.83% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%

Real-Time Research Report

Verdict Report

How 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 Construction)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is JAPAN FOUNDATION ENGINEERING CO., LTD. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

JAPAN FOUNDATION ENGINEERING CO., LTD.

6.83%

-0.30

28.99%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.65%

EBIT Growth (5y)

12.87%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

1.02

Tax Ratio

25.18%

Dividend Payout Ratio

32.38%

Pledged Shares

Institutional Holding

ROCE (avg)

5.16%

ROE (avg)

3.27%

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

0.80

EV to EBIT

9.31

EV to EBITDA

5.64

EV to Capital Employed

0.79

EV to Sales

0.58

PEG Ratio

0.23

Dividend Yield

0.08%

ROCE (Latest)

8.50%

ROE (Latest)

6.27%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-30What is not working for the Company

NET PROFIT(HY)

At JPY -68.2 MM has Grown at -105.56%

INTEREST COVERAGE RATIO(Q)

Lowest at 5,744.58

DEBT-EQUITY RATIO (HY)

Highest at 1.9 %

RAW MATERIAL COST(Y)

Grown by 17.1% (YoY

CASH AND EQV(HY)

Lowest at JPY 8,690.05 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 32.04%

NET SALES(Q)

Lowest at JPY 6,617.56 MM

INTEREST(Q)

Highest at JPY 11.89 MM

Here's what is not working for JAPAN FOUNDATION ENGINEERING CO., LTD.

Net Profit

At JPY -68.2 MM has Grown at -105.56%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Net Sales

At JPY 6,617.56 MM has Fallen at -12.58%

over average net sales of the previous four periods of JPY 7,569.91 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Interest Coverage Ratio

Lowest at 5,744.58 and Fallen

In each period in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At JPY 11.89 MM has Grown at 51.79%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 1.9 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Net Sales

Lowest at JPY 6,617.56 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Interest

Highest at JPY 11.89 MM

in the last five periods and Increased by 51.79% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 8,690.05 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 32.04%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 17.1% (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