Why is Japan Pulp & Paper Co., Ltd. ?
1
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 4.33% over the last 5 years
- The company is Net-Debt Free
2
Poor long term growth as Net Sales has grown by an annual rate of 4.33% over the last 5 years
3
Flat results in Jun 26
- NET PROFIT(HY) At JPY 273.58 MM has Grown at -88.08%
- ROCE(HY) Lowest at 4.07%
- DEBT-EQUITY RATIO (HY) Highest at 67 %
4
With ROCE of 5.38%, it has a very attractive valuation with a 1.01 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 83.54%, its profits have fallen by -30%
5
Market Beating Performance
- The stock has generated a return of 83.54% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 59.79%
How much should you hold?
- Overall Portfolio exposure to Japan Pulp & Paper Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Trading & Distributors should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Trading & Distributors)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Japan Pulp & Paper Co., Ltd. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Japan Pulp & Paper Co., Ltd.
89.73%
3.47
26.25%
Japan Nikkei 225
60.14%
2.04
29.37%
Quality key factors
Factor
Value
Sales Growth (5y)
4.33%
EBIT Growth (5y)
5.01%
EBIT to Interest (avg)
6.91
Debt to EBITDA (avg)
3.31
Net Debt to Equity (avg)
0.62
Sales to Capital Employed (avg)
2.44
Tax Ratio
47.30%
Dividend Payout Ratio
86.07%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.64%
ROE (avg)
10.98%
Valuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
Price to Book Value
1.02
EV to EBIT
18.78
EV to EBITDA
9.51
EV to Capital Employed
1.01
EV to Sales
0.36
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
5.38%
ROE (Latest)
5.79%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
4What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -3.29% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 4.4 times
NET PROFIT(Q)
At JPY 1,831.76 MM has Grown at 99.07%
-7What is not working for the Company
NET PROFIT(HY)
At JPY 273.58 MM has Grown at -88.08%
ROCE(HY)
Lowest at 4.07%
DEBT-EQUITY RATIO
(HY)
Highest at 67 %
Here's what is working for Japan Pulp & Paper Co., Ltd.
Net Profit
At JPY 1,831.76 MM has Grown at 99.07%
over average net sales of the previous four periods of JPY 920.14 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Debtors Turnover Ratio
Highest at 4.4 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -3.29% (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 Japan Pulp & Paper Co., Ltd.
Debt-Equity Ratio
Highest at 67 %
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






