Joyful Honda Co. Ltd. (3191) 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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Joyful Honda Co. Ltd.

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Why is Joyful Honda Co. Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Poor long term growth as Net Sales has grown by an annual rate of -2.63% over the last 5 years

Flat results in Dec 25

INTEREST(HY) At JPY 32 MM has Grown at 77.78%
CASH AND EQV(HY) Lowest at JPY 58,860 MM
DEBT-EQUITY RATIO (HY) Highest at -13.18 %

With ROE of 6.70%, it has a very attractive valuation with a 1.09 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 5.96%, its profits have fallen by -2.2% ; the PEG ratio of the company is 6.5

Underperformed the market in the last 1 year

The stock has generated a return of 5.96% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Joyful Honda Co. Ltd. should be less than 10%
Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%

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

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

Is Joyful Honda Co. Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Joyful Honda Co. Ltd.

5.96%

-0.03

15.73%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.63%

EBIT Growth (5y)

1.71%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.11

Sales to Capital Employed (avg)

1.00

Tax Ratio

30.24%

Dividend Payout Ratio

47.34%

Pledged Shares

Institutional Holding

ROCE (avg)

11.59%

ROE (avg)

8.09%

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

1.09

EV to EBIT

10.88

EV to EBITDA

8.36

EV to Capital Employed

1.10

EV to Sales

0.88

PEG Ratio

6.53

Dividend Yield

ROCE (Latest)

10.14%

ROE (Latest)

6.70%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

7What is working for the Company

ROCE(HY)

Highest at 7.93%

DIVIDEND PER SHARE(HY)

Highest at JPY 26.03

RAW MATERIAL COST(Y)

Fallen by -7.06% (YoY

NET PROFIT(Q)

Highest at JPY 2,332.56 MM

EPS(Q)

Highest at JPY 64.48

-12What is not working for the Company

INTEREST(HY)

At JPY 32 MM has Grown at 77.78%

CASH AND EQV(HY)

Lowest at JPY 58,860 MM

DEBT-EQUITY RATIO (HY)

Highest at -13.18 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.88 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 26.03 times

Here's what is working for Joyful Honda Co. Ltd.

Dividend per share

Highest at JPY 26.03 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Profit

Highest at JPY 2,332.56 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 64.48

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -7.06% (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 Joyful Honda Co. Ltd.

Interest

At JPY 32 MM has Grown at 77.78%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 58,860 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -13.18 %

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

Inventory Turnover Ratio

Lowest at 3.88 times

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 26.03 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio