JTEKT Corp. (6473) 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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TOKAI RIKA CO., LTD.

JTEKT Corp.

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NHK Spring Co., Ltd.

Why is JTEKT Corp. ?

With a growth in Net Sales of 10.25%, the company declared Very Positive results in Mar 26

NET PROFIT(9M) At JPY 5,464 MM has Grown at 88.48%
DIVIDEND PER SHARE(HY) Highest at JPY 5.34
RAW MATERIAL COST(Y) Fallen by 1.88% (YoY)

With ROCE of 8.63%, it has a very attractive valuation with a 0.77 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 89.62%, its profits have risen by 60.5% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to JTEKT Corp. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is JTEKT Corp. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

JTEKT Corp.

85.89%

573.05

34.11%

Japan Nikkei 225

81.96%

3.25

27.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.07%

EBIT Growth (5y)

97.27%

EBIT to Interest (avg)

7.56

Debt to EBITDA (avg)

1.16

Net Debt to Equity (avg)

0.16

Sales to Capital Employed (avg)

1.86

Tax Ratio

47.99%

Dividend Payout Ratio

123.88%

Pledged Shares

Institutional Holding

ROCE (avg)

6.31%

ROE (avg)

3.55%

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

0.73

EV to EBIT

8.90

EV to EBITDA

4.63

EV to Capital Employed

0.77

EV to Sales

0.36

PEG Ratio

0.29

Dividend Yield

ROCE (Latest)

8.63%

ROE (Latest)

3.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

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

7What is working for the Company

NET PROFIT(9M)

At JPY 5,464 MM has Grown at 88.48%

DIVIDEND PER SHARE(HY)

Highest at JPY 5.34

RAW MATERIAL COST(Y)

Fallen by 1.88% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 6.48 times

NET SALES(Q)

Highest at JPY 521,626 MM

-19What is not working for the Company

ROCE(HY)

Lowest at 1.56%

INTEREST(Q)

At JPY 2,991 MM has Grown at 13.51%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

PRE-TAX PROFIT(Q)

Lowest at JPY -15,159 MM

NET PROFIT(Q)

Lowest at JPY -9,375 MM

EPS(Q)

Lowest at JPY -29.45

Here's what is working for JTEKT Corp.

Dividend per share

Highest at JPY 5.34 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Sales

Highest at JPY 521,626 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Inventory Turnover Ratio

Highest at 6.48 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 1.88% (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

Depreciation

Highest at JPY 18,713 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 JTEKT Corp.

Pre-Tax Profit

At JPY -15,159 MM has Fallen at -239.43%

over average net sales of the previous four periods of JPY 10,872.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -9,375 MM has Fallen at -249.31%

over average net sales of the previous four periods of JPY 6,278.75 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 2,991 MM has Grown at 13.51%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY -15,159 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -9,375 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -29.45

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)