Kanto Denka Kogyo Co., Ltd. (4047) 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

Mec Co., Ltd.

ISHIHARA SANGYO KAISHA LTD.

Chori Co., Ltd.

Sekisui Jushi Corp.

JSP Corp.

Toyo Gosei Co., Ltd.

Kanto Denka Kogyo Co., Ltd.

Toyobo Co., Ltd.

Shikoku Kasei Holdings Corp.

TENMA Corp.

C.I. Takiron Corp.

Why is Kanto Denka Kogyo Co., Ltd. ?

Poor long term growth as Operating profit has grown by an annual rate -3.18% of over the last 5 years

With ROCE of 4.67%, it has a expensive valuation with a 1.24 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 384.47%, its profits have risen by 134.1% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 0

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 Specialty Chemicals)

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

Is Kanto Denka Kogyo Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Kanto Denka Kogyo Co., Ltd.

384.47%

5.04

69.12%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.31%

EBIT Growth (5y)

-3.18%

EBIT to Interest (avg)

21.93

Debt to EBITDA (avg)

0.99

Net Debt to Equity (avg)

0.26

Sales to Capital Employed (avg)

0.62

Tax Ratio

32.06%

Dividend Payout Ratio

30.07%

Pledged Shares

Institutional Holding

0.03%

ROCE (avg)

9.88%

ROE (avg)

8.26%

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

1.32

EV to EBIT

26.55

EV to EBITDA

8.68

EV to Capital Employed

1.24

EV to Sales

1.82

PEG Ratio

0.16

Dividend Yield

ROCE (Latest)

4.67%

ROE (Latest)

6.15%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Bullish

OBV

Mildly Bearish

Bullish

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

20What is working for the Company

NET PROFIT(HY)

Higher at JPY 4,154.09 MM

ROCE(HY)

Highest at 5.47%

INTEREST COVERAGE RATIO(Q)

Highest at 4,077.04

RAW MATERIAL COST(Y)

Fallen by -15.66% (YoY

NET SALES(Q)

Highest at JPY 18,691 MM

OPERATING PROFIT(Q)

Highest at JPY 5,504 MM

OPERATING PROFIT MARGIN(Q)

Highest at 29.45 %

PRE-TAX PROFIT(Q)

Highest at JPY 3,107 MM

EPS(Q)

Highest at JPY 35.93

-8What is not working for the Company

INTEREST(HY)

At JPY 269 MM has Grown at 19.56%

CASH AND EQV(HY)

Lowest at JPY 38,477 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.58 times

Here's what is working for Kanto Denka Kogyo Co., Ltd.

Net Profit

At JPY 4,154.09 MM has Grown at 130.22%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Interest Coverage Ratio

Highest at 4,077.04

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Profit

Higher at JPY 4,154.09 MM

than preceding 12 month period ended Mar 2026

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (JPY MM)

Net Sales

Highest at JPY 18,691 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 18,691 MM has Grown at 18.82%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 5,504 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 29.45 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 3,107 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 3,107 MM has Grown at 71.56%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

EPS

Highest at JPY 35.93

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -15.66% (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 2,632 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 Kanto Denka Kogyo Co., Ltd.

Interest

At JPY 269 MM has Grown at 19.56%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 38,477 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 2.58 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio