ScoreWhy is Kanto Denka Kogyo Co., Ltd. ?
1
Poor long term growth as Operating profit has grown by an annual rate -11.18% of over the last 5 years
2
With a fall in Net Sales of -1.96%, the company declared Very Negative results in Jun 25
- The company has declared negative results in Jan 70 after 2 consecutive negative quarters
- INTEREST(HY) At JPY 240 MM has Grown at 5.73%
- PRE-TAX PROFIT(Q) At JPY 877 MM has Fallen at -55.48%
- RAW MATERIAL COST(Y) Grown by 9.31% (YoY)
3
With ROCE of 5.14%, it has a very attractive valuation with a 0.79 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 -3.93%, its profits have risen by 10113.6%
- At the current price, the company has a high dividend yield of 0.1
4
Below par performance in long term as well as near term
- Along with generating -3.93% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow 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?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Kanto Denka Kogyo Co., Ltd.
-3.93%
0.33
32.65%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.04%
EBIT Growth (5y)
-11.18%
EBIT to Interest (avg)
21.93
Debt to EBITDA (avg)
0.99
Net Debt to Equity (avg)
0.26
Sales to Capital Employed (avg)
0.65
Tax Ratio
32.06%
Dividend Payout Ratio
30.07%
Pledged Shares
0
Institutional Holding
0.03%
ROCE (avg)
9.88%
ROE (avg)
8.26%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
Price to Book Value
0.74
EV to EBIT
15.36
EV to EBITDA
5.24
EV to Capital Employed
0.79
EV to Sales
1.05
PEG Ratio
NA
Dividend Yield
0.06%
ROCE (Latest)
5.14%
ROE (Latest)
5.56%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
NET PROFIT(9M)
At JPY 2,443.64 MM has Grown at 266.77%
-7What is not working for the Company
INTEREST(HY)
At JPY 240 MM has Grown at 5.73%
PRE-TAX PROFIT(Q)
At JPY 877 MM has Fallen at -55.48%
RAW MATERIAL COST(Y)
Grown by 9.31% (YoY
NET SALES(Q)
Lowest at JPY 15,143 MM
NET PROFIT(Q)
Fallen at -47.44%
Here's what is not working for Kanto Denka Kogyo Co., Ltd.
Pre-Tax Profit
At JPY 877 MM has Fallen at -55.48%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (JPY MM)
Interest
At JPY 240 MM has Grown at 5.73%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Sales
Lowest at JPY 15,143 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Net Profit
Fallen at -47.44%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
Raw Material Cost
Grown by 9.31% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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