KATITAS Co., Ltd. (8919) 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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KATITAS Co., Ltd.

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Why is KATITAS Co., Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 23.90%

Healthy long term growth as Net Sales has grown by an annual rate of 8.01% and Operating profit at 8.85%

Flat results in Mar 26

INVENTORY TURNOVER RATIO(HY) Lowest at 1.63 times
INTEREST COVERAGE RATIO(Q) Lowest at 2,945.65
RAW MATERIAL COST(Y) Grown by 8.65% (YoY)

With ROE of 23.61%, it has a expensive valuation with a 5.29 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 32.33%, its profits have risen by 25.6% ; the PEG ratio of the company is 0.9

Underperformed the market in the last 1 year

The stock has generated a return of 32.33% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 81.96%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to KATITAS 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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.01%

EBIT Growth (5y)

8.85%

EBIT to Interest (avg)

41.73

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

3.02

Tax Ratio

31.14%

Dividend Payout Ratio

45.82%

Pledged Shares

Institutional Holding

ROCE (avg)

70.64%

ROE (avg)

23.90%

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

5.29

EV to EBIT

14.48

EV to EBITDA

14.37

EV to Capital Employed

6.39

EV to Sales

1.75

PEG Ratio

0.88

Dividend Yield

ROCE (Latest)

44.10%

ROE (Latest)

23.61%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

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

11What is working for the Company

NET SALES(HY)

At JPY 79,436 MM has Grown at 21.23%

ROCE(HY)

Highest at 25.25%

DEBTORS TURNOVER RATIO(HY)

Highest at 37,962.75 times

DIVIDEND PER SHARE(HY)

Highest at JPY 37,962.75

DIVIDEND PAYOUT RATIO(Y)

Highest at 107.5%

-17What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.63 times

INTEREST COVERAGE RATIO(Q)

Lowest at 2,945.65

RAW MATERIAL COST(Y)

Grown by 8.65% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 34.44 %

INTEREST(Q)

Highest at JPY 138 MM

Here's what is working for KATITAS Co., Ltd.

Net Sales

At JPY 79,436 MM has Grown at 21.23%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Debtors Turnover Ratio

Highest at 37,962.75 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at JPY 37,962.75 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 107.5%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for KATITAS Co., Ltd.

Interest

At JPY 138 MM has Grown at 20%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 2,945.65

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Inventory Turnover Ratio

Lowest at 1.63 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Interest

Highest at JPY 138 MM

in the last five periods and Increased by 20% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 34.44 %

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

Raw Material Cost

Grown by 8.65% (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