Kensoh Co., Ltd. (7939) 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

Lovable Marketing Group, Inc.

Eole, Inc.

Kensoh Co., Ltd.

Nissen, Inc.

Medical Net, Inc.

Rentracks Co., Ltd.

Gendai Agency, Inc.

Aidma Marketing Communication Corp.

Axel Mark, Inc.

eMnet Japan Co. Ltd.

Allied Architects, Inc.

Why is Kensoh Co., Ltd. ?

Weak Long Term Fundamental Strength with a 1.25% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Net Sales has grown by an annual rate of 3.47% and Operating profit at 1.25% over the last 5 years

With a growth in Net Profit of 100.83%, the company declared Very Positive results in Jun 26

The company has declared positive results for the last 2 consecutive quarters
ROCE(HY) Highest at 6.81%
DEBTORS TURNOVER RATIO(HY) Highest at 4.91 times
RAW MATERIAL COST(Y) Fallen by -3.59% (YoY)

With ROCE of 5.80%, 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 5.45%, its profits have fallen by -10.2%
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

The stock has generated a return of 5.45% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Kensoh Co., Ltd. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is Kensoh Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kensoh Co., Ltd.

5.79%

0.82

18.80%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.47%

EBIT Growth (5y)

1.25%

EBIT to Interest (avg)

29.31

Debt to EBITDA (avg)

1.74

Net Debt to Equity (avg)

0.25

Sales to Capital Employed (avg)

1.28

Tax Ratio

26.78%

Dividend Payout Ratio

40.32%

Pledged Shares

Institutional Holding

ROCE (avg)

7.38%

ROE (avg)

6.36%

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

0.72

EV to EBIT

13.24

EV to EBITDA

8.16

EV to Capital Employed

0.77

EV to Sales

0.49

PEG Ratio

Dividend Yield

ROCE (Latest)

5.80%

ROE (Latest)

5.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bullish

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

8What is working for the Company

ROCE(HY)

Highest at 6.81%

DEBTORS TURNOVER RATIO(HY)

Highest at 4.91 times

RAW MATERIAL COST(Y)

Fallen by -3.59% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 15.44 %

PRE-TAX PROFIT(Q)

At JPY 47.17 MM has Grown at 105.8%

NET PROFIT(Q)

At JPY 31.38 MM has Grown at 105.37%

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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

Debtors Turnover Ratio

Highest at 4.91 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

Pre-Tax Profit

At JPY 47.17 MM has Grown at 105.8%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 31.38 MM has Grown at 105.37%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Debt-Equity Ratio

Lowest at 15.44 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -3.59% (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