Kikukawa Enterprise, Inc. (6346) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Kitagawa Seiki Co., Ltd.

Suido Kiko Kaisha, Ltd.

Tomita Co., Ltd.

Seiwa Electric Mfg. Co., Ltd

OKUMURA ENGINEERING Corp.

MK Seiko Co., Ltd.

Kikukawa Enterprise, Inc.

Sukegawa Electric Co., Ltd.

Fuji Seiko Ltd.

Miyairi Valve Mfg. Co., Ltd.

Takamatsu Machinery Co., Ltd.

Why is Kikukawa Enterprise, Inc. ?

Company has very low debt and has enough cash to service the debt requirements

Poor long term growth as Net Sales has grown by an annual rate of 2.38% and Operating profit at 9.33% over the last 5 years

The company has declared negative results in Mar'2025 after 2 consecutive positive quarters

NET SALES(Q) At JPY 833.73 MM has Fallen at -39.73%
PRE-TAX PROFIT(Q) At JPY 88.03 MM has Fallen at -67.59%
NET PROFIT(Q) At JPY 62.52 MM has Fallen at -68.03%

With ROE of 6.37%, it has a very attractive valuation with a 0.60 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 16.41%, its profits have risen by 26.4% ; the PEG ratio of the company is 0.4
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 16.41% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 29.35%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Kikukawa Enterprise, Inc. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Kikukawa Enterprise, Inc. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Kikukawa Enterprise, Inc.

19.2%

1.06

26.50%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.38%

EBIT Growth (5y)

9.33%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.65

Sales to Capital Employed (avg)

0.43

Tax Ratio

28.19%

Dividend Payout Ratio

29.32%

Pledged Shares

Institutional Holding

ROCE (avg)

19.35%

ROE (avg)

4.78%

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

0.60

EV to EBIT

-0.59

EV to EBITDA

-0.54

EV to Capital Employed

-0.14

EV to Sales

-0.11

PEG Ratio

0.36

Dividend Yield

0.01%

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

6.37%

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

Mildly Bearish

Bullish

Dow Theory

Bearish

No Trend

OBV

No Trend

Mildly Bearish

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 9.4%

-11What is not working for the Company

NET SALES(Q)

At JPY 833.73 MM has Fallen at -39.73%

PRE-TAX PROFIT(Q)

At JPY 88.03 MM has Fallen at -67.59%

NET PROFIT(Q)

At JPY 62.52 MM has Fallen at -68.03%

RAW MATERIAL COST(Y)

Grown by 13.61% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -69.93 %

Here's what is working for Kikukawa Enterprise, Inc.

Debtors Turnover Ratio

Highest at 9.4%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Kikukawa Enterprise, Inc.

Net Sales

At JPY 833.73 MM has Fallen at -39.73%

over average net sales of the previous four periods of JPY 1,383.43 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 88.03 MM has Fallen at -67.59%

over average net sales of the previous four periods of JPY 271.64 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 62.52 MM has Fallen at -68.03%

over average net sales of the previous four periods of JPY 195.56 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Debt-Equity Ratio

Highest at -69.93 %

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 13.61% (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

Non Operating Income

Highest at JPY 0.39 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income