Kobe Electric Railway Co. Ltd. (9046) 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

Chichibu Railway Co., Ltd.

West Japan Railway Co.

Kyushu Railway Co.

Keikyu Corp.

Tobu Railway Co., Ltd.

Keisei Electric Railway Co., Ltd.

Odakyu Electric Railway Co., Ltd.

East Japan Railway Co.

Kobe Electric Railway Co. Ltd.

Keihan Holdings Co., Ltd.

Why is Kobe Electric Railway Co. Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 1.79%

Poor long term growth as Net Sales has grown by an annual rate of -0.55% and Operating profit at -0.75% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

The company declared very negative results in Mar'25 after flat results in Dec'24

INTEREST(HY) At JPY 321 MM has Grown at 11.85%
NET PROFIT(HY) At JPY 498 MM has Grown at -30.71%
INVENTORY TURNOVER RATIO(HY) Lowest at 19.47%

With ROCE of 2.61%, it has a attractive valuation with a 0.94 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 3.97%, its profits have fallen by -0.2%
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 3.97% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%

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 Construction)

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

Is Kobe Electric Railway Co. Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kobe Electric Railway Co. Ltd.

3.97%

-0.57

21.18%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.55%

EBIT Growth (5y)

-0.75%

EBIT to Interest (avg)

2.40

Debt to EBITDA (avg)

15.54

Net Debt to Equity (avg)

2.27

Sales to Capital Employed (avg)

0.28

Tax Ratio

27.63%

Dividend Payout Ratio

13.94%

Pledged Shares

Institutional Holding

ROCE (avg)

1.78%

ROE (avg)

3.07%

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

0.79

EV to EBIT

35.86

EV to EBITDA

17.08

EV to Capital Employed

0.94

EV to Sales

3.25

PEG Ratio

Dividend Yield

0.02%

ROCE (Latest)

2.61%

ROE (Latest)

4.37%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

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

7What is working for the Company

ROCE(HY)

Highest at 5.02%

RAW MATERIAL COST(Y)

Fallen by -7.84% (YoY

NET SALES(Q)

Highest at JPY 5,782 MM

OPERATING PROFIT(Q)

Highest at JPY 1,522 MM

OPERATING PROFIT MARGIN(Q)

Highest at 26.32 %

EPS(Q)

Highest at JPY 73.05

-11What is not working for the Company

INTEREST(HY)

At JPY 321 MM has Grown at 11.85%

NET PROFIT(HY)

At JPY 498 MM has Grown at -30.71%

INVENTORY TURNOVER RATIO(HY)

Lowest at 19.47%

DEBTORS TURNOVER RATIO(HY)

Lowest at 15.87%

PRE-TAX PROFIT(Q)

Fallen at -30.36%

Here's what is working for Kobe Electric Railway Co. Ltd.

Net Sales

Highest at JPY 5,782 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 1,522 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 26.32 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

EPS

Highest at JPY 73.05

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -7.84% (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

Here's what is not working for Kobe Electric Railway Co. Ltd.

Interest

At JPY 321 MM has Grown at 11.85%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 498 MM has Grown at -30.71%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Pre-Tax Profit

Fallen at -30.36%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Inventory Turnover Ratio

Lowest at 19.47%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 15.87%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio