Koei Chemical Co., Ltd. (4367) 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

Soken Chemical & Engineering Co., Ltd.

Daiichi Kigenso Kagaku Kogyo Co., Ltd.

Yushiro Chemical Industry Co., Ltd.

Tigers Polymer Corp.

Nippon Fine Chemical Co., Ltd.

Taki Chemical Co., Ltd.

Nippon Chemical Industrial Co., Ltd.

Hodogaya Chemical Co., Ltd.

Seiko PMC Corp.

Moriroku Holdings Co., Ltd.

Koei Chemical Co., Ltd.

Why is Koei Chemical Co., Ltd. ?

Weak Long Term Fundamental Strength with a -20.86% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 3.71% signifying low profitability per unit of shareholders funds
INTEREST(HY) At JPY 57 MM has Grown at 29.55%
NET SALES(Q) At JPY 3,610.57 MM has Fallen at -26.82%
NET PROFIT(HY) At JPY 220 MM has Grown at -29.94%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -9.79%, its profits have fallen by -3.8%

Underperformed the market in the last 1 year

Even though the market (Japan Nikkei 225) has generated returns of 38.94% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -9.79% returns

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 Chemicals & Petrochemicals)

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

Is Koei Chemical Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Koei Chemical Co., Ltd.

-9.79%

-0.08

20.87%

Japan Nikkei 225

38.94%

1.38

28.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.56%

EBIT Growth (5y)

-20.86%

EBIT to Interest (avg)

36.37

Debt to EBITDA (avg)

2.09

Net Debt to Equity (avg)

0.29

Sales to Capital Employed (avg)

0.65

Tax Ratio

13.65%

Dividend Payout Ratio

169.60%

Pledged Shares

Institutional Holding

ROCE (avg)

2.78%

ROE (avg)

3.71%

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

0.51

EV to EBIT

29.97

EV to EBITDA

4.79

EV to Capital Employed

0.62

EV to Sales

0.86

PEG Ratio

Dividend Yield

ROCE (Latest)

2.07%

ROE (Latest)

1.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bullish

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

RAW MATERIAL COST(Y)

Fallen by -35.92% (YoY

OPERATING PROFIT MARGIN(Q)

Highest at 27.03 %

PRE-TAX PROFIT(Q)

Highest at JPY 277.15 MM

NET PROFIT(Q)

Highest at JPY 191.15 MM

EPS(Q)

Highest at JPY 39.08

-28What is not working for the Company

INTEREST(HY)

At JPY 57 MM has Grown at 29.55%

NET SALES(Q)

At JPY 3,610.57 MM has Fallen at -26.82%

NET PROFIT(HY)

At JPY 220 MM has Grown at -29.94%

CASH AND EQV(HY)

Lowest at JPY 1,020.21 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.12 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.15 times

Here's what is working for Koei Chemical Co., Ltd.

Operating Profit Margin

Highest at 27.03 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 277.15 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 191.15 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 39.08

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -35.92% (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 Koei Chemical Co., Ltd.

Interest

At JPY 57 MM has Grown at 29.55%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 3,610.57 MM has Fallen at -26.82%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Cash and Eqv

Lowest at JPY 1,020.21 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 1.12 times

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 4.15 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio