Koken Boring Machine Co., Ltd. (6297) 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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Japan Engine Corp.

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Sanoyas Holdings Corp.

Takakita Co., Ltd.

Eiken Industries Co., Ltd.

Koken Boring Machine Co., Ltd.

Why is Koken Boring Machine Co., Ltd. ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.13 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.13 times

High Debt company with Weak Long Term Fundamental Strength

Negative results in Jun 25

NET SALES(Q) At JPY 2,085.65 MM has Fallen at -21.38%
NET PROFIT(Q) At JPY -63.19 MM has Fallen at -157.44%
INTEREST(Q) Highest at JPY 29.55 MM

With ROCE of 7.37%, it has a very 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 59.12%, its profits have risen by 50.9% ; the PEG ratio of the company is 0.2

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 Automobiles)

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

Is Koken Boring Machine Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Koken Boring Machine Co., Ltd.

-100.0%

1.09

37.21%

Japan Nikkei 225

85.83%

1.16

25.78%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.90%

EBIT Growth (5y)

9.46%

EBIT to Interest (avg)

9.15

Debt to EBITDA (avg)

4.13

Net Debt to Equity (avg)

0.66

Sales to Capital Employed (avg)

0.92

Tax Ratio

21.45%

Dividend Payout Ratio

27.84%

Pledged Shares

Institutional Holding

ROCE (avg)

5.46%

ROE (avg)

8.57%

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

0.90

EV to EBIT

12.79

EV to EBITDA

8.77

EV to Capital Employed

0.94

EV to Sales

0.79

PEG Ratio

0.22

Dividend Yield

ROCE (Latest)

7.37%

ROE (Latest)

8.23%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Sideways

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

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

Not enough Data to analyse Financial Trend

Here's what is working for Koken Boring Machine Co., Ltd.

Cash and Eqv

Highest at JPY 4,129.29 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 63.43 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 2.2%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 4.17%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at JPY 80.22 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Koken Boring Machine Co., Ltd.

Net Sales

At JPY 2,085.65 MM has Fallen at -21.38%

over average net sales of the previous four periods of JPY 2,652.82 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY -104.32 MM has Fallen at -174.23%

over average net sales of the previous four periods of JPY 140.54 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -63.19 MM has Fallen at -157.44%

over average net sales of the previous four periods of JPY 110.02 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 29.55 MM has Grown at 18.7%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 29.55 MM

in the last five periods and Increased by 18.7% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY -104.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

EPS

Lowest at JPY -14.53

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)