Kuroda Precision Industries Ltd. (7726) 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

Daido Metal Co., Ltd.

Mitsubishi Steel Mfg. Co., Ltd.

TOKYO ROPE MFG. CO., LTD.

Araya Industrial Co., Ltd.

Shinwa Co., Ltd. (Gifu)

Kuroda Precision Industries Ltd.

Maezawa Kyuso Industries Co., Ltd.

KOMAIHALTEC Inc.

Yamashina Corp.

Nippon Seisen Co., Ltd.

Ishii Iron Works Co., Ltd.

Why is Kuroda Precision Industries Ltd. ?

Weak Long Term Fundamental Strength with a -211.25% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 5.89% signifying low profitability per unit of shareholders funds

Poor long term growth as Operating profit has grown by an annual rate -211.25% of over the last 5 years

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 46.92%, its profits have fallen by -99.9%

Underperformed the market in the last 1 year

The stock has generated a return of 46.92% 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 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 Industrial Manufacturing)

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

Is Kuroda Precision Industries Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kuroda Precision Industries Ltd.

-100.0%

0.03

41.58%

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)

7.00%

EBIT Growth (5y)

-211.25%

EBIT to Interest (avg)

8.62

Debt to EBITDA (avg)

1.78

Net Debt to Equity (avg)

0.29

Sales to Capital Employed (avg)

1.01

Tax Ratio

35.18%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

6.19%

ROE (avg)

5.89%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

4819

Industry P/E

Price to Book Value

0.67

EV to EBIT

-80.85

EV to EBITDA

12.26

EV to Capital Employed

0.77

EV to Sales

0.68

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.95%

ROE (Latest)

0.01%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

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

27What is working for the Company

PRE-TAX PROFIT(Q)

At JPY 191.31 MM has Grown at 1,222.5%

INVENTORY TURNOVER RATIO(HY)

Highest at 3.39 times

NET SALES(Q)

Highest at JPY 5,799.47 MM

OPERATING PROFIT(Q)

Highest at JPY 544.19 MM

OPERATING PROFIT MARGIN(Q)

Highest at 9.38 %

NET PROFIT(Q)

Highest at JPY 314.21 MM

-15What is not working for the Company

ROCE(HY)

Lowest at -0.85%

DEBT-EQUITY RATIO (HY)

Highest at 62.97 %

DIVIDEND PER SHARE(HY)

Lowest at JPY 3.95

INTEREST(Q)

Highest at JPY 99.32 MM

Here's what is working for Kuroda Precision Industries Ltd.

Pre-Tax Profit

At JPY 191.31 MM has Grown at 1,222.5%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 314.21 MM has Grown at 1,403.28%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Net Sales

Highest at JPY 5,799.47 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 5,799.47 MM has Grown at 25.75%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 544.19 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 9.38 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Net Profit

Highest at JPY 314.21 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Inventory Turnover Ratio

Highest at 3.39 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Kuroda Precision Industries Ltd.

Interest

At JPY 99.32 MM has Grown at 134.47%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 99.32 MM

in the last five periods and Increased by 134.47% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 62.97 %

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

Dividend per share

Lowest at JPY 3.95

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (JPY)