ScoreWhy is Kyokuto Kaihatsu Kogyo Co., Ltd. ?
1
Company has very low debt and has enough cash to service the debt requirements
2
Poor long term growth as Net Sales has grown by an annual rate of 3.17% and Operating profit at -4.76% over the last 5 years
3
Flat results in Dec 25
- DEBT-EQUITY RATIO (HY) Highest at 19.71 %
- CASH AND EQV(HY) Lowest at JPY 36,102 MM
- INVENTORY TURNOVER RATIO(HY) Lowest at 3.82 times
4
With ROE of 5.10%, it has a very attractive valuation with a 0.91 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 18.92%, its profits have risen by 61.9% ; the PEG ratio of the company is 0.3
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- The stock has generated a return of 18.92% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Kyokuto Kaihatsu Kogyo Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Kyokuto Kaihatsu Kogyo Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Kyokuto Kaihatsu Kogyo Co., Ltd.
18.92%
0.81
26.18%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.17%
EBIT Growth (5y)
-4.76%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0.17
Net Debt to Equity (avg)
0.08
Sales to Capital Employed (avg)
0.99
Tax Ratio
32.95%
Dividend Payout Ratio
104.14%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
6.23%
ROE (avg)
6.27%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
Price to Book Value
0.91
EV to EBIT
17.19
EV to EBITDA
10.46
EV to Capital Employed
0.91
EV to Sales
0.81
PEG Ratio
0.29
Dividend Yield
0.02%
ROCE (Latest)
5.31%
ROE (Latest)
5.10%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Bullish
OBV
No Trend
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
PRE-TAX PROFIT(Q)
At JPY 3,758 MM has Grown at 194.05%
NET PROFIT(Q)
At JPY 2,192.23 MM has Grown at 213.22%
RAW MATERIAL COST(Y)
Fallen by -5.35% (YoY
NET SALES(Q)
At JPY 38,501 MM has Grown at 17.97%
-13What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at 19.71 %
CASH AND EQV(HY)
Lowest at JPY 36,102 MM
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.82 times
INTEREST(Q)
Highest at JPY 114 MM
Here's what is working for Kyokuto Kaihatsu Kogyo Co., Ltd.
Pre-Tax Profit
At JPY 3,758 MM has Grown at 194.05%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 2,192.23 MM has Grown at 213.22%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Net Sales
At JPY 38,501 MM has Grown at 17.97%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Raw Material Cost
Fallen by -5.35% (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 Kyokuto Kaihatsu Kogyo Co., Ltd.
Debt-Equity Ratio
Highest at 19.71 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
Highest at JPY 114 MM
in the last five periods and Increased by 8.57% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Cash and Eqv
Lowest at JPY 36,102 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Inventory Turnover Ratio
Lowest at 3.82 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
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