Macnica Holdings, Inc. (3132) 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

Macnica Holdings, Inc.

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Why is Macnica Holdings, Inc. ?

Strong Long Term Fundamental Strength with a 16.14% CAGR growth in Operating Profits

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 51.75
The company has been able to generate a Return on Capital Employed (avg) of 17.46% signifying high profitability per unit of total capital (equity and debt)

With a growth in Net Sales of 20.67%, the company declared Very Positive results in Jun 26

The company has declared positive results for the last 2 consecutive quarters
INVENTORY TURNOVER RATIO(HY) Highest at 4.76 times
NET SALES(Q) Highest at JPY 393,443 MM
OPERATING PROFIT(Q) Highest at JPY 17,580 MM

With ROE of 8.15%, it has a expensive valuation with a 2.15 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 71.37%, its profits have fallen by -36%

Market Beating Performance

The stock has generated a return of 71.37% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 59.79%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Macnica Holdings, Inc. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Trading & Distributors)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Macnica Holdings, Inc. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Macnica Holdings, Inc.

68.44%

1.40

45.07%

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)

16.44%

EBIT Growth (5y)

16.14%

EBIT to Interest (avg)

42.97

Debt to EBITDA (avg)

0.85

Net Debt to Equity (avg)

0.11

Sales to Capital Employed (avg)

3.35

Tax Ratio

26.12%

Dividend Payout Ratio

45.01%

Pledged Shares

Institutional Holding

ROCE (avg)

17.73%

ROE (avg)

15.05%

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

2.15

EV to EBIT

17.30

EV to EBITDA

15.35

EV to Capital Employed

2.06

EV to Sales

0.53

PEG Ratio

Dividend Yield

ROCE (Latest)

11.88%

ROE (Latest)

8.14%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

Bullish

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

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

29What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 4.76 times

NET SALES(Q)

Highest at JPY 393,443 MM

OPERATING PROFIT(Q)

Highest at JPY 17,580 MM

PRE-TAX PROFIT(Q)

Highest at JPY 16,243 MM

NET PROFIT(Q)

Highest at JPY 10,936.13 MM

RAW MATERIAL COST(Y)

Fallen by -4.76% (YoY

CASH AND EQV(HY)

Highest at JPY 109,546 MM

EPS(Q)

Highest at JPY 61.2

-15What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at JPY -15,159 MM

DEBT-EQUITY RATIO (HY)

Highest at 16.38 %

INTEREST(Q)

Highest at JPY 865 MM

Here's what is working for Macnica Holdings, Inc.

Net Sales

Highest at JPY 393,443 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 393,443 MM has Grown at 29.61%

over average net sales of the previous four periods of JPY 303,549 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 17,580 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 16,243 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 10,936.13 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Inventory Turnover Ratio

Highest at 4.76 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Pre-Tax Profit

At JPY 16,243 MM has Grown at 68.54%

over average net sales of the previous four periods of JPY 9,637.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 10,936.13 MM has Grown at 57.73%

over average net sales of the previous four periods of JPY 6,933.51 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 61.2

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 109,546 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -4.76% (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 Macnica Holdings, Inc.

Operating Cash Flow

Lowest at JPY -15,159 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (JPY MM)

Interest

At JPY 865 MM has Grown at 14.57%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 865 MM

in the last five periods and Increased by 14.57% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 16.38 %

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