Maeda Kosen Co., Ltd. (7821) 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

Nichiha Corp.

ASIA PILE HOLDINGS Corp.

Mitani Sekisan Co., Ltd.

Vertex Corp.

Maeda Kosen Co., Ltd.

TYK Corp.

Nippon Concrete Industries Co., Ltd.

Mitsui Matsushima Holdings Co., Ltd.

Sumitomo Osaka Cement Co., Ltd.

Nippon Hume Corp.

Taiheiyo Cement Corp.

Why is Maeda Kosen Co., Ltd. ?

High Management Efficiency with a high ROE of 12.30%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 87.38

Healthy long term growth as Net Sales has grown by an annual rate of 11.97% and Operating profit at 22.85%

Flat results in Mar 26

ROCE(HY) Lowest at 13.68%
INTEREST(Q) At JPY 20 MM has Grown at 17.65%
NET SALES(Q) At JPY 16,346 MM has Fallen at -5.9%

With ROE of 12.29%, it has a fair valuation with a 1.91 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 -7.75%, its profits have risen by 0.1% ; the PEG ratio of the company is 15.6

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -7.75% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Maeda Kosen Co., Ltd. should be less than 10%
Overall Portfolio exposure to Building Products should be less than 30%

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

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

Is Maeda Kosen Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Maeda Kosen Co., Ltd.

-7.75%

0.43

24.13%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.97%

EBIT Growth (5y)

22.85%

EBIT to Interest (avg)

87.38

Debt to EBITDA (avg)

0.12

Net Debt to Equity (avg)

-0.35

Sales to Capital Employed (avg)

0.90

Tax Ratio

29.31%

Dividend Payout Ratio

18.58%

Pledged Shares

Institutional Holding

ROCE (avg)

19.73%

ROE (avg)

12.30%

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

1.91

EV to EBIT

9.99

EV to EBITDA

7.71

EV to Capital Employed

2.28

EV to Sales

1.73

PEG Ratio

15.55

Dividend Yield

ROCE (Latest)

22.83%

ROE (Latest)

12.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

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

3What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 2.94 times

DEBTORS TURNOVER RATIO(HY)

Highest at 4.47 times

-6What is not working for the Company

ROCE(HY)

Lowest at 13.68%

INTEREST(Q)

At JPY 20 MM has Grown at 17.65%

NET SALES(Q)

At JPY 16,346 MM has Fallen at -5.9%

EPS(Q)

Lowest at JPY 27.05

Here's what is working for Maeda Kosen Co., Ltd.

Inventory Turnover Ratio

Highest at 2.94 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

Debtors Turnover Ratio

Highest at 4.47 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Maeda Kosen Co., Ltd.

Interest

At JPY 20 MM has Grown at 17.65%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 16,346 MM has Fallen at -5.9%

over average net sales of the previous four periods of JPY 17,370.5 MM

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

EPS

Lowest at JPY 27.05

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)