Magmag, Inc. (4059) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Baby Calendar, Inc.

Mercury Realtech Innovator, Inc.

fonfun Corp.

Magmag, Inc.

Geocode Co., Ltd.

OKWAVE, Inc.

I-Freek Mobile, Inc.

VALUE GOLF Inc.

Twenty-four seven, Inc.

Fujisan Magazine Service Co., Ltd.

GaiaX Co., Ltd.

Why is Magmag, Inc. ?

Poor Management Efficiency with a low ROE of 1.05%

The company has been able to generate a Return on Equity (avg) of 1.05% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -10.63% and Operating profit at -48.22% over the last 5 years

The company has declared positive results for the last 5 consecutive quarters

NET PROFIT(HY) Higher at JPY 7.18 MM
RAW MATERIAL COST(Y) Fallen by -23.73% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at -102.5 %

With ROE of 1.02%, it has a risky valuation with a 1.75 Price to Book Value

Over the past year, while the stock has generated a return of -1.09%, its profits have risen by 121.6% ; the PEG ratio of the company is 1.4

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -1.09% 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 Magmag, Inc. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is Magmag, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Magmag, Inc.

-1.09%

-0.30

51.10%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-10.63%

EBIT Growth (5y)

-48.22%

EBIT to Interest (avg)

-3.68

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-1.02

Sales to Capital Employed (avg)

0.50

Tax Ratio

1.11%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

13.49%

ROE (avg)

1.05%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

172

Industry P/E

Price to Book Value

1.75

EV to EBIT

65.36

EV to EBITDA

54.56

EV to Capital Employed

-33.24

EV to Sales

1.33

PEG Ratio

1.42

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

1.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

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

11What is working for the Company

NET PROFIT(HY)

Higher at JPY 7.18 MM

RAW MATERIAL COST(Y)

Fallen by -23.73% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -102.5 %

-10What is not working for the Company

NET SALES(Q)

Lowest at JPY 97.03 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.95%

PRE-TAX PROFIT(Q)

At JPY 1.5 MM has Fallen at -35.27%

NET PROFIT(Q)

At JPY 1.26 MM has Fallen at -38.95%

Here's what is working for Magmag, Inc.

Debt-Equity Ratio

Lowest at -102.5 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -23.73% (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 Magmag, Inc.

Net Sales

At JPY 97.03 MM has Fallen at -12.81%

over average net sales of the previous four periods of JPY 111.28 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Net Sales

Lowest at JPY 97.03 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 1.5 MM has Fallen at -35.27%

over average net sales of the previous four periods of JPY 2.32 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 1.26 MM has Fallen at -38.95%

over average net sales of the previous four periods of JPY 2.07 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Debtors Turnover Ratio

Lowest at 4.95%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio