Mainichi Comnet Co., Ltd. (8908) 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

FaithNetwork Co., Ltd.

Ascot Corp.

Akatsuki Corp.

Robot Home, Inc.

Star Mica Holdings Co., Ltd.

Tenpo Innovation Co., Ltd.

B-Lot Co. Ltd.

Japan Property Management Center Co., Ltd.

Mainichi Comnet Co., Ltd.

Global Link Management, Inc.

&Do Holdings Co., Ltd.

Why is Mainichi Comnet Co., Ltd. ?

High Management Efficiency with a high ROCE of 11.86%

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 2.42% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 2.42% of over the last 5 years

Flat results in Nov 25

INTEREST(HY) At JPY 109.66 MM has Grown at 41.71%
NET SALES(Q) At JPY 4,614.93 MM has Fallen at -18.37%
PRE-TAX PROFIT(Q) At JPY 172.11 MM has Fallen at -72.73%

With ROE of 12.53%, it has a very attractive valuation with a 1.13 Price to Book Value

Over the past year, while the stock has generated a return of 6.47%, its profits have risen by 7% ; the PEG ratio of the company is 1.2

Underperformed the market in the last 1 year

The stock has generated a return of 6.47% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Mainichi Comnet Co., Ltd. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

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

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

Is Mainichi Comnet Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Mainichi Comnet Co., Ltd.

6.47%

0.58

19.30%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.60%

EBIT Growth (5y)

2.42%

EBIT to Interest (avg)

15.42

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

32.37%

Dividend Payout Ratio

35.25%

Pledged Shares

Institutional Holding

ROCE (avg)

11.98%

ROE (avg)

12.43%

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

1.13

EV to EBIT

8.91

EV to EBITDA

6.73

EV to Capital Employed

1.08

EV to Sales

0.98

PEG Ratio

1.21

Dividend Yield

ROCE (Latest)

12.11%

ROE (Latest)

12.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Mildly 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

11What is working for the Company

NET PROFIT(HY)

At JPY 293.38 MM has Grown at 137.09%

NET SALES(9M)

At JPY 17,577.4 MM has Grown at 17.27%

ROCE(HY)

Highest at 14.29%

RAW MATERIAL COST(Y)

Fallen by -5.1% (YoY

CASH AND EQV(HY)

Highest at JPY 15,599.02 MM

DIVIDEND PER SHARE(HY)

Highest at JPY 67.57

-17What is not working for the Company

INTEREST(HY)

At JPY 109.66 MM has Grown at 41.71%

NET SALES(Q)

At JPY 4,614.93 MM has Fallen at -18.37%

PRE-TAX PROFIT(Q)

At JPY 172.11 MM has Fallen at -72.73%

NET PROFIT(Q)

At JPY 117.92 MM has Fallen at -72.12%

Here's what is working for Mainichi Comnet Co., Ltd.

Cash and Eqv

Highest at JPY 15,599.02 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at JPY 67.57

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -5.1% (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 Mainichi Comnet Co., Ltd.

Interest

At JPY 109.66 MM has Grown at 41.71%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 4,614.93 MM has Fallen at -18.37%

over average net sales of the previous four periods of JPY 5,653.48 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 172.11 MM has Fallen at -72.73%

over average net sales of the previous four periods of JPY 631.21 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 117.92 MM has Fallen at -72.12%

over average net sales of the previous four periods of JPY 422.95 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)