Marubeni Construction Material Lease Co. Ltd. (9763) 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

Ichinen Holdings Co. Ltd.

Japan Investment Adviser Co., Ltd.

Koyou Rentia Co., Ltd.

Gecoss Corp.

Takamiya Co., Ltd.

CTS Co., Ltd.

SBI ARUHI Corp.

Marubeni Construction Material Lease Co. Ltd.

Nippon Care Supply Co., Ltd.

Asax Co., Ltd.

Kyushu Leasing Service Co., Ltd.

Why is Marubeni Construction Material Lease Co. Ltd. ?

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

Poor long term growth as Net Sales has grown by an annual rate of 1.30% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 7.03% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 1.30% over the last 5 years

Flat results in Dec 25

INTEREST(HY) At JPY 42 MM has Grown at 121.05%
INVENTORY TURNOVER RATIO(HY) Lowest at 1.64 times
RAW MATERIAL COST(Y) Grown by 13.55% (YoY)

With ROE of 7.24%, it has a very attractive valuation with a 0.63 Price to Book Value

Over the past year, while the stock has generated a return of 48.77%, its profits have risen by 5% ; the PEG ratio of the company is 1.8

Consistent Returns over the last 3 years

Along with generating 48.77% returns in the last 1 year, the stock has outperformed 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 Marubeni Construction Material Lease Co. Ltd. should be less than 10%
Overall Portfolio exposure to Finance should be less than 30%

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

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

Is Marubeni Construction Material Lease Co. Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Marubeni Construction Material Lease Co. Ltd.

48.77%

1.67

27.23%

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)

1.30%

EBIT Growth (5y)

17.72%

EBIT to Interest (avg)

34.08

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

30.16%

Dividend Payout Ratio

36.47%

Pledged Shares

Institutional Holding

ROCE (avg)

5.66%

ROE (avg)

7.03%

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

0.63

EV to EBIT

11.13

EV to EBITDA

9.97

EV to Capital Employed

0.73

EV to Sales

0.74

PEG Ratio

1.80

Dividend Yield

0.02%

ROCE (Latest)

6.55%

ROE (Latest)

7.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Bullish

OBV

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

8What is working for the Company

ROCE(HY)

Highest at 7.93%

CASH AND EQV(HY)

Highest at JPY 5,155 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 3.47 times

NET SALES(Q)

Highest at JPY 6,791 MM

-11What is not working for the Company

INTEREST(HY)

At JPY 42 MM has Grown at 121.05%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.64 times

RAW MATERIAL COST(Y)

Grown by 13.55% (YoY

Here's what is working for Marubeni Construction Material Lease Co. Ltd.

Net Sales

Highest at JPY 6,791 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 6,791 MM has Grown at 11.59%

over average net sales of the previous four periods of JPY 6,085.75 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 5,155 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 3.47 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 Marubeni Construction Material Lease Co. Ltd.

Interest

At JPY 42 MM has Grown at 121.05%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 1.64 times and Fallen

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

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 13.55% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales