Matsuya R&D Co. Ltd. (7317) 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

T. RAD Co., Ltd.

Alpha Corp. (Yokohama)

Chuo Spring Co., Ltd.

Mikuni Corp.

Matsuya R&D Co. Ltd.

Akebono Brake Industry Co., Ltd.

Imasen Electric Industrial Co., Ltd.

SUNCALL CORP.

Kyowa Leather Cloth Co., Ltd.

F-Tech, Inc.

Okada Aiyon Corp.

Why is Matsuya R&D Co. Ltd. ?

High Management Efficiency with a high ROE of 16.24%

Company has a low Debt to Equity ratio (avg) at times

The company has declared Positive results for the last 8 consecutive quarters

DEBT-EQUITY RATIO (HY) Lowest at -22.99 %
INVENTORY TURNOVER RATIO(HY) Highest at 3.48 times
OPERATING PROFIT(Q) Highest at JPY 689.41 MM

With ROE of 22.67%, it has a attractive valuation with a 2.06 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 60.53%, its profits have risen by 62% ; the PEG ratio of the company is 0.2

Market Beating Performance

The stock has generated a return of 60.53% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Matsuya R&D Co. Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Matsuya R&D Co. Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Matsuya R&D Co. Ltd.

60.53%

2.37

27.20%

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)

-2.07%

EBIT Growth (5y)

23.60%

EBIT to Interest (avg)

29.91

Debt to EBITDA (avg)

0.21

Net Debt to Equity (avg)

-0.26

Sales to Capital Employed (avg)

1.08

Tax Ratio

23.92%

Dividend Payout Ratio

13.63%

Pledged Shares

Institutional Holding

ROCE (avg)

23.80%

ROE (avg)

16.24%

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

2.06

EV to EBIT

6.40

EV to EBITDA

5.83

EV to Capital Employed

2.42

EV to Sales

1.31

PEG Ratio

0.15

Dividend Yield

ROCE (Latest)

37.85%

ROE (Latest)

22.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

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

12What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -22.99 %

INVENTORY TURNOVER RATIO(HY)

Highest at 3.48 times

OPERATING PROFIT(Q)

Highest at JPY 689.41 MM

PRE-TAX PROFIT(Q)

Highest at JPY 630.16 MM

RAW MATERIAL COST(Y)

Fallen by -13.09% (YoY

CASH AND EQV(HY)

Highest at JPY 8,193.96 MM

NET SALES(Q)

Highest at JPY 2,732.59 MM

-9What is not working for the Company

INTEREST(HY)

At JPY 17.22 MM has Grown at 21.62%

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.37 times

EPS(Q)

Lowest at JPY 17.12

Here's what is working for Matsuya R&D Co. Ltd.

Operating Profit

Highest at JPY 689.41 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 630.16 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)

Debt-Equity Ratio

Lowest at -22.99 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 3.48 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

Net Sales

Highest at JPY 2,732.59 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 2,732.59 MM has Grown at 19.14%

over average net sales of the previous four periods of JPY 2,293.6 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 8,193.96 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -13.09% (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 Matsuya R&D Co. Ltd.

Interest

At JPY 17.22 MM has Grown at 21.62%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

EPS

Lowest at JPY 17.12

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Lowest at 5.37 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio