Medikit Co., Ltd. (7749) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Jins Holdings, Inc.

Eiken Chemical Co., Ltd.

JEOL Ltd.

Fukuda Denshi Co., Ltd.

Japan Lifeline Co., Ltd.

Mani, Inc.

Medikit Co., Ltd.

PHC Holdings Corp.

Menicon Co., Ltd.

Hogy Medical Co., Ltd.

Takara Bio, Inc.

Why is Medikit Co., Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Poor long term growth as Net Sales has grown by an annual rate of 2.54% and Operating profit at 0.74% over the last 5 years

Flat results in Jun 25

DEBT-EQUITY RATIO (HY) Highest at -48.75 %
CASH AND EQV(HY) Lowest at JPY 44,911.18 MM
INVENTORY TURNOVER RATIO(HY) Lowest at 3.19%

With ROE of 6.67%, it has a very attractive valuation with a 0.87 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 1.50%, its profits have fallen by -0.3% ; the PEG ratio of the company is 1.1

Underperformed the market in the last 1 year

The stock has generated a return of 1.50% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Medikit Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Medikit Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Medikit Co., Ltd.

1.5%

-0.12

16.76%

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)

2.54%

EBIT Growth (5y)

0.74%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.51

Sales to Capital Employed (avg)

0.49

Tax Ratio

35.33%

Dividend Payout Ratio

44.00%

Pledged Shares

Institutional Holding

0.14%

ROCE (avg)

24.12%

ROE (avg)

6.42%

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

0.87

EV to EBIT

3.65

EV to EBITDA

2.65

EV to Capital Employed

0.74

EV to Sales

0.73

PEG Ratio

1.06

Dividend Yield

ROCE (Latest)

20.30%

ROE (Latest)

6.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

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

4What is working for the Company

ROCE(HY)

Highest at 6.78%

RAW MATERIAL COST(Y)

Fallen by 0.97% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 4.42%

-14What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -48.75 %

CASH AND EQV(HY)

Lowest at JPY 44,911.18 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.19%

INTEREST(Q)

Highest at JPY 1.9 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 24.53 %

NET PROFIT(Q)

Lowest at JPY 392.21 MM

EPS(Q)

Lowest at JPY 26.83

Here's what is working for Medikit Co., Ltd.

Debtors Turnover Ratio

Highest at 4.42%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by 0.97% (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 Medikit Co., Ltd.

Interest

At JPY 1.9 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -48.75 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Interest

Highest at JPY 1.9 MM

in the last five periods and Increased by inf% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit Margin

Lowest at 24.53 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at JPY 392.21 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 26.83

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Cash and Eqv

Lowest at JPY 44,911.18 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 3.19%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio