Medley, Inc. (4480) 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

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Medley, Inc.

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AEON DELIGHT CO., LTD.

Why is Medley, Inc. ?

The company has declared negative results for the last 7 consecutive quarters

ROCE(HY) Lowest at 6.26%
DEBT-EQUITY RATIO (HY) Highest at 69.19 %
RAW MATERIAL COST(Y) Grown by 7.2% (YoY)

With ROE of 6.76%, it has a very expensive valuation with a 4.06 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 -25.81%, its profits have fallen by -64%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -25.81% 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 sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Medley, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Medley, Inc.

-28.48%

-0.77

49.29%

Japan Nikkei 225

77.31%

2.95

26.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

40.04%

EBIT Growth (5y)

40.77%

EBIT to Interest (avg)

95.71

Debt to EBITDA (avg)

0.29

Net Debt to Equity (avg)

0.31

Sales to Capital Employed (avg)

0.95

Tax Ratio

37.97%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

26.21%

ROE (avg)

9.23%

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

4.06

EV to EBIT

31.47

EV to EBITDA

14.68

EV to Capital Employed

3.03

EV to Sales

1.84

PEG Ratio

Dividend Yield

ROCE (Latest)

9.64%

ROE (Latest)

6.76%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

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

6What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 45.25 times

NET SALES(Q)

At JPY 10,189 MM has Grown at 25.17%

-33What is not working for the Company

ROCE(HY)

Lowest at 6.26%

DEBT-EQUITY RATIO (HY)

Highest at 69.19 %

RAW MATERIAL COST(Y)

Grown by 7.2% (YoY

CASH AND EQV(HY)

Lowest at JPY 19,569 MM

INTEREST(Q)

Highest at JPY 50 MM

PRE-TAX PROFIT(Q)

Lowest at JPY 62 MM

NET PROFIT(Q)

Lowest at JPY -299.46 MM

Here's what is working for Medley, Inc.

Net Sales

At JPY 10,189 MM has Grown at 25.17%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Inventory Turnover Ratio

Highest at 45.25 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Medley, Inc.

Pre-Tax Profit

At JPY 62 MM has Fallen at -61.01%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -299.46 MM has Fallen at -421.92%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 50 MM has Grown at 21.95%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 69.19 % 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 50 MM

in the last five periods and Increased by 21.95% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY 62 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -299.46 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Cash and Eqv

Lowest at JPY 19,569 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 7.2% (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

Non Operating Income

Highest at JPY 13.85 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income