MEGMILK SNOW BRAND Co., Ltd. (2270) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Nissui Corp.

Itoham Yonekyu Holdings, Inc.

Morinaga Milk Industry Co., Ltd.

Maruha Nichiro Corp.

Marudai Food Co., Ltd.

Starzen Co., Ltd.

Prima Meat Packers, Ltd.

Yakult Honsha Co., Ltd.

NH Foods Ltd.

MEGMILK SNOW BRAND Co., Ltd.

Ezaki Glico Co., Ltd.

Why is MEGMILK SNOW BRAND Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 0.08% and Operating profit at 1.22% over the last 5 years

Negative results in Jun 25

INTEREST(HY) At JPY 197 MM has Grown at 15.88%
CASH AND EQV(HY) Lowest at JPY 30,489 MM
INVENTORY TURNOVER RATIO(HY) Lowest at 7.82%

With ROCE of 6.94%, it has a very attractive valuation with a 0.81 Enterprise value to Capital Employed

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 11.85%, its profits have fallen by -27%

Underperformed the market in the last 1 year

The stock has generated a return of 11.85% 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 MEGMILK SNOW BRAND Co., Ltd. should be less than 10%
Overall Portfolio exposure to FMCG should be less than 30%

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

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.08%

EBIT Growth (5y)

1.22%

EBIT to Interest (avg)

46.71

Debt to EBITDA (avg)

1.18

Net Debt to Equity (avg)

0.13

Sales to Capital Employed (avg)

2.10

Tax Ratio

23.97%

Dividend Payout Ratio

48.56%

Pledged Shares

Institutional Holding

0.12%

ROCE (avg)

6.84%

ROE (avg)

6.89%

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

0.78

EV to EBIT

11.64

EV to EBITDA

6.09

EV to Capital Employed

0.81

EV to Sales

0.36

PEG Ratio

Dividend Yield

ROCE (Latest)

6.94%

ROE (Latest)

6.30%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly 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

7What is working for the Company

PRE-TAX PROFIT(Q)

Highest at JPY 12,575 MM

NET PROFIT(Q)

Highest at JPY 9,012.65 MM

EPS(Q)

Highest at JPY 137.32

-8What is not working for the Company

INTEREST(HY)

At JPY 197 MM has Grown at 15.88%

CASH AND EQV(HY)

Lowest at JPY 30,489 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 7.82%

Here's what is working for MEGMILK SNOW BRAND Co., Ltd.

Pre-Tax Profit

At JPY 12,575 MM has Grown at 152.07%

over average net sales of the previous four periods of JPY 4,988.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 9,012.65 MM has Grown at 136.67%

over average net sales of the previous four periods of JPY 3,808.15 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 12,575 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 9,012.65 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 137.32

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Here's what is not working for MEGMILK SNOW BRAND Co., Ltd.

Interest

At JPY 197 MM has Grown at 15.88%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 30,489 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 7.82%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio