Why is Meiji Holdings Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -0.69% and Operating profit at -3.31% over the last 5 years
2
The company has declared negative results for the last 6 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at JPY 56,522 MM
- ROCE(HY) Lowest at 4.61%
- INTEREST COVERAGE RATIO(Q) Lowest at 7,345.67
3
With ROE of 7.26%, it has a very attractive valuation with a 1.50 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 20.38%, its profits have fallen by -3.2%
4
Underperformed the market in the last 1 year
- The stock has generated a return of 20.38% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.83%
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 FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Meiji Holdings Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Meiji Holdings Co., Ltd.
20.38%
0.36
19.08%
Japan Nikkei 225
85.83%
3.09
27.80%
Quality key factors
Factor
Value
Sales Growth (5y)
-0.69%
EBIT Growth (5y)
-3.31%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0.10
Net Debt to Equity (avg)
-0.04
Sales to Capital Employed (avg)
1.36
Tax Ratio
34.43%
Dividend Payout Ratio
53.74%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
12.69%
ROE (avg)
10.57%
Valuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
1.50
EV to EBIT
13.69
EV to EBITDA
8.46
EV to Capital Employed
1.46
EV to Sales
1.04
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
10.68%
ROE (Latest)
7.26%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
3What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -5.65% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 6.11 times
DIVIDEND PER SHARE(HY)
Highest at JPY 6.11
-33What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at JPY 56,522 MM
ROCE(HY)
Lowest at 4.61%
INTEREST COVERAGE RATIO(Q)
Lowest at 7,345.67
DIVIDEND PAYOUT RATIO(Y)
Lowest at 0%
DEBT-EQUITY RATIO
(HY)
Highest at 6.17 %
INTEREST(Q)
Highest at JPY 508 MM
NET PROFIT(Q)
Lowest at JPY -37,484.21 MM
EPS(Q)
Lowest at JPY -13.81
Here's what is working for Meiji Holdings Co., Ltd.
Debtors Turnover Ratio
Highest at 6.11 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Dividend per share
Highest at JPY 6.11
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (JPY)
Raw Material Cost
Fallen by -5.65% (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
Depreciation
Highest at JPY 14,074 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Meiji Holdings Co., Ltd.
Net Profit
At JPY -37,484.21 MM has Fallen at -569.36%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Operating Cash Flow
Lowest at JPY 56,522 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (JPY MM)
Interest
At JPY 508 MM has Grown at 206.02%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 7,345.67
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at JPY 508 MM
in the last five periods and Increased by 206.02% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Profit
Lowest at JPY -37,484.21 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
EPS
Lowest at JPY -13.81
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (JPY)
Debt-Equity Ratio
Highest at 6.17 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Dividend Payout Ratio
Lowest at 0%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)






