MIKIKOGYO CO., LTD. (1718) 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

Sonec Corp.

Tokura Corp.

Moriya Corp.

MIKIKOGYO CO., LTD.

SANKI SERVICE CORP.

Tenox Corp.

Founder's Consultants Holdings, Inc.

Sata Construction Co., Ltd.

Takada Corp.

Takadakiko Co., Ltd.

Fuji Hensokuki Co., Ltd.

Why is MIKIKOGYO CO., LTD. ?

Poor long term growth as Net Sales has grown by an annual rate of -0.67% and Operating profit at 1.74% over the last 5 years

With a growth in Net Sales of 2.35%, the company declared Very Positive results in Dec 25

NET SALES(HY) At JPY 20,215.18 MM has Grown at 42.69%
NET PROFIT(HY) At JPY 894.45 MM has Grown at 200.2%
ROCE(HY) Highest at 9.54%

With ROCE of 6.44%, it has a very attractive valuation with a 0.62 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 47.90%, its profits have risen by 40.7% ; the PEG ratio of the company is 0.2

Market Beating Performance

The stock has generated a return of 47.90% 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 MIKIKOGYO CO., LTD. should be less than 10%
Overall Portfolio exposure to Construction should be less than 30%

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

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

Is MIKIKOGYO CO., LTD. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

MIKIKOGYO CO., LTD.

47.9%

1.41

35.04%

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)

-0.67%

EBIT Growth (5y)

1.74%

EBIT to Interest (avg)

42.54

Debt to EBITDA (avg)

2.06

Net Debt to Equity (avg)

0.47

Sales to Capital Employed (avg)

1.29

Tax Ratio

34.67%

Dividend Payout Ratio

33.21%

Pledged Shares

Institutional Holding

ROCE (avg)

6.77%

ROE (avg)

5.95%

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

0.44

EV to EBIT

9.58

EV to EBITDA

5.37

EV to Capital Employed

0.62

EV to Sales

0.51

PEG Ratio

0.17

Dividend Yield

ROCE (Latest)

6.44%

ROE (Latest)

6.34%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

18What is working for the Company

NET SALES(HY)

At JPY 20,215.18 MM has Grown at 42.69%

NET PROFIT(HY)

At JPY 894.45 MM has Grown at 200.2%

ROCE(HY)

Highest at 9.54%

RAW MATERIAL COST(Y)

Fallen by -11.66% (YoY

DIVIDEND PER SHARE(HY)

Highest at JPY 5.18

-10What is not working for the Company

INTEREST(HY)

At JPY 46.65 MM has Grown at 117.23%

DEBT-EQUITY RATIO (HY)

Highest at 44.34 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.18 times

Here's what is working for MIKIKOGYO CO., LTD.

Net Sales

At JPY 20,215.18 MM has Grown at 42.69%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Profit

At JPY 894.45 MM has Grown at 200.2%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Dividend per share

Highest at JPY 5.18

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -11.66% (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 MIKIKOGYO CO., LTD.

Interest

At JPY 46.65 MM has Grown at 117.23%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 44.34 %

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

Debtors Turnover Ratio

Lowest at 5.18 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio