Mitsubishi Paper Mills Ltd. (3864) 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

Nippon Kodoshi Corp.

Tokushu Tokai Paper Co., Ltd.

Nippon Filcon Co., Ltd.

Rengo Co., Ltd.

Daio Paper Corp.

Mitsubishi Paper Mills Ltd.

Tomoegawa Corp.

Nichiban Co., Ltd.

Hokuetsu Corp.

Nippon Paper Industries Co., Ltd.

Chuetsu Pulp & Paper Co., Ltd.

Why is Mitsubishi Paper Mills Ltd. ?

Poor Management Efficiency with a low ROCE of 1.38%

The company has been able to generate a Return on Capital Employed (avg) of 1.38% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -1.99% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 3.85% signifying low profitability per unit of shareholders funds

Negative results in Jun 25

INTEREST COVERAGE RATIO(Q) Lowest at 124.16
RAW MATERIAL COST(Y) Grown by 17.06% (YoY)
CASH AND EQV(HY) Lowest at JPY 13,461 MM

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 Paper, Forest & Jute Products)

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

Is Mitsubishi Paper Mills Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Mitsubishi Paper Mills Ltd.

32.98%

-0.61

40.22%

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)

-1.99%

EBIT Growth (5y)

18.22%

EBIT to Interest (avg)

1.82

Debt to EBITDA (avg)

8.62

Net Debt to Equity (avg)

0.77

Sales to Capital Employed (avg)

1.14

Tax Ratio

46.98%

Dividend Payout Ratio

15.13%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

1.38%

ROE (avg)

3.85%

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

0.33

EV to EBIT

20.65

EV to EBITDA

8.61

EV to Capital Employed

0.62

EV to Sales

0.54

PEG Ratio

Dividend Yield

0.08%

ROCE (Latest)

3.02%

ROE (Latest)

6.73%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-26What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 124.16

RAW MATERIAL COST(Y)

Grown by 17.06% (YoY

CASH AND EQV(HY)

Lowest at JPY 13,461 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.44%

NET SALES(Q)

Lowest at JPY 39,461 MM

OPERATING PROFIT(Q)

Lowest at JPY 221 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.56 %

PRE-TAX PROFIT(Q)

Lowest at JPY -1,153 MM

NET PROFIT(Q)

Lowest at JPY -1,317 MM

EPS(Q)

Lowest at JPY -30.02

Here's what is not working for Mitsubishi Paper Mills Ltd.

Pre-Tax Profit

At JPY -1,153 MM has Fallen at -406.65%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -1,317 MM has Fallen at -5,106.48%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest Coverage Ratio

Lowest at 124.16

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at JPY 39,461 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Net Sales

Fallen at -12.31%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY 221 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 0.56 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -1,153 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 -1,317 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -30.02

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Cash and Eqv

Lowest at JPY 13,461 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 3.44%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 17.06% (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