Mizuho Leasing Co., Ltd. (8425) 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

ACOM Co., Ltd.

Mitsubishi HC Capital Inc.

ORIX Corp.

Mizuho Leasing Co., Ltd.

Credit Saison Co., Ltd.

GMO Payment Gateway, Inc.

Orient Corp.

Tokyo Century Corp.

Fuyo General Lease Co., Ltd.

AEON Financial Service Co., Ltd.

Marui Group Co., Ltd.

Why is Mizuho Leasing Co., Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 10.66%

Flat results in Mar 26

INTEREST COVERAGE RATIO(Q) Lowest at 705.51
RAW MATERIAL COST(Y) Grown by 25.8% (YoY)
INTEREST(Q) Highest at JPY 2,249 MM

With ROE of 10.86%, it has a very attractive valuation with a 0.99 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 17.27%, its profits have risen by 21%

Underperformed the market in the last 1 year

The stock has generated a return of 17.27% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.12%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Mizuho Leasing Co., Ltd. should be less than 10%
Overall Portfolio exposure to Finance should be less than 30%

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

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

Is Mizuho Leasing Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Mizuho Leasing Co., Ltd.

17.27%

0.76

20.28%

Japan Nikkei 225

88.41%

3.12

27.27%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.20%

EBIT Growth (5y)

13.26%

EBIT to Interest (avg)

18.24

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

31.85%

Dividend Payout Ratio

30.41%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

10.66%

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

0.99

EV to EBIT

-3.37

EV to EBITDA

-2.34

EV to Capital Employed

1.03

EV to Sales

-0.24

PEG Ratio

Dividend Yield

ROCE (Latest)

-30.40%

ROE (Latest)

10.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

10What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 0.47 times

CASH AND EQV(HY)

Highest at JPY 1,141,172 MM

DEBT-EQUITY RATIO (HY)

Lowest at 684.48 %

NET SALES(Q)

Highest at JPY 281,764 MM

-15What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 705.51

RAW MATERIAL COST(Y)

Grown by 25.8% (YoY

INTEREST(Q)

Highest at JPY 2,249 MM

PRE-TAX PROFIT(Q)

Lowest at JPY 14,168 MM

Here's what is working for Mizuho Leasing Co., Ltd.

Debtors Turnover Ratio

Highest at 0.47 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Sales

Highest at JPY 281,764 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 281,764 MM has Grown at 20.15%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 1,141,172 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 684.48 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Mizuho Leasing Co., Ltd.

Interest

At JPY 2,249 MM has Grown at 38.57%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 705.51

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 2,249 MM

in the last five periods and Increased by 38.57% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY 14,168 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Raw Material Cost

Grown by 25.8% (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 0.57 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income