Why is Murata Manufacturing Co. Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 2.39% over the last 5 years
2
With ROE of 7.26%, it has a expensive valuation with a 2.89 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 408.50%, its profits have fallen by -8.2%
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 Electronics & Appliances)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Murata Manufacturing Co. Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Murata Manufacturing Co. Ltd.
408.5%
320.79
60.17%
Japan Nikkei 225
85.83%
3.09
27.80%
Quality key factors
Factor
Value
Sales Growth (5y)
2.39%
EBIT Growth (5y)
0.38%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.24
Sales to Capital Employed (avg)
0.65
Tax Ratio
23.47%
Dividend Payout Ratio
45.56%
Pledged Shares
0
Institutional Holding
0.05%
ROCE (avg)
17.09%
ROE (avg)
11.05%
Valuation Key Factors 
Factor
Value
P/E Ratio
40
Industry P/E
Price to Book Value
2.89
EV to EBIT
23.11
EV to EBITDA
14.68
EV to Capital Employed
3.41
EV to Sales
3.92
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
14.76%
ROE (Latest)
7.26%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Movement
6What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at JPY 5.88
RAW MATERIAL COST(Y)
Fallen by -5.76% (YoY
CASH AND EQV(HY)
Highest at JPY 1,235,900 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -21.99 %
NET PROFIT(Q)
At JPY 76,572 MM has Grown at 61.34%
-5What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at JPY 438,270 MM
INTEREST(Q)
At JPY 1,251 MM has Grown at 141.97%
Here's what is working for Murata Manufacturing Co. Ltd.
Dividend per share
Highest at JPY 5.88 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (JPY)
Net Profit
At JPY 76,572 MM has Grown at 61.34%
over average net sales of the previous four periods of JPY 47,461 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Cash and Eqv
Highest at JPY 1,235,900 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -21.99 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -5.76% (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 49,316 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 Murata Manufacturing Co. Ltd.
Operating Cash Flow
Lowest at JPY 438,270 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 1,251 MM has Grown at 141.97%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)






