Why is Muro Corp. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 41.72
2
Poor long term growth as Net Sales has grown by an annual rate of 1.09% and Operating profit at -9.93% over the last 5 years
3
With a growth in Net Profit of 629.5%, the company declared Very Positive results in Dec 25
- NET PROFIT(Q) At JPY 389.96 MM has Grown at 374.46%
- RAW MATERIAL COST(Y) Fallen by -12.48% (YoY)
- NET SALES(Q) Highest at JPY 5,880.52 MM
4
With ROE of 2.76%, it has a very attractive valuation with a 0.34 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 10.03%, its profits have fallen by -53.7%
5
Underperformed the market in the last 1 year
- The stock has generated a return of 10.03% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%
How much should you hold?
- Overall Portfolio exposure to Muro Corp. should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Muro Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Muro Corp.
10.03%
-0.03
22.72%
Japan Nikkei 225
38.94%
1.30
28.24%
Quality key factors
Factor
Value
Sales Growth (5y)
1.09%
EBIT Growth (5y)
-9.93%
EBIT to Interest (avg)
41.72
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.28
Sales to Capital Employed (avg)
0.96
Tax Ratio
42.99%
Dividend Payout Ratio
55.91%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
6.84%
ROE (avg)
4.52%
Valuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
Price to Book Value
0.34
EV to EBIT
1.87
EV to EBITDA
0.63
EV to Capital Employed
0.09
EV to Sales
0.06
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
4.69%
ROE (Latest)
2.76%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Movement
11What is working for the Company
NET PROFIT(Q)
At JPY 389.96 MM has Grown at 374.46%
RAW MATERIAL COST(Y)
Fallen by -12.48% (YoY
NET SALES(Q)
Highest at JPY 5,880.52 MM
PRE-TAX PROFIT(Q)
Highest at JPY 560.56 MM
EPS(Q)
Highest at JPY 64.34
-3What is not working for the Company
NET PROFIT(9M)
At JPY 459.05 MM has Grown at -39.24%
Here's what is working for Muro Corp.
Net Profit
At JPY 389.96 MM has Grown at 374.46%
over average net sales of the previous four periods of JPY 82.19 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Pre-Tax Profit
At JPY 560.56 MM has Grown at 182.29%
over average net sales of the previous four periods of JPY 198.57 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Net Sales
Highest at JPY 5,880.52 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Pre-Tax Profit
Highest at JPY 560.56 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
EPS
Highest at JPY 64.34
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Raw Material Cost
Fallen by -12.48% (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






