ScoreComparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Muromachi Chemicals, Inc. ?
1
High Management Efficiency with a high ROCE of 14.97%
2
The company is Net-Debt Free
- The company is Net-Debt Free
3
Healthy long term growth as Net Sales has grown by an annual rate of 86.71% and Operating profit at 48.25%
- INTEREST(Q) Highest at JPY 12.54 MM
4
With ROCE of 19.66%, it has a very attractive valuation with a 1.63 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 9.99%, its profits have risen by 27.9% ; the PEG ratio of the company is 0.4
5
Underperformed the market in the last 1 year
- The stock has generated a return of 9.99% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.83%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Muromachi Chemicals, Inc. should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Muromachi Chemicals, Inc. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Muromachi Chemicals, Inc.
-100.0%
0.69
44.61%
Japan Nikkei 225
75.22%
3.09
27.80%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
86.71%
EBIT Growth (5y)
48.25%
EBIT to Interest (avg)
19.40
Debt to EBITDA (avg)
1.19
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
1.56
Tax Ratio
31.07%
Dividend Payout Ratio
41.38%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
14.97%
ROE (avg)
16.53%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
1.75
EV to EBIT
8.27
EV to EBITDA
6.45
EV to Capital Employed
1.62
EV to Sales
0.70
PEG Ratio
0.38
Dividend Yield
NA
ROCE (Latest)
19.66%
ROE (Latest)
16.73%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.11% (YoY
NET PROFIT(9M)
Higher at JPY 337.56 MM
NET SALES(Q)
Highest at JPY 1,969.79 MM
-11What is not working for the Company
INTEREST(Q)
Highest at JPY 12.54 MM
Here's what is working for Muromachi Chemicals, Inc.
Net Sales
Highest at JPY 1,969.79 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Net Profit
Higher at JPY 337.56 MM
than preceding 12 month period ended Feb 2026MOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Profit (JPY MM)
Raw Material Cost
Fallen by -2.11% (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 Muromachi Chemicals, Inc.
Interest
At JPY 12.54 MM has Grown at 18.95%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest
Highest at JPY 12.54 MM
in the last five periods and Increased by 18.95% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
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