Musashino Kogyo Co., Ltd. (9635) 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

Musashino Kogyo Co., Ltd.

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Why is Musashino Kogyo Co., Ltd. ?

Poor Management Efficiency with a low ROE of 1.11%

The company has been able to generate a Return on Equity (avg) of 1.11% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 23.37

Low Debt Company with Strong Long Term Fundamental Strength

With a growth in Net Sales of 6.2%, the company declared Very Positive results in Dec 25

The company has declared positive results for the last 2 consecutive quarters
NET PROFIT(HY) Higher at JPY 315.08 MM
ROCE(HY) Highest at 9.31%
DEBT-EQUITY RATIO (HY) Lowest at -22.74 %

With ROE of 1.65%, it has a fair valuation with a 0.71 Price to Book Value

Over the past year, while the stock has generated a return of 18.79%, its profits have risen by 1291% ; the PEG ratio of the company is 0

Underperformed the market in the last 1 year

The stock has generated a return of 18.79% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.83%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Musashino Kogyo Co., Ltd. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

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

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

Is Musashino Kogyo Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Musashino Kogyo Co., Ltd.

-100.0%

1.12

19.24%

Japan Nikkei 225

75.22%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.00%

EBIT Growth (5y)

39.69%

EBIT to Interest (avg)

23.37

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

21.27%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

1.86%

ROE (avg)

1.11%

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

0.71

EV to EBIT

27.23

EV to EBITDA

13.60

EV to Capital Employed

0.62

EV to Sales

1.38

PEG Ratio

0.03

Dividend Yield

0.04%

ROCE (Latest)

2.28%

ROE (Latest)

1.65%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

No Trend

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

14What is working for the Company

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -17.86% (YoY

NET PROFIT(9M)

Higher at JPY 349.02 MM

CASH AND EQV(HY)

Highest at JPY 2,348.89 MM

DEBT-EQUITY RATIO (HY)

Lowest at -22.74 %

INVENTORY TURNOVER RATIO(HY)

Highest at 521.02 times

DEBTORS TURNOVER RATIO(HY)

Highest at 38.28 times

OPERATING PROFIT(Q)

Highest at JPY 63.27 MM

OPERATING PROFIT MARGIN(Q)

Highest at 18.13 %

-8What is not working for the Company

PRE-TAX PROFIT(Q)

At JPY 42.23 MM has Fallen at -61%

NET PROFIT(Q)

At JPY 33.94 MM has Fallen at -61.82%

Here's what is working for Musashino Kogyo Co., Ltd.

Operating Profit

Highest at JPY 63.27 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 18.13 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at JPY 2,348.89 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -22.74 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 521.02 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 38.28 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -17.86% (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 23.92 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Musashino Kogyo Co., Ltd.

Pre-Tax Profit

At JPY 42.23 MM has Fallen at -61%

over average net sales of the previous four periods of JPY 108.29 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 33.94 MM has Fallen at -61.82%

over average net sales of the previous four periods of JPY 88.91 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)