ScoreComparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Nakayama Steel Works, Ltd. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 43.62
2
Healthy long term growth as Operating profit has grown by an annual rate 13.63%
3
Flat results in Mar 26
- NET SALES(HY) At JPY 71,704 MM has Grown at -10.14%
- NET PROFIT(HY) At JPY 1,608.54 MM has Grown at -41.79%
- ROCE(HY) Lowest at 2.28%
4
With ROE of 2.87%, it has a very attractive valuation with a 0.37 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 -2.27%, its profits have fallen by -56.9%
- At the current price, the company has a high dividend yield of 0
5
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -2.27% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Nakayama Steel Works, Ltd. should be less than 10%
- Overall Portfolio exposure to Ferrous Metals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Nakayama Steel Works, Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Nakayama Steel Works, Ltd.
-2.27%
-1.34
26.67%
Japan Nikkei 225
85.83%
3.09
27.80%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
5.92%
EBIT Growth (5y)
13.63%
EBIT to Interest (avg)
43.62
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.06
Sales to Capital Employed (avg)
1.52
Tax Ratio
30.26%
Dividend Payout Ratio
38.05%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
9.48%
ROE (avg)
6.50%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
Price to Book Value
0.37
EV to EBIT
4.94
EV to EBITDA
3.04
EV to Capital Employed
0.27
EV to Sales
0.16
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
5.37%
ROE (Latest)
2.87%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 5,018.75
RAW MATERIAL COST(Y)
Fallen by -2.4% (YoY
CASH AND EQV(HY)
Highest at JPY 47,039 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -13.04 %
PRE-TAX PROFIT(Q)
At JPY 1,834 MM has Grown at 62.55%
NET PROFIT(Q)
Highest at JPY 1,658.54 MM
-14What is not working for the Company
NET SALES(HY)
At JPY 71,704 MM has Grown at -10.14%
NET PROFIT(HY)
At JPY 1,608.54 MM has Grown at -41.79%
ROCE(HY)
Lowest at 2.28%
DIVIDEND PAYOUT RATIO(Y)
Lowest at 40.97%
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.56 times
DIVIDEND PER SHARE(HY)
Lowest at JPY 3.56
Here's what is working for Nakayama Steel Works, Ltd.
Interest Coverage Ratio
Highest at 5,018.75
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Profit
At JPY 1,658.54 MM has Grown at 115.33%
over average net sales of the previous four periods of JPY 770.22 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Pre-Tax Profit
At JPY 1,834 MM has Grown at 62.55%
over average net sales of the previous four periods of JPY 1,128.25 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 1,658.54 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Cash and Eqv
Highest at JPY 47,039 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -13.04 %
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 -2.4% (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 Nakayama Steel Works, Ltd.
Net Sales
At JPY 71,704 MM has Grown at -10.14%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Debtors Turnover Ratio
Lowest at 3.56 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Dividend per share
Lowest at JPY 3.56
in the last five yearsMOJO Watch
Company is distributing lower dividend than previous years
DPS (JPY)
Dividend Payout Ratio
Lowest at 40.97%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
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