Nankai Chemical Co., Ltd. () 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

Nankai Chemical Co., Ltd.

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Why is Nankai Chemical Co., Ltd. ?

With a growth in Net Profit of 66.38%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
NET PROFIT(HY) Higher at JPY 2,339.32 MM
ROCE(HY) Highest at 28.56%
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost

With ROCE of 10.85%, it has a very attractive valuation with a 0.93 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 14.99%, its profits have fallen by -14%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Nankai Chemical Co., Ltd. should be less than 10%
Overall Portfolio exposure to Specialty Chemicals should be less than 30%

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

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

Is Nankai Chemical Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nankai Chemical Co., Ltd.

-100.0%

0.22

41.41%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.10%

EBIT Growth (5y)

15.61%

EBIT to Interest (avg)

28.27

Debt to EBITDA (avg)

1.07

Net Debt to Equity (avg)

0.43

Sales to Capital Employed (avg)

1.50

Tax Ratio

31.40%

Dividend Payout Ratio

4.34%

Pledged Shares

Institutional Holding

ROCE (avg)

13.09%

ROE (avg)

14.27%

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

0.91

EV to EBIT

8.55

EV to EBITDA

4.60

EV to Capital Employed

0.93

EV to Sales

0.56

PEG Ratio

Dividend Yield

ROCE (Latest)

10.85%

ROE (Latest)

25.03%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

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

21What is working for the Company

NET PROFIT(HY)

Higher at JPY 2,339.32 MM

ROCE(HY)

Highest at 28.56%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -24.02% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 14.81 %

NET SALES(Q)

Highest at JPY 6,264 MM

OPERATING PROFIT(Q)

Highest at JPY 990 MM

OPERATING PROFIT MARGIN(Q)

Highest at 15.8 %

PRE-TAX PROFIT(Q)

At JPY 621 MM has Grown at 117.13%

-1What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.88 times

Here's what is working for Nankai Chemical Co., Ltd.

Net Profit

At JPY 2,339.32 MM has Grown at 308.76%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (JPY MM)

Net Profit

Higher at JPY 2,339.32 MM

than preceding 12 month period ended Mar 2026

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (JPY MM)

Net Sales

Highest at JPY 6,264 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 990 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 15.8 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At JPY 621 MM has Grown at 117.13%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Debt-Equity Ratio

Lowest at 14.81 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -24.02% (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 327 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 Nankai Chemical Co., Ltd.

Debtors Turnover Ratio

Lowest at 4.88 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio