Nanto Bank Ltd. (8367) 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

Suruga Bank Ltd.

Juroku Financial Group, Inc.

Monex Group, Inc.

Hokuhoku Financial Group, Inc.

San-in Godo Bank Ltd.

The Bank of Nagoya Ltd.

The Keiyo Bank, Ltd.

The Musashino Bank, Ltd.

Nanto Bank Ltd.

North Pacific Bank, Ltd.

The Kiyo Bank, Ltd.

Why is Nanto Bank Ltd. ?

Poor Management Efficiency with a low ROA of 0.10%

The bank has been able to generate a Return on Assets (avg) of 0.10% signifying low profitability per unit of total assets

Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 10.08% signifying inadequate buffers against its risk based assets

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at 33.60%
Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 10.08% signifying inadequate buffers against its risk based assets
The bank has been able to generate a Return on Assets (avg) of 0.10% signifying low profitability per unit of total assets

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at 33.60%

Flat results in Jun 26

INTEREST(9M) At JPY 13,705 MM has Grown at 32.31%
ROCE(HY) Lowest at 0.26%
CASH AND EQV(HY) Lowest at JPY 1,085,395 MM

With ROA of 0.20%, it has a attractive valuation with a 0.96 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 94.83%, its profits have risen by 12% ; the PEG ratio of the company is 1.8
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nanto Bank Ltd. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

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

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

Is Nanto Bank Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nanto Bank Ltd.

94.83%

-0.52

90.49%

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)

8.70%

EBIT Growth (5y)

24.82%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

39.58%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

ROE (avg)

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

0.96

EV to EBIT

-3.04

EV to EBITDA

-2.39

EV to Capital Employed

1.31

EV to Sales

-0.72

PEG Ratio

1.78

Dividend Yield

ROCE (Latest)

-43.15%

ROE (Latest)

4.42%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

Bullish

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

10What is working for the Company

ROCE(HY)

Highest at 0.26%

NII(Q)

Highest at JPY 18,291 MM

NET SALES(Q)

Highest at JPY 23,459 MM

-8What is not working for the Company

INTEREST(9M)

At JPY 13,705 MM has Grown at 32.31%

ROCE(HY)

Lowest at 0.26%

CASH AND EQV(HY)

Lowest at JPY 1,085,395 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 24.28 %

Here's what is working for Nanto Bank Ltd.

NII

Highest at JPY 18,291 MM

in the last five periods

MOJO Watch

The bank's income from core business is increasing

NII (JPY MM)

Net Sales

Highest at JPY 23,459 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 23,459 MM has Grown at 21.01%

over average net sales of the previous four periods of JPY 19,385.5 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Depreciation

Highest at JPY 1,258 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 Nanto Bank Ltd.

Interest

At JPY 13,705 MM has Grown at 32.31%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit Margin

Lowest at 24.28 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at JPY 1,085,395 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents