Narasaki Sangyo Co., Ltd. (8085) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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sanwacompany ltd.

Why is Narasaki Sangyo Co., Ltd. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 53.81

Poor long term growth as Net Sales has grown by an annual rate of 2.65% and Operating profit at 4.27% over the last 5 years

Flat results in Jun 25

INTEREST(HY) At JPY 24 MM has Grown at 14.29%
ROCE(HY) Lowest at 7.84%
INTEREST COVERAGE RATIO(Q) Lowest at 1,425

With ROE of 8.81%, it has a very attractive valuation with a 0.63 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 32.55%, its profits have fallen by -3.2%
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 Narasaki Sangyo Co., Ltd. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.65%

EBIT Growth (5y)

4.27%

EBIT to Interest (avg)

54.49

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

4.20

Tax Ratio

29.77%

Dividend Payout Ratio

27.09%

Pledged Shares

Institutional Holding

ROCE (avg)

20.89%

ROE (avg)

9.25%

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

0.63

EV to EBIT

1.97

EV to EBITDA

1.60

EV to Capital Employed

0.37

EV to Sales

0.05

PEG Ratio

Dividend Yield

0.02%

ROCE (Latest)

18.96%

ROE (Latest)

8.81%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-22What is not working for the Company

INTEREST(HY)

At JPY 24 MM has Grown at 14.29%

ROCE(HY)

Lowest at 7.84%

INTEREST COVERAGE RATIO(Q)

Lowest at 1,425

RAW MATERIAL COST(Y)

Grown by 5.28% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -29.4 %

OPERATING PROFIT(Q)

Lowest at JPY 171 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.7 %

PRE-TAX PROFIT(Q)

Lowest at JPY 77 MM

NET PROFIT(Q)

Lowest at JPY 20 MM

EPS(Q)

Lowest at JPY 3.74

Here's what is not working for Narasaki Sangyo Co., Ltd.

Pre-Tax Profit

At JPY 77 MM has Fallen at -84.02%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 20 MM has Fallen at -93.88%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 24 MM has Grown at 14.29%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 1,425

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at JPY 171 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 0.7 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 77 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 20 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 3.74

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -29.4 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 5.28% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at JPY 1.23 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income