NCD Co., Ltd. (4783) 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

NCD Co., Ltd.

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Why is NCD Co., Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 17.01%

Healthy long term growth as Net Sales has grown by an annual rate of 11.28%
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 61.70

With ROE of 20.98%, it has a very attractive valuation with a 2.30 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 -1.85%, its profits have fallen by -13.6%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to NCD Co., Ltd. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is NCD Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

NCD Co., Ltd.

-1.1%

1.27

30.88%

Japan Nikkei 225

58.07%

1.98

29.31%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.28%

EBIT Growth (5y)

48.71%

EBIT to Interest (avg)

81.27

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.82

Sales to Capital Employed (avg)

3.47

Tax Ratio

31.10%

Dividend Payout Ratio

52.69%

Pledged Shares

Institutional Holding

ROCE (avg)

116.75%

ROE (avg)

17.01%

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

2.30

EV to EBIT

5.03

EV to EBITDA

4.23

EV to Capital Employed

7.90

EV to Sales

0.40

PEG Ratio

Dividend Yield

ROCE (Latest)

157.12%

ROE (Latest)

20.98%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly 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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -6.52% (YoY

CASH AND EQV(HY)

Highest at JPY 16,279.85 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 63.15 times

DEBTORS TURNOVER RATIO(HY)

Highest at 8.77 times

-10What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 7,342.48

INTEREST(Q)

Highest at JPY 7.22 MM

Here's what is working for NCD Co., Ltd.

Cash and Eqv

Highest at JPY 16,279.85 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 63.15 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 8.77 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 -6.52% (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 115.15 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 NCD Co., Ltd.

Interest

At JPY 7.22 MM has Grown at 15.02%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 7,342.48

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 7.22 MM

in the last five periods and Increased by 15.02% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)