Why is Neo Marketing, Inc. ?
1
Poor long term growth as Operating profit has grown by an annual rate -34.10% of over the last 5 years
2
Negative results in Dec 25
- NET PROFIT(HY) At JPY -69.38 MM has Grown at -73.1%
- INTEREST(HY) At JPY 3.21 MM has Grown at 48.38%
- ROCE(HY) Lowest at 5.67%
3
With ROE of 5.67%, it has a very expensive valuation with a 4.57 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 42.69%, its profits have fallen by -57.6%
4
Underperformed the market in the last 1 year
- The stock has generated a return of 42.69% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 69.82%
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Neo Marketing, Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Neo Marketing, Inc.
42.69%
1.56
25.71%
Japan Nikkei 225
69.82%
2.74
25.48%
Quality key factors
Factor
Value
Sales Growth (5y)
13.49%
EBIT Growth (5y)
-34.10%
EBIT to Interest (avg)
78.22
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.25
Sales to Capital Employed (avg)
1.72
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
30.84%
ROE (avg)
24.09%
Valuation Key Factors 
Factor
Value
P/E Ratio
81
Industry P/E
Price to Book Value
4.57
EV to EBIT
219.30
EV to EBITDA
68.19
EV to Capital Employed
7.57
EV to Sales
1.39
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.45%
ROE (Latest)
5.67%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
6What is working for the Company
PRE-TAX PROFIT(Q)
At JPY 4.19 MM has Grown at 531.04%
RAW MATERIAL COST(Y)
Fallen by -1.13% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at -45.49 %
NET PROFIT(Q)
At JPY 1.26 MM has Grown at 107.41%
-18What is not working for the Company
NET PROFIT(HY)
At JPY -69.38 MM has Grown at -73.1%
INTEREST(HY)
At JPY 3.21 MM has Grown at 48.38%
ROCE(HY)
Lowest at 5.67%
Here's what is working for Neo Marketing, Inc.
Pre-Tax Profit
At JPY 4.19 MM has Grown at 531.04%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 1.26 MM has Grown at 107.41%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Debt-Equity Ratio
Lowest at -45.49 %
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 -1.13% (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 Neo Marketing, Inc.
Interest
At JPY 3.21 MM has Grown at 48.38%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)






