Netyear Group Corp. (3622) 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

CHIeru Co., Ltd.

TDSE, Inc.

Atlas Technologies Corp.

Pacific Systems Corp.

Netyear Group Corp.

Tecmira Holdings, Inc.

AI, Inc.

Bplats, Inc.

Writeup Co., Ltd.

Silicon Studio Corp.

Hotto Link, Inc.

Why is Netyear Group Corp. ?

Weak Long Term Fundamental Strength with a -8.25% CAGR growth in Net Sales over the last 5 years

Poor long term growth as Net Sales has grown by an annual rate of -8.25% over the last 5 years

Flat results in Jun 26

INVENTORY TURNOVER RATIO(HY) Lowest at 78.99 times
NET SALES(Q) Lowest at JPY 669.06 MM
OPERATING PROFIT(Q) Lowest at JPY -76.94 MM

With ROE of 8.06%, it has a expensive valuation with a 1.32 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 -22.24%, its profits have risen by 214.6% ; the PEG ratio of the company is 0.1

Below par performance in long term as well as near term

Along with generating -22.24% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

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 Computers - Software & Consulting)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Netyear Group Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Netyear Group Corp.

-100.0%

-0.47

27.41%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-8.25%

EBIT Growth (5y)

40.24%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.83

Sales to Capital Employed (avg)

1.34

Tax Ratio

30.94%

Dividend Payout Ratio

28.18%

Pledged Shares

Institutional Holding

ROCE (avg)

42.53%

ROE (avg)

9.42%

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

1.32

EV to EBIT

3.99

EV to EBITDA

3.90

EV to Capital Employed

3.22

EV to Sales

0.35

PEG Ratio

0.08

Dividend Yield

ROCE (Latest)

80.53%

ROE (Latest)

8.06%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

5What is working for the Company

NET PROFIT(9M)

At JPY 123.6 MM has Grown at 132.39%

RAW MATERIAL COST(Y)

Fallen by -10.09% (YoY

CASH AND EQV(HY)

Highest at JPY 4,548.53 MM

-7What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 78.99 times

NET SALES(Q)

Lowest at JPY 669.06 MM

OPERATING PROFIT(Q)

Lowest at JPY -76.94 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -11.5 %

PRE-TAX PROFIT(Q)

Lowest at JPY -77.77 MM

NET PROFIT(Q)

Lowest at JPY -54.49 MM

EPS(Q)

Lowest at JPY -7.79

Here's what is working for Netyear Group Corp.

Cash and Eqv

Highest at JPY 4,548.53 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -10.09% (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 Netyear Group Corp.

Net Sales

Lowest at JPY 669.06 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY -76.94 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -11.5 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -77.77 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 -54.49 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -7.79

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Inventory Turnover Ratio

Lowest at 78.99 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio