NexTone, Inc. (7094) 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

NexTone, Inc.

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Why is NexTone, Inc. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 14.43%

Healthy long term growth as Net Sales has grown by an annual rate of 29.24% and Operating profit at 23.65%
Company has very low debt and has enough cash to service the debt requirements

With a growth in Net Profit of 50.45%, the company declared Very Positive results in Mar 26

DIVIDEND PAYOUT RATIO(Y) Highest at 87.61%
RAW MATERIAL COST(Y) Fallen by -1.67% (YoY)
CASH AND EQV(HY) Highest at JPY 20,929 MM

With ROE of 18.20%, it has a fair valuation with a 2.39 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 -7.24%, its profits have risen by 191.8% ; the PEG ratio of the company is 0.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to NexTone, Inc. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is NexTone, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

NexTone, Inc.

-7.24%

0.42

48.13%

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)

29.24%

EBIT Growth (5y)

23.65%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-2.02

Sales to Capital Employed (avg)

3.80

Tax Ratio

33.18%

Dividend Payout Ratio

24.69%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

14.43%

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

2.39

EV to EBIT

2.20

EV to EBITDA

1.23

EV to Capital Employed

-0.64

EV to Sales

0.14

PEG Ratio

0.07

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

18.20%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

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

8What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 87.61%

RAW MATERIAL COST(Y)

Fallen by -1.67% (YoY

CASH AND EQV(HY)

Highest at JPY 20,929 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2,378 times

DIVIDEND PER SHARE(HY)

Highest at JPY 11.98

NET SALES(Q)

Highest at JPY 5,468 MM

NET PROFIT(Q)

Highest at JPY 370.74 MM

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for NexTone, Inc.

Net Sales

Highest at JPY 5,468 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Profit

Highest at JPY 370.74 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Net Profit

At JPY 370.74 MM has Grown at 60.07%

over average net sales of the previous four periods of JPY 231.62 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 20,929 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 2,378 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at JPY 11.98

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 87.61%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -1.67% (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