ScoreComparison
Why is Nichiha Corp. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 82.60
2
Poor long term growth as Operating profit has grown by an annual rate -13.11% of over the last 5 years
3
With a growth in Net Profit of 7.38%, the company declared Very Positive results in Dec 25
- The company has declared positive results in Jan 70 after 6 consecutive negative quarters
- RAW MATERIAL COST(Y) Fallen by -2.64% (YoY)
- OPERATING PROFIT(Q) Highest at JPY 4,123 MM
- OPERATING PROFIT MARGIN(Q) Highest at 10.79 %
4
With ROE of 2.50%, it has a very attractive valuation with a 0.90 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 2.09%, its profits have fallen by -62.7%
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- The stock has generated a return of 2.09% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Nichiha Corp. should be less than 10%
- Overall Portfolio exposure to Building Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Building Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Nichiha Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Nichiha Corp.
2.09%
-0.47
23.35%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.72%
EBIT Growth (5y)
-13.11%
EBIT to Interest (avg)
82.88
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.08
Sales to Capital Employed (avg)
1.04
Tax Ratio
62.53%
Dividend Payout Ratio
145.28%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
11.41%
ROE (avg)
6.88%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
36
Industry P/E
Price to Book Value
0.90
EV to EBIT
15.76
EV to EBITDA
8.56
EV to Capital Employed
0.90
EV to Sales
0.69
PEG Ratio
NA
Dividend Yield
0.02%
ROCE (Latest)
5.68%
ROE (Latest)
2.50%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Sideways
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.64% (YoY
OPERATING PROFIT(Q)
Highest at JPY 4,123 MM
OPERATING PROFIT MARGIN(Q)
Highest at 10.79 %
PRE-TAX PROFIT(Q)
Highest at JPY 3,029 MM
NET PROFIT(Q)
Highest at JPY 2,080 MM
EPS(Q)
Highest at JPY 62.21
-4What is not working for the Company
INTEREST(9M)
At JPY 282 MM has Grown at 21.55%
Here's what is working for Nichiha Corp.
Operating Profit
Highest at JPY 4,123 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (JPY MM)
Operating Profit Margin
Highest at 10.79 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at JPY 3,029 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 2,080 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
EPS
Highest at JPY 62.21
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Raw Material Cost
Fallen by -2.64% (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 Nichiha Corp.
Interest
At JPY 282 MM has Grown at 21.55%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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