Nihon Dempa Kogyo Co., Ltd. (6779) 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

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SAMCO, Inc.

Mimasu Semiconductor Industry Co., Ltd.

Nihon Dempa Kogyo Co., Ltd.

Cosel Co., Ltd.

Why is Nihon Dempa Kogyo Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 6.94% over the last 5 years
The company is Net-Debt Free

The company has declared Negative results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at JPY 4,080 MM
NET PROFIT(HY) At JPY 618 MM has Grown at -53.39%
ROCE(HY) Lowest at 2.93%

With ROCE of 6.44%, it has a very attractive valuation with a 1.06 Enterprise value to Capital Employed

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 181.96%, its profits have fallen by -45.6%
At the current price, the company has a high dividend yield of 0

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 Electronics & Appliances)

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

Is Nihon Dempa Kogyo Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Nihon Dempa Kogyo Co., Ltd.

181.96%

1.74

55.76%

Japan Nikkei 225

69.82%

2.74

25.48%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.94%

EBIT Growth (5y)

22.85%

EBIT to Interest (avg)

6.37

Debt to EBITDA (avg)

2.75

Net Debt to Equity (avg)

0.39

Sales to Capital Employed (avg)

0.98

Tax Ratio

37.36%

Dividend Payout Ratio

38.60%

Pledged Shares

Institutional Holding

0.04%

ROCE (avg)

10.41%

ROE (avg)

13.90%

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

1.08

EV to EBIT

16.43

EV to EBITDA

7.19

EV to Capital Employed

1.06

EV to Sales

0.89

PEG Ratio

Dividend Yield

ROCE (Latest)

6.44%

ROE (Latest)

4.34%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

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

1What is working for the Company

CASH AND EQV(HY)

Highest at JPY 29,343 MM

-15What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at JPY 4,080 MM

NET PROFIT(HY)

At JPY 618 MM has Grown at -53.39%

ROCE(HY)

Lowest at 2.93%

INTEREST(Q)

At JPY 266 MM has Grown at 39.27%

RAW MATERIAL COST(Y)

Grown by 7.96% (YoY

PRE-TAX PROFIT(Q)

At JPY 516 MM has Fallen at -26.36%

Here's what is working for Nihon Dempa Kogyo Co., Ltd.

Cash and Eqv

Highest at JPY 29,343 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation

Highest at JPY 1,062 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 Nihon Dempa Kogyo Co., Ltd.

Net Profit

At JPY 618 MM has Grown at -53.39%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Operating Cash Flow

Lowest at JPY 4,080 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (JPY MM)

Interest

At JPY 266 MM has Grown at 39.27%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

At JPY 516 MM has Fallen at -26.36%

over average net sales of the previous four periods of JPY 700.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Raw Material Cost

Grown by 7.96% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales