Nihon M&A Center Holdings Inc. (2127) 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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Nihon M&A Center Holdings Inc.

Why is Nihon M&A Center Holdings Inc. ?

Weak Long Term Fundamental Strength with a 3.25% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Operating profit has grown by an annual rate 3.25% of over the last 5 years

Flat results in Jun 26

INTEREST(9M) At JPY 37.36 MM has Grown at 22.47%
NET SALES(Q) At JPY 9,104 MM has Fallen at -27.54%
OPERATING PROFIT(Q) Lowest at JPY 2,350 MM

With ROE of 22.92%, it has a very attractive valuation with a 4.50 Price to Book Value

Over the past year, while the stock has generated a return of -15.19%, its profits have risen by 2% ; the PEG ratio of the company is 9.2

Below par performance in long term as well as near term

Along with generating -15.19% 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 hold?

Overall Portfolio exposure to Nihon M&A Center Holdings Inc. should be less than 10%
Overall Portfolio exposure to Capital Markets should be less than 30%

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

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

Is Nihon M&A Center Holdings Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nihon M&A Center Holdings Inc.

-14.52%

-0.41

31.72%

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)

6.60%

EBIT Growth (5y)

3.25%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

34.72%

Dividend Payout Ratio

73.69%

Pledged Shares

Institutional Holding

ROCE (avg)

207.07%

ROE (avg)

22.48%

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

4.50

EV to EBIT

10.86

EV to EBITDA

10.76

EV to Capital Employed

12.68

EV to Sales

4.12

PEG Ratio

9.23

Dividend Yield

ROCE (Latest)

116.77%

ROE (Latest)

22.92%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

No Trend

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

RAW MATERIAL COST(Y)

Fallen by -1.16% (YoY

-10What is not working for the Company

INTEREST(9M)

At JPY 37.36 MM has Grown at 22.47%

NET SALES(Q)

At JPY 9,104 MM has Fallen at -27.54%

OPERATING PROFIT(Q)

Lowest at JPY 2,350 MM

PRE-TAX PROFIT(Q)

At JPY 3,102 MM has Fallen at -35.27%

NET PROFIT(Q)

At JPY 1,990.25 MM has Fallen at -36.25%

Here's what is working for Nihon M&A Center Holdings Inc.

Raw Material Cost

Fallen by -1.16% (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 Nihon M&A Center Holdings Inc.

Interest

At JPY 37.36 MM has Grown at 22.47%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 9,104 MM has Fallen at -27.54%

over average net sales of the previous four periods of JPY 12,564.25 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY 2,350 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Pre-Tax Profit

At JPY 3,102 MM has Fallen at -35.27%

over average net sales of the previous four periods of JPY 4,792.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 1,990.25 MM has Fallen at -36.25%

over average net sales of the previous four periods of JPY 3,121.75 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)