NIKKON Holdings Co., Ltd. (9072) 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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NIKKON Holdings Co., Ltd.

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Why is NIKKON Holdings Co., Ltd. ?

Weak Long Term Fundamental Strength with a 4.25% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Operating profit has grown by an annual rate 4.25% of over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST COVERAGE RATIO(Q) Lowest at 3,371.92
RAW MATERIAL COST(Y) Grown by 11.08% (YoY)
INVENTORY TURNOVER RATIO(HY) Lowest at 219.55 times

With ROCE of 6.65%, it has a expensive valuation with a 2.63 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 54.68%, its profits have fallen by -4.7%

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 Transport Services)

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

Is NIKKON Holdings Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

NIKKON Holdings Co., Ltd.

61.34%

6.58

39.72%

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)

7.59%

EBIT Growth (5y)

4.25%

EBIT to Interest (avg)

65.23

Debt to EBITDA (avg)

1.54

Net Debt to Equity (avg)

0.34

Sales to Capital Employed (avg)

0.69

Tax Ratio

32.83%

Dividend Payout Ratio

49.07%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

7.39%

ROE (avg)

6.61%

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

3.32

EV to EBIT

39.53

EV to EBITDA

22.42

EV to Capital Employed

2.63

EV to Sales

3.37

PEG Ratio

Dividend Yield

ROCE (Latest)

6.65%

ROE (Latest)

6.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 6.67 times

-18What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 3,371.92

RAW MATERIAL COST(Y)

Grown by 11.08% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 219.55 times

INTEREST(Q)

Highest at JPY 292 MM

PRE-TAX PROFIT(Q)

Lowest at JPY 5,024 MM

NET PROFIT(Q)

Lowest at JPY 1,356.93 MM

EPS(Q)

Lowest at JPY 10.48

Here's what is working for NIKKON Holdings Co., Ltd.

Debtors Turnover Ratio

Highest at 6.67 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for NIKKON Holdings Co., Ltd.

Interest

At JPY 292 MM has Grown at 27.51%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 3,371.92

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 292 MM

in the last five periods and Increased by 27.51% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Lowest at JPY 5,024 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 1,356.93 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Net Profit

Fallen at -49.72%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 10.48

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Inventory Turnover Ratio

Lowest at 219.55 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 11.08% (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