Nippo Ltd. (9913) 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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INTER ACTION Corp.

JTEC Corp. (Osaka)

Why is Nippo Ltd. ?

Company has a low Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 0.63% over the last 5 years

Flat results in Dec 25

INTEREST(HY) At JPY 35 MM has Grown at 25%
DEBTORS TURNOVER RATIO(HY) Lowest at 4.67 times

With ROE of 11.28%, it has a very attractive valuation with a 1.33 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 61.08%, its profits have risen by 18.3% ; the PEG ratio of the company is 0.6
At the current price, the company has a high dividend yield of 0

Consistent Returns over the last 3 years

Along with generating 61.08% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nippo Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Nippo Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Nippo Ltd.

61.08%

1.66

47.93%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.63%

EBIT Growth (5y)

7.04%

EBIT to Interest (avg)

20.21

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.20

Sales to Capital Employed (avg)

2.34

Tax Ratio

10.33%

Dividend Payout Ratio

49.01%

Pledged Shares

Institutional Holding

ROCE (avg)

13.45%

ROE (avg)

8.54%

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

1.33

EV to EBIT

10.43

EV to EBITDA

5.61

EV to Capital Employed

1.41

EV to Sales

0.42

PEG Ratio

0.64

Dividend Yield

0.02%

ROCE (Latest)

13.50%

ROE (Latest)

11.28%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

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

6What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 0.54% (YoY

CASH AND EQV(HY)

Highest at JPY 13,655 MM

NET SALES(Q)

Highest at JPY 12,107 MM

OPERATING PROFIT(Q)

Highest at JPY 1,047 MM

PRE-TAX PROFIT(Q)

Highest at JPY 754 MM

EPS(Q)

Highest at JPY 60.31

-9What is not working for the Company

INTEREST(HY)

At JPY 35 MM has Grown at 25%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.67 times

Here's what is working for Nippo Ltd.

Net Sales

Highest at JPY 12,107 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 1,047 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 754 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

EPS

Highest at JPY 60.31

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 13,655 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by 0.54% (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 Nippo Ltd.

Interest

At JPY 35 MM has Grown at 25%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 4.67 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio