Nippon Crucible Co., Ltd. (5355) 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

Shinagawa Refractories Co., Ltd.

YAMAX Corp.

Mino Ceramic Co., Ltd.

GEOSTR Corp.

TYK Corp.

Nippon Concrete Industries Co., Ltd.

YAMAU HOLDINGS CO., LTD.

Nippon Crucible Co., Ltd.

Hasegawa Co., Ltd.

Asahi Concrete Works Co., Ltd.

Nozawa Corp.

Why is Nippon Crucible Co., Ltd. ?

Poor Management Efficiency with a low ROE of 3.53%

The company has been able to generate a Return on Equity (avg) of 3.53% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 9.62

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 9.62
The company has been able to generate a Return on Equity (avg) of 3.53% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 5.42% and Operating profit at 28.42% over the last 5 years

Negative results in Jun 26

INTEREST(HY) At JPY 21.44 MM has Grown at 41.59%
RAW MATERIAL COST(Y) Grown by 8.31% (YoY)
NET PROFIT(Q) At JPY 63.6 MM has Fallen at -29.03%

With ROE of 6.84%, it has a fair valuation with a 0.77 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 13.12%, its profits have risen by 25.7% ; the PEG ratio of the company is 0.4
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nippon Crucible Co., Ltd. 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 Nippon Crucible Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nippon Crucible Co., Ltd.

13.12%

0.90

11.48%

Japan Nikkei 225

60.14%

2.05

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.42%

EBIT Growth (5y)

28.42%

EBIT to Interest (avg)

12.28

Debt to EBITDA (avg)

0.24

Net Debt to Equity (avg)

0.02

Sales to Capital Employed (avg)

1.27

Tax Ratio

30.18%

Dividend Payout Ratio

28.02%

Pledged Shares

Institutional Holding

ROCE (avg)

5.98%

ROE (avg)

3.53%

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

0.77

EV to EBIT

11.54

EV to EBITDA

6.24

EV to Capital Employed

0.80

EV to Sales

0.53

PEG Ratio

0.44

Dividend Yield

ROCE (Latest)

6.90%

ROE (Latest)

6.84%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

No Trend

Mildly 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

5What is working for the Company

CASH AND EQV(HY)

Highest at JPY 5,423.68 MM

DEBT-EQUITY RATIO (HY)

Lowest at -9.39 %

INVENTORY TURNOVER RATIO(HY)

Highest at 4.66 times

DEBTORS TURNOVER RATIO(HY)

Highest at 3.99 times

NET SALES(Q)

Highest at JPY 2,739.54 MM

-10What is not working for the Company

INTEREST(HY)

At JPY 21.44 MM has Grown at 41.59%

RAW MATERIAL COST(Y)

Grown by 8.31% (YoY

NET PROFIT(Q)

At JPY 63.6 MM has Fallen at -29.03%

Here's what is working for Nippon Crucible Co., Ltd.

Net Sales

Highest at JPY 2,739.54 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 5,423.68 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -9.39 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 4.66 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 3.99 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 Nippon Crucible Co., Ltd.

Interest

At JPY 21.44 MM has Grown at 41.59%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 63.6 MM has Fallen at -29.03%

over average net sales of the previous four periods of JPY 89.62 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Raw Material Cost

Grown by 8.31% (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