Nippon Fine Chemical Co., Ltd. (4362) 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

Sanyo Chemical Industries Ltd.

JCU Corp.

Nippon Fine Chemical Co., Ltd.

Nippon Kayaku Co., Ltd.

Nippon Shokubai Co., Ltd.

Nippon Soda Co., Ltd.

Asahi Kasei Corp.

Mitsui Chemicals, Inc.

Kuraray Co., Ltd.

KH Neochem Co., Ltd.

Mitsubishi Chemical Group Corp.

Why is Nippon Fine Chemical Co., Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Positive results in Mar 26

DIVIDEND PAYOUT RATIO(Y) Highest at 113.44%
RAW MATERIAL COST(Y) Fallen by -6.26% (YoY)
CASH AND EQV(HY) Highest at JPY 29,722.44 MM

With ROE of 9.32%, it has a very attractive valuation with a 1.25 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 5.50%, its profits have risen by 17.1% ; the PEG ratio of the company is 0.5
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

The stock has generated a return of 5.50% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 88.41%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nippon Fine Chemical Co., Ltd. should be less than 10%
Overall Portfolio exposure to Chemicals & Petrochemicals should be less than 30%

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

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

Is Nippon Fine Chemical Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nippon Fine Chemical Co., Ltd.

4.72%

-0.19

28.90%

Japan Nikkei 225

88.41%

3.25

27.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.72%

EBIT Growth (5y)

4.99%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.27

Sales to Capital Employed (avg)

0.72

Tax Ratio

26.24%

Dividend Payout Ratio

43.01%

Pledged Shares

Institutional Holding

ROCE (avg)

13.97%

ROE (avg)

8.26%

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

1.25

EV to EBIT

9.62

EV to EBITDA

7.40

EV to Capital Employed

1.35

EV to Sales

1.41

PEG Ratio

0.54

Dividend Yield

ROCE (Latest)

14.08%

ROE (Latest)

9.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

No Trend

Mildly Bullish

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

6What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 113.44%

RAW MATERIAL COST(Y)

Fallen by -6.26% (YoY

CASH AND EQV(HY)

Highest at JPY 29,722.44 MM

DEBT-EQUITY RATIO (HY)

Lowest at -29.53 %

DEBTORS TURNOVER RATIO(HY)

Highest at 4.14 times

DIVIDEND PER SHARE(HY)

Highest at JPY 4.14

-2What is not working for the Company

NET SALES(HY)

At JPY 16,300.55 MM has Grown at -10.86%

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

Cash and Eqv

Highest at JPY 29,722.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -29.53 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 4.14 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at JPY 4.14

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 113.44%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -6.26% (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

Depreciation

Highest at JPY 447.2 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 Nippon Fine Chemical Co., Ltd.

Net Sales

At JPY 16,300.55 MM has Grown at -10.86%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)