Nippon Parking Development Co., Ltd. (2353) 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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Nippon Parking Development Co., Ltd.

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Why is Nippon Parking Development Co., Ltd. ?

High Management Efficiency with a high ROE of 31.53%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 69.09

Healthy long term growth as Net Sales has grown by an annual rate of 7.35% and Operating profit at 12.72%

The company has declared Negative results for the last 7 consecutive quarters

ROCE(HY) Lowest at 28.7%
INVENTORY TURNOVER RATIO(HY) Lowest at 12.51 times
DEBT-EQUITY RATIO (HY) Highest at 7.04 %

With ROE of 35.45%, it has a very attractive valuation with a 5.06 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 10.92%, its profits have risen by 29.3% ; the PEG ratio of the company is 0.5

Underperformed the market in the last 1 year

The stock has generated a return of 10.92% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nippon Parking Development Co., Ltd. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is Nippon Parking Development Co., Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Nippon Parking Development Co., Ltd.

10.92%

1.38

27.11%

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)

7.35%

EBIT Growth (5y)

12.72%

EBIT to Interest (avg)

69.78

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.01

Sales to Capital Employed (avg)

1.09

Tax Ratio

20.04%

Dividend Payout Ratio

53.17%

Pledged Shares

Institutional Holding

ROCE (avg)

55.87%

ROE (avg)

31.53%

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

5.06

EV to EBIT

11.63

EV to EBITDA

9.40

EV to Capital Employed

5.11

EV to Sales

2.43

PEG Ratio

0.49

Dividend Yield

ROCE (Latest)

43.96%

ROE (Latest)

35.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 1.36% (YoY

CASH AND EQV(HY)

Highest at JPY 42,496.91 MM

-16What is not working for the Company

ROCE(HY)

Lowest at 28.7%

INVENTORY TURNOVER RATIO(HY)

Lowest at 12.51 times

DEBT-EQUITY RATIO (HY)

Highest at 7.04 %

INTEREST(Q)

Highest at JPY 59 MM

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

Cash and Eqv

Highest at JPY 42,496.91 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by 1.36% (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 Nippon Parking Development Co., Ltd.

Interest

At JPY 59 MM has Grown at 38.66%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 12.51 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Interest

Highest at JPY 59 MM

in the last five periods and Increased by 38.66% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 7.04 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio