Nippon Seiki Co., Ltd. (7287) 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

KYB Corp.

Bando Chemical Industries Ltd.

Nippon Seiki Co., Ltd.

F.C.C. Co., Ltd.

Press Kogyo Co., Ltd.

Aisan Industry Co., Ltd.

Topre Corp.

Pacific Industrial Co., Ltd.

Musashi Seimitsu Industry Co., Ltd.

G-Tekt Corp.

PIOLAX, Inc.

Why is Nippon Seiki Co., Ltd. ?

With a growth in Operating Profit of 8.3%, the company declared Very Positive results in Dec 25

NET PROFIT(HY) At JPY 5,907 MM has Grown at 172.21%
OPERATING CASH FLOW(Y) Highest at JPY 30,158 MM
ROCE(HY) Highest at 4.61%

With ROCE of 4.47%, it has a very attractive valuation with a 0.38 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 99.92%, its profits have risen by 11.5% ; the PEG ratio of the company is 1.2
At the current price, the company has a high dividend yield of 0

Market Beating performance in long term as well as near term

Along with generating 99.92% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Nippon Seiki Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Nippon Seiki Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Nippon Seiki Co., Ltd.

99.92%

2.00

38.94%

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)

5.13%

EBIT Growth (5y)

4.78%

EBIT to Interest (avg)

14.29

Debt to EBITDA (avg)

2.09

Net Debt to Equity (avg)

-0.01

Sales to Capital Employed (avg)

1.24

Tax Ratio

32.88%

Dividend Payout Ratio

47.68%

Pledged Shares

Institutional Holding

0.10%

ROCE (avg)

2.22%

ROE (avg)

1.43%

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

0.39

EV to EBIT

8.42

EV to EBITDA

3.57

EV to Capital Employed

0.38

EV to Sales

0.25

PEG Ratio

1.16

Dividend Yield

0.04%

ROCE (Latest)

4.47%

ROE (Latest)

2.89%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Bullish

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

15What is working for the Company

NET PROFIT(HY)

At JPY 5,907 MM has Grown at 172.21%

OPERATING CASH FLOW(Y)

Highest at JPY 30,158 MM

ROCE(HY)

Highest at 4.61%

RAW MATERIAL COST(Y)

Fallen by -5.8% (YoY

CASH AND EQV(HY)

Highest at JPY 94,145 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 7.01 times

PRE-TAX PROFIT(Q)

Highest at JPY 4,678 MM

-2What is not working for the Company

INTEREST(Q)

At JPY 81 MM has Grown at inf%

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

Net Profit

At JPY 5,907 MM has Grown at 172.21%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Operating Cash Flow

Highest at JPY 30,158 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Pre-Tax Profit

Highest at JPY 4,678 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Cash and Eqv

Highest at JPY 94,145 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 7.01 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -5.8% (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 Seiki Co., Ltd.

Interest

At JPY 81 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)