Nippon Seiro Co., Ltd. (5010) 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 Seiro Co., Ltd.

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Why is Nippon Seiro Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 3.59%

Poor long term growth as Net Sales has grown by an annual rate of -2.32% and Operating profit at 20.72% over the last 5 years
The company is Net-Debt Free

Underperformed the market in the last 1 year

The stock has generated a return of 18.75% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.83%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Nippon Seiro Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nippon Seiro Co., Ltd.

18.75%

0.46

40.82%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.32%

EBIT Growth (5y)

20.72%

EBIT to Interest (avg)

-3.30

Debt to EBITDA (avg)

8.09

Net Debt to Equity (avg)

2.59

Sales to Capital Employed (avg)

0.91

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.59%

ROE (avg)

11.75%

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

1.05

EV to EBIT

16.65

EV to EBITDA

9.60

EV to Capital Employed

1.02

EV to Sales

0.99

PEG Ratio

Dividend Yield

0.33%

ROCE (Latest)

6.11%

ROE (Latest)

11.47%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

11What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 187.85 %

INTEREST COVERAGE RATIO(Q)

Highest at 576.03

RAW MATERIAL COST(Y)

Fallen by -25.75% (YoY

CASH AND EQV(HY)

Highest at JPY 5,285 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 9.22 times

OPERATING PROFIT(Q)

Highest at JPY 697 MM

OPERATING PROFIT MARGIN(Q)

Highest at 15.48 %

PRE-TAX PROFIT(Q)

Highest at JPY 294 MM

-8What is not working for the Company

NET PROFIT(HY)

At JPY 427 MM has Grown at -31.24%

ROCE(HY)

Lowest at 13.26%

NET SALES(Q)

At JPY 4,503 MM has Fallen at -8.92%

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

Interest Coverage Ratio

Highest at 576.03

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debt-Equity Ratio

Lowest at 187.85 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Operating Profit

Highest at JPY 697 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 15.48 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 294 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 294 MM has Grown at 80.37%

over average net sales of the previous four periods of JPY 163 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Cash and Eqv

Highest at JPY 5,285 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 9.22 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 -25.75% (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 Seiro Co., Ltd.

Net Sales

At JPY 4,503 MM has Fallen at -8.92%

over average net sales of the previous four periods of JPY 4,944 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (JPY MM)

Net Profit

At JPY 427 MM has Grown at -31.24%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)