ScoreWhy is Nippon Shikizai, Inc. ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 1.70% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 5.68% signifying low profitability per unit of shareholders funds
2
Flat results in May 25
- NET PROFIT(9M) At JPY 14.12 MM has Grown at -96.88%
- INTEREST(9M) At JPY 124.94 MM has Grown at 23.65%
- ROCE(HY) Lowest at 3.23%
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -1.24% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods
Real-Time Research ReportHow 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 FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Nippon Shikizai, Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Nippon Shikizai, Inc.
-0.25%
-0.90
25.11%
Japan Nikkei 225
38.59%
1.50
26.58%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.63%
EBIT Growth (5y)
1.70%
EBIT to Interest (avg)
-0.16
Debt to EBITDA (avg)
7.97
Net Debt to Equity (avg)
2.23
Sales to Capital Employed (avg)
1.23
Tax Ratio
35.10%
Dividend Payout Ratio
19.38%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
2.14%
ROE (avg)
5.68%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.56
EV to EBIT
21.72
EV to EBITDA
7.60
EV to Capital Employed
0.86
EV to Sales
0.60
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.98%
ROE (Latest)
5.69%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-22What is not working for the Company
NET PROFIT(9M)
At JPY 14.12 MM has Grown at -96.88%
INTEREST(9M)
At JPY 124.94 MM has Grown at 23.65%
ROCE(HY)
Lowest at 3.23%
NET SALES(Q)
At JPY 3,976.22 MM has Fallen at -9.8%
RAW MATERIAL COST(Y)
Grown by 23.05% (YoY
CASH AND EQV(HY)
Lowest at JPY 1,822.72 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.31%
Here's what is not working for Nippon Shikizai, Inc.
Net Profit
At JPY 68.45 MM has Grown at -83.44%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Interest
At JPY 80.67 MM has Grown at 17.74%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Sales
At JPY 3,976.22 MM has Fallen at -9.8%
over average net sales of the previous four periods of JPY 4,408.05 MMMOJO Watch
Near term sales trend is very negative
Net Sales (JPY MM)
Cash and Eqv
Lowest at JPY 1,822.72 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 5.31%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 23.05% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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