Nishi-Nippon Financial Holdings, Inc. (7189) 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

Nishi-Nippon Financial Holdings, Inc.

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Why is Nishi-Nippon Financial Holdings, Inc. ?

With a growth in Interest of NAN%, the company declared Very Positive results in Dec 25

NII(Q) Highest at JPY 34,966 MM
NET PROFIT(HY) At JPY 25,169.92 MM has Grown at 86.61%
ROCE(HY) Highest at 0.3%

With ROA of 0.22%, it has a very attractive valuation with a 0.58 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 77.21%, its profits have risen by 31% ; the PEG ratio of the company is 0.3

Consistent Returns over the last 3 years

Along with generating 77.21% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Nishi-Nippon Financial Holdings, Inc. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

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

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

Is Nishi-Nippon Financial Holdings, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Nishi-Nippon Financial Holdings, Inc.

77.21%

2.36

39.18%

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)

5.80%

EBIT Growth (5y)

4.24%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

33.88%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

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

0.58

EV to EBIT

32.12

EV to EBITDA

26.36

EV to Capital Employed

0.80

EV to Sales

7.02

PEG Ratio

0.33

Dividend Yield

ROCE (Latest)

2.49%

ROE (Latest)

5.66%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

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

19What is working for the Company

NII(Q)

Highest at JPY 34,966 MM

NET PROFIT(HY)

At JPY 25,169.92 MM has Grown at 86.61%

ROCE(HY)

Highest at 0.3%

NET SALES(Q)

Highest at JPY 45,238 MM

CREDIT DEPOSIT RATIO(Q)

Highest at 0%

-8What is not working for the Company

INTEREST(9M)

At JPY 29,417 MM has Grown at 47.22%

ROCE(HY)

Lowest at 0.3%

CASH AND EQV(HY)

Lowest at JPY 2,991,697 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 23.07 %

Here's what is working for Nishi-Nippon Financial Holdings, Inc.

NII

Highest at JPY 34,966 MM and Grown

In each period in the last five periods

MOJO Watch

The bank's income from core business is increasing

Net NPA

Net Sales

Highest at JPY 45,238 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 45,238 MM has Grown at 23.24%

over average net sales of the previous four periods of JPY 36,707.25 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Credit Deposit Ratio

Highest at 0% and Grown

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

MOJO Watch

Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets

Credit Deposit Ratio (%)

Net Profit

At JPY 25,169.92 MM has Grown at 86.61%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

CASA

Highest at 12.91%

in the last five periods

MOJO Watch

The Bank's capital base vs its risk assets is improving. However, the bank may not be taking adequate risk in its lending book.

CAR (%)

Here's what is not working for Nishi-Nippon Financial Holdings, Inc.

Interest

At JPY 29,417 MM has Grown at 47.22%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit Margin

Lowest at 23.07 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at JPY 2,991,697 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Non Operating Income

Highest at JPY 0.43 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income