ScoreComparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Nishi-Nippon Railroad Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 3.64%
- The company has been able to generate a Return on Capital Employed (avg) of 3.64% signifying low profitability per unit of total capital (equity and debt)
2
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 2.63% and Operating profit at 10.15% 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 7.10% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 2.63% and Operating profit at 10.15% over the last 5 years
4
Flat results in Jun 25
- INTEREST(HY) At JPY 1,526 MM has Grown at 28.02%
- INTEREST COVERAGE RATIO(Q) Lowest at 1,260.65
- RAW MATERIAL COST(Y) Grown by 13.46% (YoY)
5
With ROCE of 4.72%, it has a very attractive valuation with a 0.86 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 22.82%, its profits have fallen by -12%
- At the current price, the company has a high dividend yield of 0
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Nishi-Nippon Railroad Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Transport Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Transport Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
No Data Found
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.63%
EBIT Growth (5y)
10.15%
EBIT to Interest (avg)
6.64
Debt to EBITDA (avg)
10.56
Net Debt to Equity (avg)
1.26
Sales to Capital Employed (avg)
0.78
Tax Ratio
30.36%
Dividend Payout Ratio
14.97%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
3.64%
ROE (avg)
7.10%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
8
Industry P/E
Price to Book Value
0.67
EV to EBIT
18.15
EV to EBITDA
10.32
EV to Capital Employed
0.86
EV to Sales
1.09
PEG Ratio
NA
Dividend Yield
0.02%
ROCE (Latest)
4.72%
ROE (Latest)
8.69%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-13What is not working for the Company
INTEREST(HY)
At JPY 1,526 MM has Grown at 28.02%
INTEREST COVERAGE RATIO(Q)
Lowest at 1,260.65
RAW MATERIAL COST(Y)
Grown by 13.46% (YoY
NET SALES(Q)
At JPY 103,628 MM has Fallen at -6.54%
OPERATING PROFIT(Q)
Lowest at JPY 9,644 MM
Here's what is not working for Nishi-Nippon Railroad Co., Ltd.
Interest
At JPY 1,526 MM has Grown at 28.02%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 1,260.65
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Sales
At JPY 103,628 MM has Fallen at -6.54%
over average net sales of the previous four periods of JPY 110,873.75 MMMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Operating Profit
Lowest at JPY 9,644 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (JPY MM)
Raw Material Cost
Grown by 13.46% (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
Non Operating Income
Highest at JPY 0.65 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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