Nissan Chemical Corp. (4021) 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

Nissan Chemical Corp.

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Why is Nissan Chemical Corp. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 18.28%

Company has very low debt and has enough cash to service the debt requirements

The company has declared Positive results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Highest at JPY 64,164 MM
ROCE(HY) Highest at 20.35%
RAW MATERIAL COST(Y) Fallen by -4.54% (YoY)

With ROE of 19.53%, it has a very attractive valuation with a 4.35 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 46.16%, its profits have risen by 6.7% ; the PEG ratio of the company is 2.7
At the current price, the company has a high dividend yield of 0

Majority shareholders : Non Institution

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Nissan Chemical Corp. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Nissan Chemical Corp. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Nissan Chemical Corp.

46.16%

1.87

33.20%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.61%

EBIT Growth (5y)

8.30%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

0.10

Net Debt to Equity (avg)

0.06

Sales to Capital Employed (avg)

0.91

Tax Ratio

23.37%

Dividend Payout Ratio

54.85%

Pledged Shares

Institutional Holding

ROCE (avg)

23.56%

ROE (avg)

18.28%

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

4.35

EV to EBIT

17.43

EV to EBITDA

13.90

EV to Capital Employed

4.26

EV to Sales

3.89

PEG Ratio

2.71

Dividend Yield

ROCE (Latest)

24.42%

ROE (Latest)

19.53%

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 Bearish

No Trend

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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JPY 64,164 MM

ROCE(HY)

Highest at 20.35%

RAW MATERIAL COST(Y)

Fallen by -4.54% (YoY

CASH AND EQV(HY)

Highest at JPY 69,769 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 1.9 times

DIVIDEND PER SHARE(HY)

Highest at JPY 2.89

NET SALES(Q)

Highest at JPY 84,151 MM

OPERATING PROFIT(Q)

Highest at JPY 22,927 MM

PRE-TAX PROFIT(Q)

Highest at JPY 19,384 MM

NET PROFIT(Q)

Highest at JPY 14,665 MM

EPS(Q)

Highest at JPY 109.17

-2What is not working for the Company

INTEREST(Q)

At JPY 103 MM has Grown at 45.07%

Here's what is working for Nissan Chemical Corp.

Operating Cash Flow

Highest at JPY 64,164 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Net Sales

Highest at JPY 84,151 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 22,927 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 19,384 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 14,665 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 109.17

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 69,769 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 1.9 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at JPY 2.89

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -4.54% (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

Depreciation

Highest at JPY 4,361 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Nissan Chemical Corp.

Interest

At JPY 103 MM has Grown at 45.07%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)