Noritsu Koki Co., Ltd. (7744) 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

Allied Telesis Holdings K.K.

Harada Industry Co., Ltd.

NIPPON ANTENNA CO., LTD.

TOA Corp. (6809)

Noritsu Koki Co., Ltd.

Furuno Electric Co., Ltd.

Santec Holdings Corp.

Icom, Inc.

TECHNO HORIZON Co., Ltd.

SAXA Holdings, Inc.

Iwatsu Electric Co., Ltd.

Why is Noritsu Koki Co., Ltd. ?

Strong Long Term Fundamental Strength with a 11.57% CAGR growth in Net Sales

Healthy long term growth as Net Sales has grown by an annual rate of 11.57%

With ROE of 5.56%, it has a very attractive valuation with a 0.76 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 28.94%, its profits have fallen by -17.6%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Noritsu Koki Co., Ltd. should be less than 10%
Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

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

Is Noritsu Koki Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Noritsu Koki Co., Ltd.

28.94%

-0.68

76.52%

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)

11.57%

EBIT Growth (5y)

22.71%

EBIT to Interest (avg)

15.83

Debt to EBITDA (avg)

0.18

Net Debt to Equity (avg)

-0.26

Sales to Capital Employed (avg)

0.40

Tax Ratio

30.33%

Dividend Payout Ratio

40.08%

Pledged Shares

Institutional Holding

ROCE (avg)

8.13%

ROE (avg)

5.15%

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

0.76

EV to EBIT

5.80

EV to EBITDA

4.46

EV to Capital Employed

0.68

EV to Sales

1.01

PEG Ratio

Dividend Yield

ROCE (Latest)

11.72%

ROE (Latest)

5.56%

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

Mildly Bullish

OBV

No Trend

Mildly Bullish

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

10What is working for the Company

NET PROFIT(HY)

At JPY 8,379 MM has Grown at 80.5%

DIVIDEND PAYOUT RATIO(Y)

Highest at 171.28%

RAW MATERIAL COST(Y)

Fallen by -2.91% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -27.91 %

NET SALES(Q)

Highest at JPY 32,970 MM

-13What is not working for the Company

INTEREST(HY)

At JPY 340 MM has Grown at 21.86%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.55 times

OPERATING PROFIT MARGIN(Q)

Lowest at 15.14 %

PRE-TAX PROFIT(Q)

Lowest at JPY 4,236 MM

NET PROFIT(Q)

Lowest at JPY 2,309 MM

EPS(Q)

Lowest at JPY 20.74

Here's what is working for Noritsu Koki Co., Ltd.

Net Sales

Highest at JPY 32,970 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 32,970 MM has Grown at 15.33%

over average net sales of the previous four periods of JPY 28,588.75 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Debt-Equity Ratio

Lowest at -27.91 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Dividend Payout Ratio

Highest at 171.28%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -2.91% (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 Noritsu Koki Co., Ltd.

Interest

At JPY 340 MM has Grown at 21.86%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 2,309 MM has Fallen at -44.14%

over average net sales of the previous four periods of JPY 4,133.5 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Operating Profit Margin

Lowest at 15.14 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 4,236 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 2,309 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 20.74

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Inventory Turnover Ratio

Lowest at 2.55 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio