ScoreWhy is NOVARESE, Inc. ?
1
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 28.30
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 28.30
2
Poor long term growth as Net Sales has grown by an annual rate of 7.61% over the last 5 years
3
With a growth in Operating Profit of 34.46%, the company declared Very Positive results in Mar 26
- The company has declared positive results for the last 2 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at JPY 4,213.95 MM
- NET PROFIT(HY) Higher at JPY 1,054.92 MM
- RAW MATERIAL COST(Y) Fallen by 1.45% (YoY)
4
With ROCE of 11.71%, 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 -9.65%, its profits have risen by 89.3% ; the PEG ratio of the company is 0.1
5
Below par performance in long term as well as near term
- Along with generating -9.65% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to NOVARESE, Inc. should be less than 10%
- Overall Portfolio exposure to Tour, Travel Related Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is NOVARESE, Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
NOVARESE, Inc.
-100.0%
-0.32
18.63%
Japan Nikkei 225
81.96%
2.98
27.54%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.61%
EBIT Growth (5y)
8.89%
EBIT to Interest (avg)
28.30
Debt to EBITDA (avg)
3.88
Net Debt to Equity (avg)
1.93
Sales to Capital Employed (avg)
0.84
Tax Ratio
29.26%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.90%
ROE (avg)
8.34%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
6
Industry P/E
Price to Book Value
0.73
EV to EBIT
7.31
EV to EBITDA
3.44
EV to Capital Employed
0.86
EV to Sales
0.74
PEG Ratio
0.07
Dividend Yield
NA
ROCE (Latest)
11.71%
ROE (Latest)
12.43%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bearish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
OPERATING CASH FLOW(Y)
Highest at JPY 4,213.95 MM
NET PROFIT(HY)
Higher at JPY 1,054.92 MM
RAW MATERIAL COST(Y)
Fallen by 1.45% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 119.84 %
INVENTORY TURNOVER RATIO(HY)
Highest at 33.6 times
-1What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 47.4 times
Here's what is working for NOVARESE, Inc.
Operating Cash Flow
Highest at JPY 4,213.95 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (JPY MM)
Net Profit
Higher at JPY 1,054.92 MM
than preceding 12 month period ended Mar 2026MOJO Watch
In the half year the company has already crossed Net Profit of the previous twelve months
Net Profit (JPY MM)
Debt-Equity Ratio
Lowest at 119.84 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 33.6 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by 1.45% (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 NOVARESE, Inc.
Debtors Turnover Ratio
Lowest at 47.4 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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