ScoreWhy is NOVARESE, Inc. ?
1
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.59
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.59
2
Poor long term growth as Net Sales has grown by an annual rate of -0.10% over the last 5 years
3
The company has declared Negative results for the last 4 consecutive quarters
- INTEREST(HY) At JPY 226.63 MM has Grown at 30.81%
4
With ROCE of 5.83%, it has a expensive valuation with a 0.96 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 -7.50%, its profits have fallen by -31%
5
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -7.50% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods
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.
-7.5%
0.49
23.00%
Japan Nikkei 225
27.37%
1.06
25.71%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-0.10%
EBIT Growth (5y)
-8.21%
EBIT to Interest (avg)
28.30
Debt to EBITDA (avg)
3.88
Net Debt to Equity (avg)
1.51
Sales to Capital Employed (avg)
0.79
Tax Ratio
29.26%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.90%
ROE (avg)
33,144.66%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.89
EV to EBIT
16.51
EV to EBITDA
6.21
EV to Capital Employed
0.96
EV to Sales
1.25
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
5.83%
ROE (Latest)
9.19%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
NET PROFIT(HY)
At JPY 216.56 MM has Grown at 1,170.65%
RAW MATERIAL COST(Y)
Fallen by 1.81% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 131.42 %
-8What is not working for the Company
INTEREST(HY)
At JPY 226.63 MM has Grown at 30.81%
Here's what is working for NOVARESE, Inc.
Net Profit
At JPY 216.56 MM has Grown at 1,170.65%
Year on Year (YoY)MOJO Watch
Net Profit trend is very positive
Net Profit (JPY MM)
Debt-Equity Ratio
Lowest at 131.42 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by 1.81% (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.
Interest
At JPY 226.63 MM has Grown at 30.81%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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