Nulab, Inc. (Japan) () 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

Dawn Corp.

TeamSpirit, Inc.

Hybrid Technologies Co., Ltd.

Rakumo, Inc.

BlueMeme, Inc.

HPC Systems, Inc.

Beaglee Inc.

Nulab, Inc. (Japan)

ImageONE Co., Ltd.

All About, Inc.

TECHNOLOGIES, Inc.

Why is Nulab, Inc. (Japan) ?

Weak Long Term Fundamental Strength with a 27.22% CAGR growth in Operating Profits over the last 5 years

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Operating profit has grown by an annual rate 27.22% of over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At JPY 0.14 MM has Grown at 504.17%
ROCE(HY) Lowest at 9.19%
NET PROFIT(Q) At JPY 73.94 MM has Fallen at -51.87%

With ROE of 17.71%, it has a expensive valuation with a 2.32 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 -9.94%, its profits have risen by 7.9% ; the PEG ratio of the company is 1.7

Underperformed the market in the last 1 year

Even though the market (Japan Nikkei 225) has generated returns of 59.79% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -9.94% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Nulab, Inc. (Japan) for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nulab, Inc. (Japan)

-100.0%

-0.37

35.64%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

34.61%

EBIT Growth (5y)

27.22%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-1.64

Sales to Capital Employed (avg)

2.30

Tax Ratio

32.03%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

20.45%

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

2.32

EV to EBIT

3.83

EV to EBITDA

2.96

EV to Capital Employed

-1.13

EV to Sales

0.34

PEG Ratio

1.66

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

17.71%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

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

4What is working for the Company

NET SALES(Q)

Highest at JPY 1,129.35 MM

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

-23What is not working for the Company

INTEREST(HY)

At JPY 0.14 MM has Grown at 504.17%

ROCE(HY)

Lowest at 9.19%

NET PROFIT(Q)

At JPY 73.94 MM has Fallen at -51.87%

DEBT-EQUITY RATIO (HY)

Highest at -150.31 %

OPERATING PROFIT(Q)

Lowest at JPY 87.79 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 7.77 %

PRE-TAX PROFIT(Q)

Lowest at JPY 66.84 MM

EPS(Q)

Lowest at JPY -5.58

Here's what is working for Nulab, Inc. (Japan)

Net Sales

Highest at JPY 1,129.35 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Depreciation

Highest at JPY 34.52 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 Nulab, Inc. (Japan)

Interest

At JPY 0.14 MM has Grown at 504.17%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 73.94 MM has Fallen at -51.87%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Operating Profit

Lowest at JPY 87.79 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 7.77 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 66.84 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

EPS

Lowest at JPY -5.58

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -150.31 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio