OBIC Business Consultants Co., Ltd. (4733) 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

KONAMI Group Corp.

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Trend Micro, Inc.

Capcom Co., Ltd.

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OBIC Business Consultants Co., Ltd.

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Koei Tecmo Holdings Co., Ltd.

Oracle Corp Japan

Square Enix Holdings Co., Ltd.

Money Forward, Inc.

Why is OBIC Business Consultants Co., Ltd. ?

Low Debt Company with Strong Long Term Fundamental Strength

Healthy long term growth as Net Sales has grown by an annual rate of 11.99%
Company has very low debt and has enough cash to service the debt requirements
The company has been able to generate a Return on Capital Employed (avg) of 166.53% signifying high profitability per unit of total capital (equity and debt)

Positive results in Jun 26

ROCE(HY) Highest at 11.52%
INVENTORY TURNOVER RATIO(HY) Highest at 114.73 times
NET SALES(Q) Highest at JPY 13,831.75 MM

With ROE of 10.22%, it has a fair valuation with a 2.65 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 -11.09%, its profits have risen by 7% ; the PEG ratio of the company is 3.7

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to OBIC Business Consultants Co., Ltd. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

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

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

Is OBIC Business Consultants Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

OBIC Business Consultants Co., Ltd.

-11.09%

0.76

34.71%

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)

11.99%

EBIT Growth (5y)

14.18%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-1.01

Sales to Capital Employed (avg)

0.29

Tax Ratio

28.07%

Dividend Payout Ratio

46.02%

Pledged Shares

Institutional Holding

ROCE (avg)

151.48%

ROE (avg)

8.72%

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

2.65

EV to EBIT

12.13

EV to EBITDA

11.88

EV to Capital Employed

44.43

EV to Sales

5.59

PEG Ratio

3.72

Dividend Yield

ROCE (Latest)

366.29%

ROE (Latest)

10.22%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Bullish

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

12What is working for the Company

ROCE(HY)

Highest at 11.52%

INVENTORY TURNOVER RATIO(HY)

Highest at 114.73 times

NET SALES(Q)

Highest at JPY 13,831.75 MM

PRE-TAX PROFIT(Q)

Highest at JPY 7,130.03 MM

RAW MATERIAL COST(Y)

Fallen by -0.46% (YoY

OPERATING PROFIT(Q)

Highest at JPY 6,794.39 MM

OPERATING PROFIT MARGIN(Q)

Highest at 49.12 %

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -67.87 %

Here's what is working for OBIC Business Consultants Co., Ltd.

Net Sales

Highest at JPY 13,831.75 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Pre-Tax Profit

Highest at JPY 7,130.03 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Inventory Turnover Ratio

Highest at 114.73 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Operating Profit

Highest at JPY 6,794.39 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 49.12 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Raw Material Cost

Fallen by -0.46% (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 217.02 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 OBIC Business Consultants Co., Ltd.

Debt-Equity Ratio

Highest at -67.87 % and Grown

In each half year 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