ODK Solutions Co., Ltd. (3839) 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

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ODK Solutions Co., Ltd.

Why is ODK Solutions Co., Ltd. ?

Poor Management Efficiency with a low ROE of 5.90%

The company has been able to generate a Return on Equity (avg) of 5.90% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 5.90%

Poor long term growth as Net Sales has grown by an annual rate of 4.41% over the last 5 years
The company has been able to generate a Return on Equity (avg) of 5.90% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 4.41% over the last 5 years

Negative results in Jun 26

ROCE(HY) Lowest at 1.79%
RAW MATERIAL COST(Y) Grown by 15.15% (YoY)
NET SALES(Q) Lowest at JPY 971.09 MM

Underperformed the market in the last 1 year

The stock has generated a return of 6.37% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%

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 Commercial Services & Supplies)

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

Is ODK Solutions Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

ODK Solutions Co., Ltd.

-100.0%

0.46

13.38%

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)

4.41%

EBIT Growth (5y)

-1.76%

EBIT to Interest (avg)

94.36

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.34

Sales to Capital Employed (avg)

0.89

Tax Ratio

64.32%

Dividend Payout Ratio

58.70%

Pledged Shares

Institutional Holding

ROCE (avg)

12.75%

ROE (avg)

5.90%

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

0.85

EV to EBIT

7.32

EV to EBITDA

3.08

EV to Capital Employed

0.78

EV to Sales

0.50

PEG Ratio

Dividend Yield

ROCE (Latest)

10.70%

ROE (Latest)

4.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

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

6What is working for the Company

NET PROFIT(HY)

Higher at JPY 479.48 MM

CASH AND EQV(HY)

Highest at JPY 7,783.27 MM

DEBT-EQUITY RATIO (HY)

Lowest at -60.8 %

DEBTORS TURNOVER RATIO(HY)

Highest at 11.27 times

-14What is not working for the Company

ROCE(HY)

Lowest at 1.79%

RAW MATERIAL COST(Y)

Grown by 15.15% (YoY

NET SALES(Q)

Lowest at JPY 971.09 MM

INTEREST(Q)

Highest at JPY 1.41 MM

OPERATING PROFIT(Q)

Lowest at JPY -124.71 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -12.84 %

PRE-TAX PROFIT(Q)

Lowest at JPY -231.16 MM

NET PROFIT(Q)

Lowest at JPY -185.88 MM

EPS(Q)

Lowest at JPY -21.54

Here's what is working for ODK Solutions Co., Ltd.

Cash and Eqv

Highest at JPY 7,783.27 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -60.8 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 11.27 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for ODK Solutions Co., Ltd.

Interest

At JPY 1.41 MM has Grown at 18.67%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 971.09 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Interest

Highest at JPY 1.41 MM

in the last five periods and Increased by 18.67% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY -124.71 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -12.84 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -231.16 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 -185.88 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -21.54

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Raw Material Cost

Grown by 15.15% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales