Ohashi Technica Inc. (7628) 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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Ohashi Technica Inc.

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Why is Ohashi Technica Inc. ?

Poor Management Efficiency with a low ROE of 4.57%

The company has been able to generate a Return on Equity (avg) of 4.57% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a 2.82% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 4.57% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 6.49% and Operating profit at 2.82% over the last 5 years

Negative results in Mar 26

DEBT-EQUITY RATIO (HY) Highest at -54.89 %
INVENTORY TURNOVER RATIO(HY) Lowest at 4.09 times
NET PROFIT(Q) Lowest at JPY -379.71 MM

With ROE of 6.27%, it has a very attractive valuation with a 0.74 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 -48.47%, its profits have risen by 45.8%

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 -48.47% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ohashi Technica Inc. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

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

Is Ohashi Technica Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ohashi Technica Inc.

-48.47%

-0.49

60.26%

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)

6.49%

EBIT Growth (5y)

2.82%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

1.04

Tax Ratio

33.15%

Dividend Payout Ratio

45.45%

Pledged Shares

Institutional Holding

ROCE (avg)

12.96%

ROE (avg)

4.57%

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

0.74

EV to EBIT

4.01

EV to EBITDA

2.73

EV to Capital Employed

0.46

EV to Sales

0.22

PEG Ratio

Dividend Yield

ROCE (Latest)

11.53%

ROE (Latest)

6.27%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

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

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -3.97% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 6.09 times

DIVIDEND PER SHARE(HY)

Highest at JPY 6.09

-11What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -54.89 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.09 times

NET PROFIT(Q)

Lowest at JPY -379.71 MM

EPS(Q)

Lowest at JPY -2.74

Here's what is working for Ohashi Technica Inc.

Debtors Turnover Ratio

Highest at 6.09 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at JPY 6.09

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -3.97% (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 Ohashi Technica Inc.

Net Profit

At JPY -379.71 MM has Fallen at -162.15%

over average net sales of the previous four periods of JPY 610.98 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Net Profit

Lowest at JPY -379.71 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -2.74

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -54.89 %

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

Inventory Turnover Ratio

Lowest at 4.09 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Non Operating Income

Highest at JPY 1.56 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income