Ohmura Shigyo Co., Ltd. (3953) 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

Sun A. Kaken Co., Ltd.

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Ohmura Shigyo Co., Ltd.

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MICS Chemical Co., Ltd.

Why is Ohmura Shigyo Co., Ltd. ?

Poor Management Efficiency with a low ROE of 3.58%

The company has been able to generate a Return on Equity (avg) of 3.58% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 3.58%

Poor long term growth as Net Sales has grown by an annual rate of 4.29% and Operating profit at 5.74% over the last 5 years
The company has been able to generate a Return on Equity (avg) of 3.58% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 4.29% and Operating profit at 5.74% over the last 5 years

With a growth in Operating Profit of 9.88%, the company declared Very Positive results in Mar 26

ROCE(HY) Highest at 7.33%
DEBTORS TURNOVER RATIO(HY) Highest at 5.2 times
RAW MATERIAL COST(Y) Fallen by -5.16% (YoY)

With ROE of 4.85%, it has a very attractive valuation with a 0.53 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 -2.11%, its profits have risen by 18.4% ; the PEG ratio of the company is 0.6

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ohmura Shigyo Co., Ltd. should be less than 10%
Overall Portfolio exposure to Packaging should be less than 30%

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

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

Is Ohmura Shigyo Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ohmura Shigyo Co., Ltd.

1.39%

0.04

17.12%

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)

4.29%

EBIT Growth (5y)

5.74%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.55

Sales to Capital Employed (avg)

1.18

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

29.19%

Pledged Shares

Institutional Holding

ROCE (avg)

13.42%

ROE (avg)

3.58%

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

0.53

EV to EBIT

-0.07

EV to EBITDA

-0.05

EV to Capital Employed

-0.01

EV to Sales

-0.00

PEG Ratio

0.60

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

4.85%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

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

17What is working for the Company

ROCE(HY)

Highest at 7.33%

DEBTORS TURNOVER RATIO(HY)

Highest at 5.2 times

RAW MATERIAL COST(Y)

Fallen by -5.16% (YoY

NET PROFIT(Q)

Highest at JPY 197.42 MM

EPS(Q)

Highest at JPY 54.11

-10What is not working for the Company

INTEREST(HY)

At JPY 2.46 MM has Grown at 37.53%

CASH AND EQV(HY)

Lowest at JPY 4,959.25 MM

DEBT-EQUITY RATIO (HY)

Highest at -40.1 %

Here's what is working for Ohmura Shigyo Co., Ltd.

Net Profit

At JPY 197.42 MM has Grown at 195.99%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Debtors Turnover Ratio

Highest at 5.2 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Profit

Highest at JPY 197.42 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 54.11

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -5.16% (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 Ohmura Shigyo Co., Ltd.

Interest

At JPY 2.46 MM has Grown at 37.53%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 4,959.25 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -40.1 %

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