Oita Bank, Ltd. (8392) 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

First Bank of Toyama Ltd.

Okinawa Financial Group, Inc.

The Ogaki Kyoritsu Bank Ltd.

The Bank of Iwate Ltd.

TOMONY Holdings, Inc.

Bank of The Ryukyus, Ltd.

The Bank of Nagoya Ltd.

Oita Bank, Ltd.

San ju San Financial Group, Inc.

Nanto Bank Ltd.

The Miyazaki Bank Ltd.

Why is Oita Bank, Ltd. ?

Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 10.50% signifying inadequate buffers against its risk based assets

Poor long term growth as Net profit has grown by an annual rate of 8.30%
Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 10.50% signifying inadequate buffers against its risk based assets
The bank has been able to generate a Return on Assets (avg) of 0.08% signifying low profitability per unit of total assets

With a growth in Interest of 1.03%, the company declared Very Positive results in Mar 26

NII(Q) Highest at JPY 14,829 MM
NET PROFIT(HY) At JPY 6,215.35 MM has Grown at 61.01%
ROCE(HY) Highest at 0.23%

With ROA of 0.16%, it has a fair valuation with a 0.67 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 203.44%, its profits have risen by 16% ; the PEG ratio of the company is 1.2
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Oita Bank, Ltd. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

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

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.00%

EBIT Growth (5y)

6.94%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

22.65%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

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

0.67

EV to EBIT

11.50

EV to EBITDA

9.78

EV to Capital Employed

0.58

EV to Sales

2.18

PEG Ratio

1.20

Dividend Yield

ROCE (Latest)

5.06%

ROE (Latest)

3.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly 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

22What is working for the Company

NII(Q)

Highest at JPY 14,829 MM

NET PROFIT(HY)

At JPY 6,215.35 MM has Grown at 61.01%

ROCE(HY)

Highest at 0.23%

NET SALES(Q)

Highest at JPY 18,772 MM

CREDIT DEPOSIT RATIO(Q)

Highest at 1.58%

DIVIDEND PER SHARE(HY)

Highest at JPY 0

-9What is not working for the Company

INTEREST(9M)

At JPY 10,914 MM has Grown at 129.96%

ROCE(HY)

Lowest at 0.23%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 41.3%

OPERATING PROFIT(Q)

Lowest at JPY -3,179 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -16.93 %

Here's what is working for Oita Bank, Ltd.

NII

Highest at JPY 14,829 MM and Grown

In each period in the last five periods

MOJO Watch

The bank's income from core business is increasing

Net NPA

Net Sales

Highest at JPY 18,772 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 18,772 MM has Grown at 27.55%

over average net sales of the previous four periods of JPY 14,717.5 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Credit Deposit Ratio

Highest at 1.58% and Grown

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

MOJO Watch

Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets

Credit Deposit Ratio (%)

Net Profit

At JPY 6,215.35 MM has Grown at 61.01%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Dividend per share

Highest at JPY 0

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Here's what is not working for Oita Bank, Ltd.

Interest

At JPY 10,914 MM has Grown at 129.96%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY -3,179 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -16.93 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Dividend Payout Ratio

Lowest at 41.3%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Non Operating Income

Highest at JPY 1.93 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income