Okuma Corp. (6103) 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

Fuji Corp. (Machinery)

Horiba Ltd.

Fujitec Co., Ltd.

NOK Corp.

THK CO., LTD.

Fujitsu General Ltd.

Tokyo Seimitsu Co., Ltd.

Harmonic Drive Systems, Inc.

Okuma Corp.

Nabtesco Corp.

DMG MORI CO., LTD.

Why is Okuma Corp. ?

Poor long term growth as Operating profit has grown by an annual rate 26.53% of over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

INTEREST(HY) At JPY 53 MM has Grown at 60.61%
RAW MATERIAL COST(Y) Grown by 9.12% (YoY)
CASH AND EQV(HY) Lowest at JPY 85,384 MM

With ROE of 4.69%, it has a very attractive valuation with a 1.13 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 44.41%, its profits have fallen by -20.1%

Underperformed the market in the last 1 year

The stock has generated a return of 44.41% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 66.43%

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 Industrial Manufacturing)

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

Is Okuma Corp. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Okuma Corp.

44.07%

1.43

36.92%

Japan Nikkei 225

66.43%

2.61

25.49%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.90%

EBIT Growth (5y)

26.53%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.19

Sales to Capital Employed (avg)

0.93

Tax Ratio

35.09%

Dividend Payout Ratio

63.11%

Pledged Shares

Institutional Holding

ROCE (avg)

11.15%

ROE (avg)

6.21%

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

1.13

EV to EBIT

15.97

EV to EBITDA

9.98

EV to Capital Employed

1.15

EV to Sales

1.07

PEG Ratio

Dividend Yield

ROCE (Latest)

7.20%

ROE (Latest)

4.69%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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 SALES(Q)

Highest at JPY 61,291 MM

OPERATING PROFIT(Q)

Highest at JPY 6,890 MM

NET PROFIT(Q)

Highest at JPY 3,991 MM

EPS(Q)

Highest at JPY 65.94

-11What is not working for the Company

INTEREST(HY)

At JPY 53 MM has Grown at 60.61%

RAW MATERIAL COST(Y)

Grown by 9.12% (YoY

CASH AND EQV(HY)

Lowest at JPY 85,384 MM

DEBT-EQUITY RATIO (HY)

Highest at -13.47 %

Here's what is working for Okuma Corp.

Net Sales

Highest at JPY 61,291 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 6,890 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Net Profit

Highest at JPY 3,991 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 65.94

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Depreciation

Highest at JPY 2,507 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 Okuma Corp.

Interest

At JPY 53 MM has Grown at 60.61%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 85,384 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -13.47 %

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

Raw Material Cost

Grown by 9.12% (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