Okura Industrial Co., Ltd. (4221) 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

Riken Technos Corp.

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Sakai Chemical Industry Co., Ltd.

Dainichiseika Color & Chemicals Mfg. Co., Ltd.

Koatsu Gas Kogyo Co., Ltd.

Okura Industrial Co., Ltd.

Stella Chemifa Corp.

Kanto Denka Kogyo Co., Ltd.

Tayca Corp.

Tanaka Chemical Corp.

Why is Okura Industrial Co., Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Poor long term growth as Net Sales has grown by an annual rate of -0.02% and Operating profit at 7.87% over the last 5 years

Negative results in Dec 25

INTEREST(HY) At JPY 31 MM has Grown at 63.16%
NET PROFIT(HY) At JPY 2,024.72 MM has Grown at -42.88%
ROCE(HY) Lowest at 6.1%

With ROE of 10.48%, it has a very attractive valuation with a 0.87 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 19.20%, its profits have risen by 43.2% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

The stock has generated a return of 19.20% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Okura Industrial Co., Ltd. should be less than 10%
Overall Portfolio exposure to Specialty Chemicals should be less than 30%

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

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

Is Okura Industrial Co., Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Okura Industrial Co., Ltd.

19.2%

2.12

26.80%

Japan Nikkei 225

38.94%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.02%

EBIT Growth (5y)

7.87%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

1.21

Tax Ratio

26.68%

Dividend Payout Ratio

43.97%

Pledged Shares

Institutional Holding

ROCE (avg)

9.25%

ROE (avg)

7.90%

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

0.87

EV to EBIT

9.49

EV to EBITDA

4.62

EV to Capital Employed

0.86

EV to Sales

0.57

PEG Ratio

0.19

Dividend Yield

0.02%

ROCE (Latest)

9.03%

ROE (Latest)

10.48%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

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

4What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 283.97%

RAW MATERIAL COST(Y)

Fallen by -4.91% (YoY

NET SALES(Q)

Highest at JPY 22,425 MM

-17What is not working for the Company

INTEREST(HY)

At JPY 31 MM has Grown at 63.16%

NET PROFIT(HY)

At JPY 2,024.72 MM has Grown at -42.88%

ROCE(HY)

Lowest at 6.1%

CASH AND EQV(HY)

Lowest at JPY 15,786 MM

DEBT-EQUITY RATIO (HY)

Highest at -1.98 %

EPS(Q)

Lowest at JPY 29.93

Here's what is working for Okura Industrial Co., Ltd.

Dividend Payout Ratio

Highest at 283.97% and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Net Sales

Highest at JPY 22,425 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Raw Material Cost

Fallen by -4.91% (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 Okura Industrial Co., Ltd.

Interest

At JPY 31 MM has Grown at 63.16%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 2,024.72 MM has Grown at -42.88%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 29.93

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Cash and Eqv

Lowest at JPY 15,786 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -1.98 %

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