Optoelectronics Co., Ltd. (6664) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Nippon Primex Inc.

Optoelectronics Co., Ltd.

Why is Optoelectronics Co., Ltd. ?

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 3.90

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 3.90
The company has been able to generate a Return on Equity (avg) of 4.53% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -1.55% and Operating profit at -2.20% over the last 5 years

Flat results in May 25

CASH AND EQV(HY) Lowest at JPY 8,628.49 MM
INTEREST(Q) Highest at JPY 17.08 MM

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 45.69%, its profits have risen by 43.9%

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 IT - Hardware)

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

Is Optoelectronics Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Optoelectronics Co., Ltd.

45.69%

0.03

68.06%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.55%

EBIT Growth (5y)

-2.20%

EBIT to Interest (avg)

4.36

Debt to EBITDA (avg)

2.59

Net Debt to Equity (avg)

0.29

Sales to Capital Employed (avg)

0.53

Tax Ratio

14.34%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

4.74%

ROE (avg)

4.53%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.32

EV to EBIT

-5.60

EV to EBITDA

-8.03

EV to Capital Employed

0.47

EV to Sales

0.48

PEG Ratio

Dividend Yield

ROCE (Latest)

-8.45%

ROE (Latest)

-10.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

No Trend

Mildly Bullish

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

RAW MATERIAL COST(Y)

Fallen by -1.8% (YoY

OPERATING PROFIT(Q)

Highest at JPY 51 MM

OPERATING PROFIT MARGIN(Q)

Highest at 3.07 %

PRE-TAX PROFIT(Q)

Highest at JPY 34.42 MM

NET PROFIT(Q)

Highest at JPY 25.61 MM

EPS(Q)

Highest at JPY 4.15

-10What is not working for the Company

CASH AND EQV(HY)

Lowest at JPY 8,628.49 MM

INTEREST(Q)

Highest at JPY 17.08 MM

Here's what is working for Optoelectronics Co., Ltd.

Pre-Tax Profit

At JPY 34.42 MM has Grown at 127.1%

over average net sales of the previous four periods of JPY -127.04 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 25.61 MM has Grown at 118.26%

over average net sales of the previous four periods of JPY -140.26 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Operating Profit

Highest at JPY 51 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 3.07 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 34.42 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 25.61 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 4.15

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -1.8% (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 Optoelectronics Co., Ltd.

Interest

Highest at JPY 17.08 MM

in the last five periods and Increased by 8.9% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 8,628.49 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents