Oriental Chain Mfg. Co., Ltd. (6380) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Kawaden Corp.

The Kodensha, Co., Ltd.

Nippon Gear Co., Ltd.

NIKKO Co.

Nippon Tungsten Co., Ltd.

Oriental Chain Mfg. Co., Ltd.

Fuji Electric Industry Co., Ltd.

NKK Switches Co. Ltd.

Otani Kogyo Co., Ltd.

Almedio, Inc.

Origin Co., Ltd.

Why is Oriental Chain Mfg. Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 57.70% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 4.78% signifying low profitability per unit of shareholders funds

The company has declared Negative results for the last 3 consecutive quarters

PRE-TAX PROFIT(Q) At JPY 4.04 MM has Fallen at -88.31%
NET PROFIT(Q) At JPY 4.9 MM has Fallen at -80.42%
ROCE(HY) Lowest at 3.46%

With ROCE of 3.97%, it has a very expensive valuation with a 1.25 Enterprise value to Capital Employed

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 60.53%, its profits have fallen by -37.5%
At the current price, the company has a high dividend yield of 0

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 Electronics & Appliances)

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

Is Oriental Chain Mfg. Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Oriental Chain Mfg. Co., Ltd.

60.53%

1.33

51.69%

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)

4.43%

EBIT Growth (5y)

57.70%

EBIT to Interest (avg)

11.35

Debt to EBITDA (avg)

3.83

Net Debt to Equity (avg)

0.94

Sales to Capital Employed (avg)

1.20

Tax Ratio

30.91%

Dividend Payout Ratio

41.41%

Pledged Shares

Institutional Holding

ROCE (avg)

4.11%

ROE (avg)

4.78%

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

1.49

EV to EBIT

31.53

EV to EBITDA

12.48

EV to Capital Employed

1.25

EV to Sales

1.11

PEG Ratio

Dividend Yield

0.03%

ROCE (Latest)

3.97%

ROE (Latest)

5.06%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

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

1What is working for the Company

NET SALES(Q)

Highest at JPY 1,083.95 MM

-30What is not working for the Company

PRE-TAX PROFIT(Q)

At JPY 4.04 MM has Fallen at -88.31%

NET PROFIT(Q)

At JPY 4.9 MM has Fallen at -80.42%

ROCE(HY)

Lowest at 3.46%

INTEREST COVERAGE RATIO(Q)

Lowest at 1,223.62

RAW MATERIAL COST(Y)

Grown by 22.05% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 97.12 %

INTEREST(Q)

Highest at JPY 5.33 MM

OPERATING PROFIT(Q)

Lowest at JPY 65.22 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.02 %

Here's what is working for Oriental Chain Mfg. Co., Ltd.

Net Sales

Highest at JPY 1,083.95 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Here's what is not working for Oriental Chain Mfg. Co., Ltd.

Pre-Tax Profit

At JPY 4.04 MM has Fallen at -88.31%

over average net sales of the previous four periods of JPY 34.61 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 4.9 MM has Fallen at -80.42%

over average net sales of the previous four periods of JPY 25.03 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest

At JPY 5.33 MM has Grown at 14.57%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 1,223.62

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 5.33 MM

in the last five periods and Increased by 14.57% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY 65.22 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 6.02 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 97.12 %

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 22.05% (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