OSAKA SODA CO., LTD. (4046) 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

Japan Material Co., Ltd.

Nifco, Inc.

DIC Corp.

OSAKA SODA CO., LTD.

Daicel Corp.

Kaneka Corp.

UBE Corp.

Resonac Holdings Corp.

Denka Co., Ltd.

Air Water, Inc.

Mitsubishi Gas Chemical Co., Inc.

Why is OSAKA SODA 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 -1.23% over the last 5 years

With a growth in Operating Profit of 5.69%, the company declared Very Positive results in Dec 25

ROCE(HY) Highest at 10.94%
INTEREST COVERAGE RATIO(Q) Highest at 19,723.33
RAW MATERIAL COST(Y) Fallen by -16.89% (YoY)

With ROE of 8.94%, it has a attractive valuation with a 1.83 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 7.03%, its profits have risen by 24.3%

Underperformed the market in the last 1 year

The stock has generated a return of 7.03% 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 OSAKA SODA 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 OSAKA SODA CO., LTD. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

OSAKA SODA CO., LTD.

7.03%

-0.30

40.42%

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)

-1.23%

EBIT Growth (5y)

6.43%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.31

Sales to Capital Employed (avg)

0.82

Tax Ratio

29.49%

Dividend Payout Ratio

23.30%

Pledged Shares

Institutional Holding

ROCE (avg)

17.01%

ROE (avg)

9.23%

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

1.83

EV to EBIT

13.25

EV to EBITDA

10.20

EV to Capital Employed

2.20

EV to Sales

1.77

PEG Ratio

Dividend Yield

ROCE (Latest)

16.58%

ROE (Latest)

8.94%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Mildly Bearish

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

13What is working for the Company

ROCE(HY)

Highest at 10.94%

INTEREST COVERAGE RATIO(Q)

Highest at 19,723.33

RAW MATERIAL COST(Y)

Fallen by -16.89% (YoY

CASH AND EQV(HY)

Highest at JPY 86,699 MM

NET SALES(Q)

Highest at JPY 24,856 MM

OPERATING PROFIT(Q)

Highest at JPY 5,917 MM

OPERATING PROFIT MARGIN(Q)

Highest at 23.81 %

PRE-TAX PROFIT(Q)

Highest at JPY 5,603 MM

NET PROFIT(Q)

Highest at JPY 3,885 MM

EPS(Q)

Highest at JPY 31.19

-4What is not working for the Company

INTEREST(9M)

At JPY 105 MM has Grown at 16.67%

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.55 times

Here's what is working for OSAKA SODA CO., LTD.

Interest Coverage Ratio

Highest at 19,723.33

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at JPY 24,856 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 5,917 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 23.81 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 5,603 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 3,885 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 31.19

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 86,699 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -16.89% (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

Depreciation

Highest at JPY 1,091 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 OSAKA SODA CO., LTD.

Interest

At JPY 105 MM has Grown at 16.67%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 3.55 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio