Why is Otani Kogyo Co., Ltd. ?
1
Poor Management Efficiency with a low ROE of 6.73%
- The company has been able to generate a Return on Equity (avg) of 6.73% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Operating profit has grown by an annual rate 8.90% of over the last 5 years
3
With a fall in PBT of -6.3%, the company declared Very Negative results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at JPY 170.94 MM
- INTEREST(9M) At JPY 3.84 MM has Grown at 11.37%
- NET PROFIT(HY) At JPY 118.45 MM has Grown at -42.65%
4
Below par performance in long term as well as near term
- Along with generating -11.04% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
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 Otani Kogyo Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Otani Kogyo Co., Ltd.
-9.06%
-0.70
31.30%
Japan Nikkei 225
28.54%
1.14
25.81%
Quality key factors
Factor
Value
Sales Growth (5y)
5.61%
EBIT Growth (5y)
8.90%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.35
Sales to Capital Employed (avg)
1.91
Tax Ratio
22.24%
Dividend Payout Ratio
6.33%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
14.20%
ROE (avg)
6.73%
Valuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
Price to Book Value
1.06
EV to EBIT
6.11
EV to EBITDA
4.82
EV to Capital Employed
1.10
EV to Sales
0.37
PEG Ratio
1.13
Dividend Yield
0.01%
ROCE (Latest)
17.92%
ROE (Latest)
9.05%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
Bearish
OBV
No Trend
No Trend
Technical Movement
1What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 3.93%
-13What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at JPY 170.94 MM
INTEREST(9M)
At JPY 3.84 MM has Grown at 11.37%
NET PROFIT(HY)
At JPY 118.45 MM has Grown at -42.65%
DEBT-EQUITY RATIO
(HY)
Highest at -16.61 %
RAW MATERIAL COST(Y)
Grown by 17.02% (YoY
Here's what is working for Otani Kogyo Co., Ltd.
Debtors Turnover Ratio
Highest at 3.93%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Depreciation
Highest at JPY 38.47 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Otani Kogyo Co., Ltd.
Interest
At JPY 3.84 MM has Grown at 11.37%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Operating Cash Flow
Lowest at JPY 170.94 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (JPY MM)
Net Profit
At JPY 118.45 MM has Grown at -42.65%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
Debt-Equity Ratio
Highest at -16.61 % and Grown
In each half year in the last five Semi-Annual periodsMOJO 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 17.02% (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






