Palemo Holdings Co., Ltd. (2778) 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

NCXX Group, Inc.

Global Style Co., Ltd.

Cox Co., Ltd.

KAITORI OKOKU CO., LTD.

Nihonwasou Holdings, Inc.

Palemo Holdings Co., Ltd.

MAC HOUSE CO., LTD.

ICHIKURA Co., Ltd.

Regal Corp.

Dream Vision Co., Ltd.

Hiraki Co., Ltd.

Why is Palemo Holdings Co., Ltd. ?

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

Poor long term growth as Net Sales has grown by an annual rate of -8.99% and Operating profit at -15.82% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -8.99% and Operating profit at -15.82% over the last 5 years

Flat results in May 25

PRE-TAX PROFIT(Q) At JPY -31.75 MM has Fallen at -202.78%
NET PROFIT(Q) At JPY -25.01 MM has Fallen at -187.32%
ROCE(HY) Lowest at -8.94%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 1.53%, its profits have fallen by -64.1%

Underperformed the market in the last 1 year

The stock has generated a return of 1.53% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%

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 Footwear)

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

Is Palemo Holdings Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Palemo Holdings Co., Ltd.

1.53%

-0.38

60.24%

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)

-8.99%

EBIT Growth (5y)

-15.82%

EBIT to Interest (avg)

-5.94

Debt to EBITDA (avg)

0.84

Net Debt to Equity (avg)

-0.07

Sales to Capital Employed (avg)

3.83

Tax Ratio

12.33%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

9.33%

ROE (avg)

14.49%

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

1.17

EV to EBIT

8.10

EV to EBITDA

4.62

EV to Capital Employed

1.19

EV to Sales

0.12

PEG Ratio

Dividend Yield

ROCE (Latest)

14.67%

ROE (Latest)

7.25%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -1.06% (YoY

-24What is not working for the Company

PRE-TAX PROFIT(Q)

At JPY -31.75 MM has Fallen at -202.78%

NET PROFIT(Q)

At JPY -25.01 MM has Fallen at -187.32%

ROCE(HY)

Lowest at -8.94%

DEBTORS TURNOVER RATIO(HY)

Lowest at 67.78%

INTEREST(Q)

At JPY 5.9 MM has Grown at 17.62%

CASH AND EQV(HY)

Lowest at JPY 3,557.83 MM

NET SALES(Q)

Lowest at JPY 3,385.72 MM

Here's what is working for Palemo Holdings Co., Ltd.

Raw Material Cost

Fallen by -1.06% (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 Palemo Holdings Co., Ltd.

Pre-Tax Profit

At JPY -31.75 MM has Fallen at -202.78%

over average net sales of the previous four periods of JPY 30.89 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -25.01 MM has Fallen at -187.32%

over average net sales of the previous four periods of JPY 28.64 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Net Sales

At JPY 3,385.72 MM has Fallen at -9.96%

over average net sales of the previous four periods of JPY 3,760.17 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (JPY MM)

Interest

At JPY 5.9 MM has Grown at 17.62%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 67.78% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at JPY 3,385.72 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Cash and Eqv

Lowest at JPY 3,557.83 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents