ScoreWhy is Penta-Ocean Construction Co., Ltd. ?
1
Weak Long Term Fundamental Strength with a 11.63% CAGR growth in Operating Profits over the last 5 years
2
Poor long term growth as Net Sales has grown by an annual rate of 10.57% and Operating profit at 11.63% over the last 5 years
3
With a growth in Operating Profit of 12.71%, the company declared Very Positive results in Jun 26
- ROCE(HY) Highest at 19.2%
- RAW MATERIAL COST(Y) Fallen by -5.11% (YoY)
- NET PROFIT(9M) Higher at JPY 25,048.83 MM
4
With ROCE of 10.64%, it has a fair valuation with a 1.67 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 46.79%, its profits have risen by 107.3% ; the PEG ratio of the company is 0.2
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- The stock has generated a return of 46.79% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Penta-Ocean Construction Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Construction should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Penta-Ocean Construction Co., Ltd. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Penta-Ocean Construction Co., Ltd.
32.12%
2.67
48.05%
Japan Nikkei 225
60.14%
2.04
29.37%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.57%
EBIT Growth (5y)
11.63%
EBIT to Interest (avg)
13.72
Debt to EBITDA (avg)
2.55
Net Debt to Equity (avg)
0.64
Sales to Capital Employed (avg)
1.88
Tax Ratio
33.99%
Dividend Payout Ratio
38.22%
Pledged Shares
0
Institutional Holding
0.02%
ROCE (avg)
9.50%
ROE (avg)
7.80%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
2.75
EV to EBIT
15.74
EV to EBITDA
13.27
EV to Capital Employed
1.67
EV to Sales
1.02
PEG Ratio
0.15
Dividend Yield
NA
ROCE (Latest)
10.64%
ROE (Latest)
17.36%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
ROCE(HY)
Highest at 19.2%
RAW MATERIAL COST(Y)
Fallen by -5.11% (YoY
NET PROFIT(9M)
Higher at JPY 25,048.83 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 33.64 times
-8What is not working for the Company
INTEREST(HY)
At JPY 2,131 MM has Grown at 51.78%
Here's what is working for Penta-Ocean Construction Co., Ltd.
Net Profit
At JPY 25,048.83 MM has Grown at 216.41%
Year on Year (YoY)MOJO Watch
Net Profit trend is very positive
Net Profit (JPY MM)
Inventory Turnover Ratio
Highest at 33.64 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Net Profit
Higher at JPY 25,048.83 MM
than preceding 12 month period ended Jun 2026MOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Profit (JPY MM)
Raw Material Cost
Fallen by -5.11% (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 3,057 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 Penta-Ocean Construction Co., Ltd.
Interest
At JPY 2,131 MM has Grown at 51.78%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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