Polaris Holdings Co., Ltd. (3010) 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

Fujita Kanko, Inc.

ABHOTEL Co., Ltd.

Greens Co., Ltd.

Hanatour Japan Co., Ltd.

Polaris Holdings Co., Ltd.

Imperial Hotel, Ltd.

Amaze Co., Ltd.

RESOL HOLDINGS Co., Ltd.

Seibu Holdings, Inc.

Kyoritsu Maintenance Co., Ltd.

Resorttrust, Inc.

Why is Polaris Holdings Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 6.84%

The company has been able to generate a Return on Capital Employed (avg) of 6.84% signifying low profitability per unit of total capital (equity and debt)

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

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 10.22% signifying low profitability per unit of shareholders funds

Healthy long term growth as Net Sales has grown by an annual rate of 38.60% and Operating profit at 77.19%

With a growth in Net Profit of 55.06%, the company declared Very Positive results in Dec 25

DEBT-EQUITY RATIO (HY) Lowest at 73.73 %
INVENTORY TURNOVER RATIO(HY) Highest at 20.15 times
NET SALES(Q) Highest at JPY 13,046.43 MM

With ROCE of 6.93%, it has a expensive valuation with a 1.66 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 -12.38%, its profits have fallen by -9.3%
At the current price, the company has a high dividend yield of 0.1

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Polaris Holdings Co., Ltd. should be less than 10%
Overall Portfolio exposure to Hotels & Resorts should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Hotels & Resorts)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Polaris Holdings Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Polaris Holdings Co., Ltd.

-12.38%

-0.61

36.09%

Japan Nikkei 225

36.73%

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)

38.60%

EBIT Growth (5y)

77.19%

EBIT to Interest (avg)

-3.25

Debt to EBITDA (avg)

17.18

Net Debt to Equity (avg)

0.43

Sales to Capital Employed (avg)

0.96

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

17.75%

Pledged Shares

Institutional Holding

ROCE (avg)

6.84%

ROE (avg)

10.22%

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

1.95

EV to EBIT

24.01

EV to EBITDA

15.75

EV to Capital Employed

1.66

EV to Sales

2.41

PEG Ratio

Dividend Yield

0.11%

ROCE (Latest)

6.93%

ROE (Latest)

9.23%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

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

22What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 73.73 %

INVENTORY TURNOVER RATIO(HY)

Highest at 20.15 times

NET SALES(Q)

Highest at JPY 13,046.43 MM

OPERATING PROFIT(Q)

Highest at JPY 1,934.31 MM

CASH AND EQV(HY)

Highest at JPY 15,024.23 MM

PRE-TAX PROFIT(Q)

Highest at JPY 881.45 MM

-8What is not working for the Company

INTEREST(HY)

At JPY 592.27 MM has Grown at 129.85%

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

Net Sales

Highest at JPY 13,046.43 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Net Sales

At JPY 13,046.43 MM has Grown at 28.7%

over average net sales of the previous four periods of JPY 10,137.08 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 1,934.31 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (JPY MM)

Debt-Equity Ratio

Lowest at 73.73 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 20.15 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Pre-Tax Profit

Highest at JPY 881.45 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 881.45 MM has Grown at 56.46%

over average net sales of the previous four periods of JPY 563.38 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Cash and Eqv

Highest at JPY 15,024.23 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation

Highest at JPY 762.94 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 Polaris Holdings Co., Ltd.

Interest

At JPY 592.27 MM has Grown at 129.85%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)