Puequ Co. Ltd. (9264) 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

SANNO Co., Ltd.

Sanso Electric Co., Ltd.

General Packer Co., Ltd.

ONO SOKKI Co., Ltd.

Puequ Co. Ltd.

HAMAI CO., LTD.

ENSHU Ltd.

Japan Ecosystem Co., Ltd.

OSG Corp. Co., Ltd. (6757)

inspec Inc.

Okano Valve Manufacturing Co., Ltd.

Why is Puequ Co. Ltd. ?

Poor Management Efficiency with a low ROCE of 6.41%

The company has been able to generate a Return on Capital Employed (avg) of 6.41% 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 Capital Employed (avg) of 6.41% signifying low profitability per unit of total capital (equity and debt)

Healthy long term growth as Operating profit has grown by an annual rate 24.71%

Flat results in Nov 25

INTEREST(HY) At JPY 33.18 MM has Grown at 76.01%
DEBT-EQUITY RATIO (HY) Highest at 128.26 %
DEBTORS TURNOVER RATIO(HY) Lowest at 3.33 times

With ROCE of 7.78%, it has a very attractive valuation with a 1.32 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 9.83%, its profits have fallen by -15.6%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Puequ Co. Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Puequ Co. Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Puequ Co. Ltd.

9.83%

0.09

31.25%

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)

9.71%

EBIT Growth (5y)

24.71%

EBIT to Interest (avg)

14.84

Debt to EBITDA (avg)

5.60

Net Debt to Equity (avg)

1.08

Sales to Capital Employed (avg)

0.83

Tax Ratio

48.93%

Dividend Payout Ratio

56.61%

Pledged Shares

Institutional Holding

ROCE (avg)

6.50%

ROE (avg)

8.08%

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

1.67

EV to EBIT

17.03

EV to EBITDA

12.60

EV to Capital Employed

1.32

EV to Sales

1.23

PEG Ratio

Dividend Yield

ROCE (Latest)

7.78%

ROE (Latest)

8.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Mildly Bullish

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

NET PROFIT(HY)

At JPY 325.72 MM has Grown at 303%

ROCE(HY)

Highest at 14.34%

RAW MATERIAL COST(Y)

Fallen by 1.73% (YoY

CASH AND EQV(HY)

Highest at JPY 7,905.16 MM

NET SALES(Q)

Highest at JPY 2,761.25 MM

-13What is not working for the Company

INTEREST(HY)

At JPY 33.18 MM has Grown at 76.01%

DEBT-EQUITY RATIO (HY)

Highest at 128.26 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.33 times

INVENTORY TURNOVER RATIO(HY)

Lowest at 9.19 times

Here's what is working for Puequ Co. Ltd.

Net Profit

At JPY 325.72 MM has Grown at 303%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (JPY MM)

Net Sales

Highest at JPY 2,761.25 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 7,905.16 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by 1.73% (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 Puequ Co. Ltd.

Interest

At JPY 33.18 MM has Grown at 76.01%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at 128.26 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 3.33 times 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

Inventory Turnover Ratio

Lowest at 9.19 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio