Quest Co., Ltd. (2332) 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

Globalway, Inc.

Goodpatch, Inc.

Quest Co., Ltd.

Ricksoft Co., Ltd.

extreme Co., Ltd.

CAICA DIGITAL, Inc.

IC Co., Ltd.

Valtes Holdings Co., Ltd.

Estore Corp.

monoAI technology Co., Ltd.

Ridge-i, Inc.

Why is Quest Co., Ltd. ?

Strong Long Term Fundamental Strength with a 7.46% CAGR growth in Operating Profits

Company has very low debt and has enough cash to service the debt requirements
The company has been able to generate a Return on Capital Employed (avg) of 30.28% signifying high profitability per unit of total capital (equity and debt)

Negative results in Jun 25

INTEREST COVERAGE RATIO(Q) Lowest at 23,732.75
RAW MATERIAL COST(Y) Grown by 9.01% (YoY)
INTEREST(Q) Highest at JPY 1.14 MM

With ROE of 10.58%, it has a very attractive valuation with a 1.06 Price to Book Value

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 18.99%, its profits have risen by 10.3% ; the PEG ratio of the company is 1

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Quest Co., Ltd. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is Quest Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Quest Co., Ltd.

18.99%

0.65

23.36%

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)

7.69%

EBIT Growth (5y)

7.46%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.49

Sales to Capital Employed (avg)

2.17

Tax Ratio

30.98%

Dividend Payout Ratio

40.49%

Pledged Shares

Institutional Holding

ROCE (avg)

30.28%

ROE (avg)

11.26%

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

1.06

EV to EBIT

3.95

EV to EBITDA

3.43

EV to Capital Employed

1.12

EV to Sales

0.28

PEG Ratio

0.98

Dividend Yield

ROCE (Latest)

28.33%

ROE (Latest)

10.58%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

4What is working for the Company

NET SALES(Q)

Highest at JPY 4,383.65 MM

CASH AND EQV(HY)

Highest at JPY 6,412.65 MM

-19What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 23,732.75

RAW MATERIAL COST(Y)

Grown by 9.01% (YoY

INTEREST(Q)

Highest at JPY 1.14 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.15 %

PRE-TAX PROFIT(Q)

Lowest at JPY 235.32 MM

NET PROFIT(Q)

Lowest at JPY 152.94 MM

EPS(Q)

Lowest at JPY 28.56

Here's what is working for Quest Co., Ltd.

Net Sales

Highest at JPY 4,383.65 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 4,383.65 MM has Grown at 17.4%

over average net sales of the previous four periods of JPY 3,734.04 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Cash and Eqv

Highest at JPY 6,412.65 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation

Highest at JPY 49.4 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 Quest Co., Ltd.

Interest

At JPY 1.14 MM has Grown at 584.34%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 23,732.75

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 1.14 MM

in the last five periods and Increased by 584.34% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit Margin

Lowest at 6.15 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 235.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 152.94 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 28.56

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Raw Material Cost

Grown by 9.01% (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