RAKUS Co., Ltd. (3923) 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

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Why is RAKUS Co., Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 26.36%

Healthy long term growth as Net Sales has grown by an annual rate of 32.25%
Company has very low debt and has enough cash to service the debt requirements

With a growth in Operating Profit of 75.14%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 15 consecutive quarters
ROCE(HY) Highest at 55.37%
DIVIDEND PER SHARE(HY) Highest at JPY 7.62
NET SALES(Q) Highest at JPY 15,989 MM

With ROE of 43.20%, it has a attractive valuation with a 9.85 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 -61.82%, its profits have risen by 64.5%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to RAKUS Co., Ltd. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

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

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

Is RAKUS Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

RAKUS Co., Ltd.

-61.82%

-0.70

70.33%

Japan Nikkei 225

75.22%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

32.25%

EBIT Growth (5y)

37.82%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.51

Sales to Capital Employed (avg)

2.47

Tax Ratio

21.65%

Dividend Payout Ratio

10.19%

Pledged Shares

Institutional Holding

ROCE (avg)

94.79%

ROE (avg)

26.36%

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

9.85

EV to EBIT

17.18

EV to EBITDA

15.85

EV to Capital Employed

18.19

EV to Sales

4.51

PEG Ratio

Dividend Yield

ROCE (Latest)

105.86%

ROE (Latest)

43.20%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

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

23What is working for the Company

ROCE(HY)

Highest at 55.37%

DIVIDEND PER SHARE(HY)

Highest at JPY 7.62

NET SALES(Q)

Highest at JPY 15,989 MM

OPERATING PROFIT(Q)

Highest at JPY 5,151 MM

RAW MATERIAL COST(Y)

Fallen by -0.76% (YoY

CASH AND EQV(HY)

Highest at JPY 27,381 MM

PRE-TAX PROFIT(Q)

At JPY 4,907 MM has Grown at 84.47%

NET PROFIT(Q)

Highest at JPY 3,697 MM

EPS(Q)

Highest at JPY 10.32

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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

Net Sales

Highest at JPY 15,989 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 5,151 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)

Dividend per share

Highest at JPY 7.62 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Sales

At JPY 15,989 MM has Grown at 19.72%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 4,907 MM has Grown at 84.47%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 3,697 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 10.32

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 27,381 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -0.76% (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