ScoreWhy is Rengo Co., Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- High Debt Company with a Debt to Equity ratio (avg) at times
2
High Debt company with Weak Long Term Fundamental Strength
3
The company has declared Negative results for the last 5 consecutive quarters
- INTEREST(HY) At JPY 2,499 MM has Grown at 37.01%
- ROCE(HY) Lowest at 4.64%
- NET PROFIT(Q) Fallen at -39.78%
4
With ROCE of 4.58%, it has a very attractive valuation with a 0.68 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 76.90%, its profits have fallen by -20.8%
- At the current price, the company has a high dividend yield of 0.1
5
Market Beating Performance
- The stock has generated a return of 76.90% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 38.59%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Rengo Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Paper, Forest & Jute Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Rengo Co., Ltd. for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Rengo Co., Ltd.
-100.0%
1.55
23.80%
Japan Nikkei 225
38.88%
1.45
26.59%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.75%
EBIT Growth (5y)
-1.92%
EBIT to Interest (avg)
16.16
Debt to EBITDA (avg)
3.63
Net Debt to Equity (avg)
0.76
Sales to Capital Employed (avg)
1.07
Tax Ratio
28.58%
Dividend Payout Ratio
25.65%
Pledged Shares
0
Institutional Holding
0.17%
ROCE (avg)
5.42%
ROE (avg)
7.62%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.43
EV to EBIT
14.75
EV to EBITDA
5.69
EV to Capital Employed
0.68
EV to Sales
0.56
PEG Ratio
NA
Dividend Yield
0.07%
ROCE (Latest)
4.58%
ROE (Latest)
5.84%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Bullish
Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-13What is not working for the Company
INTEREST(HY)
At JPY 2,499 MM has Grown at 37.01%
ROCE(HY)
Lowest at 4.64%
NET PROFIT(Q)
Fallen at -39.78%
Here's what is not working for Rengo Co., Ltd.
Interest
At JPY 2,499 MM has Grown at 37.01%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Profit
Fallen at -39.78%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
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