Why is Rengo Co., Ltd. ?
1
The company is Net-Debt Free
- The company is Net-Debt Free
2
High Debt company with Weak Long Term Fundamental Strength
3
Flat results in Mar 26
- ROCE(HY) Lowest at 4.41%
- INTEREST COVERAGE RATIO(Q) Lowest at 1,228.44
- DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Rengo Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Rengo Co., Ltd.
85.76%
1.26
28.44%
Japan Nikkei 225
85.83%
3.09
27.80%
Quality key factors
Factor
Value
Sales Growth (5y)
8.26%
EBIT Growth (5y)
-0.26%
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)
7.68%
Valuation Key Factors 
Factor
Value
P/E Ratio
15
Industry P/E
Price to Book Value
0.77
EV to EBIT
20.50
EV to EBITDA
7.65
EV to Capital Employed
0.87
EV to Sales
0.75
PEG Ratio
6.06
Dividend Yield
NA
ROCE (Latest)
4.25%
ROE (Latest)
5.20%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
13What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -4.44% (YoY
DIVIDEND PER SHARE(HY)
Highest at JPY 3.67
PRE-TAX PROFIT(Q)
Highest at JPY 15,449 MM
NET PROFIT(Q)
Highest at JPY 12,934 MM
-17What is not working for the Company
ROCE(HY)
Lowest at 4.41%
INTEREST COVERAGE RATIO(Q)
Lowest at 1,228.44
DIVIDEND PAYOUT RATIO(Y)
Lowest at 0%
INTEREST(Q)
Highest at JPY 1,772 MM
EPS(Q)
Lowest at JPY -36.78
Here's what is working for Rengo Co., Ltd.
Pre-Tax Profit
At JPY 15,449 MM has Grown at 137.24%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 12,934 MM has Grown at 250.59%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Pre-Tax Profit
Highest at JPY 15,449 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 12,934 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Dividend per share
Highest at JPY 3.67
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (JPY)
Raw Material Cost
Fallen by -4.44% (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
Depreciation
Highest at JPY 17,679 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Rengo Co., Ltd.
Interest
At JPY 1,772 MM has Grown at 22.8%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 1,228.44
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at JPY 1,772 MM
in the last five periods and Increased by 22.8% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
EPS
Lowest at JPY -36.78
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (JPY)
Dividend Payout Ratio
Lowest at 0%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)






