ScoreWhy is Rentracks Co., Ltd. ?
1
High Management Efficiency with a high ROE of 17.76%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 61.35
3
Healthy long term growth as Operating profit has grown by an annual rate 24.67%
4
Negative results in Mar 26
- INTEREST COVERAGE RATIO(Q) Lowest at 1,491.76
- RAW MATERIAL COST(Y) Grown by 7.09% (YoY)
- DEBT-EQUITY RATIO (HY) Highest at 16.91 %
5
With ROE of 17.68%, it has a very expensive valuation with a 3.54 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 34.70%, its profits have risen by 9.2% ; the PEG ratio of the company is 2.2
6
Underperformed the market in the last 1 year
- The stock has generated a return of 34.70% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.83%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Rentracks Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Media & Entertainment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Rentracks Co., Ltd. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Rentracks Co., Ltd.
34.7%
6.69
32.37%
Japan Nikkei 225
85.83%
3.09
27.80%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-17.90%
EBIT Growth (5y)
24.67%
EBIT to Interest (avg)
61.35
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.66
Sales to Capital Employed (avg)
0.55
Tax Ratio
40.15%
Dividend Payout Ratio
27.03%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
56.95%
ROE (avg)
17.76%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
Price to Book Value
3.54
EV to EBIT
10.41
EV to EBITDA
10.26
EV to Capital Employed
6.07
EV to Sales
2.76
PEG Ratio
2.19
Dividend Yield
NA
ROCE (Latest)
58.26%
ROE (Latest)
17.68%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
NET SALES(HY)
At JPY 2,301.1 MM has Grown at 17.98%
ROCE(HY)
Highest at 54.18%
EPS(Q)
Highest at JPY 255.81
-22What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 1,491.76
RAW MATERIAL COST(Y)
Grown by 7.09% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at 16.91 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 0.76 times
INTEREST(Q)
Highest at JPY 13.29 MM
OPERATING PROFIT(Q)
Lowest at JPY 198.3 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 17.36 %
PRE-TAX PROFIT(Q)
Lowest at JPY 152.98 MM
Here's what is working for Rentracks Co., Ltd.
Net Sales
At JPY 2,301.1 MM has Grown at 17.98%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
EPS
Highest at JPY 255.81
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Depreciation
Highest at JPY 28.78 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Depreciation
At JPY 28.78 MM has Grown at 663.02%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (JPY MM)
Here's what is not working for Rentracks Co., Ltd.
Interest
At JPY 13.29 MM has Grown at 82.12%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 1,491.76
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Pre-Tax Profit
At JPY 152.98 MM has Fallen at -45.18%
over average net sales of the previous four periods of JPY 279.08 MMMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (JPY MM)
Interest
Highest at JPY 13.29 MM
in the last five periods and Increased by 82.12% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Operating Profit
Lowest at JPY 198.3 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (JPY MM)
Operating Profit Margin
Lowest at 17.36 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at JPY 152.98 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Debt-Equity Ratio
Highest at 16.91 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Inventory Turnover Ratio
Lowest at 0.76 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Raw Material Cost
Grown by 7.09% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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