Rentracks Co., Ltd. (6045) 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

GMO AD Partners, Inc.

CyberBuzz, Inc.

Ray Corp.

Eole, Inc.

Interspace Co., Ltd.

HYOJITO Co., Ltd.

GMO Media, Inc.

Medical Net, Inc.

Rentracks Co., Ltd.

Gendai Agency, Inc.

Allied Architects, Inc.

Why is Rentracks Co., Ltd. ?

Weak Long Term Fundamental Strength with a -17.90% CAGR growth in Net Sales over the last 5 years

Poor long term growth as Net Sales has grown by an annual rate of -17.90% over the last 5 years

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 %

Underperformed the market in the last 1 year

The stock has generated a return of 29.76% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%

Real-Time Research Report

Verdict Report

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 Media & Entertainment)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Rentracks Co., Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Rentracks Co., Ltd.

30.47%

8.27

32.60%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-17.90%

EBIT Growth (5y)

24.67%

EBIT to Interest (avg)

54.81

Debt to EBITDA (avg)

0.18

Net Debt to Equity (avg)

-0.66

Sales to Capital Employed (avg)

0.54

Tax Ratio

13.10%

Dividend Payout Ratio

7.34%

Pledged Shares

Institutional Holding

ROCE (avg)

48.83%

ROE (avg)

17.76%

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

2.85

EV to EBIT

8.05

EV to EBITDA

7.93

EV to Capital Employed

4.69

EV to Sales

2.13

PEG Ratio

1.76

Dividend Yield

ROCE (Latest)

58.26%

ROE (Latest)

17.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

No Trend

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

8What 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 periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Depreciation

Highest at JPY 28.78 MM

in the last five periods

MOJO 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 periods

MOJO 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 MM

MOJO 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 periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 17.36 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 152.98 MM

in the last five periods

MOJO 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 periods

MOJO 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 periods

MOJO 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