Rohto Pharmaceutical Co., Ltd. (4527) 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

Pola Orbis Holdings, Inc.

Noevir Holdings Co., Ltd.

Rohto Pharmaceutical Co., Ltd.

Milbon Co., Ltd.

Pigeon Corp.

Lion Corp.

Shiseido Co., Ltd.

Kao Corp.

KOSÉ Corp.

Unicharm Corp.

FANCL Corp.

Why is Rohto Pharmaceutical Co., Ltd. ?

High Management Efficiency with a high ROE of 12.73%

Company has very low debt and has enough cash to service the debt requirements

Healthy long term growth as Net Sales has grown by an annual rate of 13.28% and Operating profit at 12.88%

Flat results in Mar 26

INTEREST(Q) At JPY 371 MM has Grown at 19.29%
OPERATING PROFIT MARGIN(Q) Lowest at 13.39 %
PRE-TAX PROFIT(Q) Lowest at JPY 8,252 MM

With ROE of 12.72%, it has a attractive valuation with a 1.96 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 15.75%, its profits have risen by 21.6% ; the PEG ratio of the company is 0.7
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

The stock has generated a return of 15.75% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 85.83%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Rohto Pharmaceutical Co., Ltd. should be less than 10%
Overall Portfolio exposure to FMCG should be less than 30%

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

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

Is Rohto Pharmaceutical Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Rohto Pharmaceutical Co., Ltd.

17.1%

-0.75

27.51%

Japan Nikkei 225

85.83%

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)

13.28%

EBIT Growth (5y)

12.88%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.09

Sales to Capital Employed (avg)

1.01

Tax Ratio

26.88%

Dividend Payout Ratio

26.45%

Pledged Shares

Institutional Holding

ROCE (avg)

21.17%

ROE (avg)

12.73%

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

1.96

EV to EBIT

13.63

EV to EBITDA

9.49

EV to Capital Employed

2.04

EV to Sales

1.61

PEG Ratio

0.71

Dividend Yield

ROCE (Latest)

15.00%

ROE (Latest)

12.72%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Dow Theory

Mildly Bearish

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

5What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 4.69

DIVIDEND PAYOUT RATIO(Y)

Highest at 94.66%

RAW MATERIAL COST(Y)

Fallen by -0.9% (YoY

NET SALES(Q)

Highest at JPY 90,654 MM

-9What is not working for the Company

INTEREST(Q)

At JPY 371 MM has Grown at 19.29%

OPERATING PROFIT MARGIN(Q)

Lowest at 13.39 %

PRE-TAX PROFIT(Q)

Lowest at JPY 8,252 MM

NET PROFIT(Q)

At JPY 6,116.83 MM has Fallen at -32.56%

EPS(Q)

Lowest at JPY 24.17

Here's what is working for Rohto Pharmaceutical Co., Ltd.

Dividend per share

Highest at JPY 4.69 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Sales

Highest at JPY 90,654 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Dividend Payout Ratio

Highest at 94.66%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -0.9% (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 4,668 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Rohto Pharmaceutical Co., Ltd.

Interest

At JPY 371 MM has Grown at 19.29%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit Margin

Lowest at 13.39 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 8,252 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 8,252 MM has Fallen at -31.54%

over average net sales of the previous four periods of JPY 12,053 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 6,116.83 MM has Fallen at -32.56%

over average net sales of the previous four periods of JPY 9,069.4 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 24.17

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)