RPA Holdings, Inc. (6572) 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

Cyber Security Cloud, Inc.

Bank of Innovation, Inc.

Kanamic Network Co., LTD.

eWell Co., Ltd. (Japan)

Intelligent Wave, Inc.

System Support, Inc.

FRONTEO, Inc.

RPA Holdings, Inc.

Data Horizon Co., Ltd.

FIXER Inc

Cybernet Systems Co., Ltd.

Why is RPA Holdings, Inc. ?

Poor Management Efficiency with a low ROE of 2.46%

The company has been able to generate a Return on Equity (avg) of 2.46% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -6.54% and Operating profit at 20.02% over the last 5 years

Flat results in Feb 26

INTEREST(HY) At JPY 29.86 MM has Grown at 28.47%
INTEREST COVERAGE RATIO(Q) Lowest at 2,754.21
CASH AND EQV(HY) Lowest at JPY 20,928.02 MM

With ROE of 8.52%, it has a attractive valuation with a 1.37 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 -41.30%, its profits have risen by 124.6% ; the PEG ratio of the company is 0.1

Below par performance in long term as well as near term

Along with generating -41.30% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

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 Software Products)

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

Is RPA Holdings, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

RPA Holdings, Inc.

-41.3%

-0.62

37.77%

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)

-6.54%

EBIT Growth (5y)

20.02%

EBIT to Interest (avg)

21.40

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.58

Sales to Capital Employed (avg)

0.46

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

44.26%

Pledged Shares

Institutional Holding

ROCE (avg)

13.15%

ROE (avg)

2.46%

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

1.37

EV to EBIT

8.42

EV to EBITDA

5.88

EV to Capital Employed

1.85

EV to Sales

1.10

PEG Ratio

0.13

Dividend Yield

ROCE (Latest)

21.95%

ROE (Latest)

8.52%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

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 PROFIT(HY)

At JPY 506.9 MM has Grown at 63.33%

ROCE(HY)

Highest at 5.65%

DIVIDEND PAYOUT RATIO(Y)

Highest at 243.35%

RAW MATERIAL COST(Y)

Fallen by -7.89% (YoY

NET SALES(Q)

Highest at JPY 2,242.22 MM

-14What is not working for the Company

INTEREST(HY)

At JPY 29.86 MM has Grown at 28.47%

INTEREST COVERAGE RATIO(Q)

Lowest at 2,754.21

CASH AND EQV(HY)

Lowest at JPY 20,928.02 MM

DEBT-EQUITY RATIO (HY)

Highest at -55.5 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 90.04 times

Here's what is working for RPA Holdings, Inc.

Net Profit

At JPY 506.9 MM has Grown at 63.33%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Net Sales

Highest at JPY 2,242.22 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 2,242.22 MM has Grown at 14.17%

over average net sales of the previous four periods of JPY 1,963.89 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Dividend Payout Ratio

Highest at 243.35%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -7.89% (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

Here's what is not working for RPA Holdings, Inc.

Interest

At JPY 29.86 MM has Grown at 28.47%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 2,754.21

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Cash and Eqv

Lowest at JPY 20,928.02 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -55.5 %

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 90.04 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio