Saibo Co., Ltd. (3123) 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

GSI Creos Corp.

Fujibo Holdings, Inc.

KOMATSU MATERE Co., Ltd.

Sotoh Co., Ltd.

Transaction Co., Ltd.

Saibo Co., Ltd.

HAGIHARA INDUSTRIES, Inc.

Sankyo Seiko Co., Ltd.

KURABO INDUSTRIES LTD.

Unitika Ltd.

Shikibo Ltd.

Why is Saibo Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.04%

The company has been able to generate a Return on Capital Employed (avg) of 3.04% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 8.89% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 4.90% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 8.89% over the last 5 years

With a growth in Net Profit of 687.27%, the company declared Very Positive results in Jun 26

DEBT-EQUITY RATIO (HY) Lowest at 39.44 %
INVENTORY TURNOVER RATIO(HY) Highest at 6.37 times
INTEREST COVERAGE RATIO(Q) Highest at 3,214.14

With ROCE of 4.23%, it has a fair valuation with a 0.61 Enterprise value to Capital Employed

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 19.17%, its profits have risen by 67% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Saibo Co., Ltd. should be less than 10%
Overall Portfolio exposure to Garments & Apparels should be less than 30%

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

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

Is Saibo Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Saibo Co., Ltd.

19.92%

0.88

26.12%

Japan Nikkei 225

58.07%

2.05

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.89%

EBIT Growth (5y)

13.64%

EBIT to Interest (avg)

9.42

Debt to EBITDA (avg)

4.85

Net Debt to Equity (avg)

0.51

Sales to Capital Employed (avg)

0.34

Tax Ratio

2.02%

Dividend Payout Ratio

20.50%

Pledged Shares

Institutional Holding

ROCE (avg)

3.24%

ROE (avg)

4.90%

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

0.44

EV to EBIT

14.39

EV to EBITDA

6.57

EV to Capital Employed

0.61

EV to Sales

1.63

PEG Ratio

0.09

Dividend Yield

ROCE (Latest)

4.23%

ROE (Latest)

7.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

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

11What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 39.44 %

INVENTORY TURNOVER RATIO(HY)

Highest at 6.37 times

INTEREST COVERAGE RATIO(Q)

Highest at 3,214.14

RAW MATERIAL COST(Y)

Fallen by -11.28% (YoY

OPERATING PROFIT MARGIN(Q)

Highest at 27.25 %

PRE-TAX PROFIT(Q)

Highest at JPY 660.64 MM

NET PROFIT(Q)

At JPY 482.93 MM has Grown at 59.68%

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Saibo Co., Ltd.

Interest Coverage Ratio

Highest at 3,214.14

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debt-Equity Ratio

Lowest at 39.44 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 6.37 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Operating Profit Margin

Highest at 27.25 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 660.64 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 660.64 MM has Grown at 86.8%

over average net sales of the previous four periods of JPY 353.66 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 482.93 MM has Grown at 59.68%

over average net sales of the previous four periods of JPY 302.45 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Raw Material Cost

Fallen by -11.28% (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