ScoreWhy is Sakurai Ltd. ?
1
Poor Management Efficiency with a low ROCE of 0.75%
- The company has been able to generate a Return on Capital Employed (avg) of 0.75% signifying low profitability per unit of total capital (equity and debt)
2
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -24.01
- Poor long term growth as Net Sales has grown by an annual rate of -4.48% and Operating profit at 33.32% over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -24.01
- The company has been able to generate a Return on Equity (avg) of 1.82% signifying low profitability per unit of shareholders funds
3
With a fall in Net Sales of -17.97%, the company declared Very Negative results in Dec 25
- INTEREST COVERAGE RATIO(Q) Lowest at 3,651.86
- RAW MATERIAL COST(Y) Grown by 5.4% (YoY)
- INVENTORY TURNOVER RATIO(HY) Lowest at 4.51 times
4
Underperformed the market in the last 1 year
- The stock has generated a return of 8.47% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%
Real-Time Research ReportHow 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 Automobiles)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Sakurai Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Sakurai Ltd.
8.47%
0.89
29.77%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-4.48%
EBIT Growth (5y)
33.32%
EBIT to Interest (avg)
-24.01
Debt to EBITDA (avg)
1.45
Net Debt to Equity (avg)
0.06
Sales to Capital Employed (avg)
0.82
Tax Ratio
1.73%
Dividend Payout Ratio
16.60%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0.75%
ROE (avg)
1.82%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
0.46
EV to EBIT
15.67
EV to EBITDA
2.84
EV to Capital Employed
0.50
EV to Sales
0.52
PEG Ratio
0.03
Dividend Yield
NA
ROCE (Latest)
3.17%
ROE (Latest)
4.36%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
NET PROFIT(9M)
At JPY 166.93 MM has Grown at 273.02%
DEBTORS TURNOVER RATIO(HY)
Highest at 12.51 times
-29What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 3,651.86
RAW MATERIAL COST(Y)
Grown by 5.4% (YoY
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.51 times
NET SALES(Q)
Lowest at JPY 961.08 MM
INTEREST(Q)
Highest at JPY 3.79 MM
PRE-TAX PROFIT(Q)
Lowest at JPY 24.97 MM
NET PROFIT(Q)
Lowest at JPY 24.05 MM
EPS(Q)
Lowest at JPY 7.24
Here's what is working for Sakurai Ltd.
Debtors Turnover Ratio
Highest at 12.51 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Sakurai Ltd.
Net Sales
At JPY 961.08 MM has Fallen at -17.97%
Year on Year (YoY)MOJO Watch
Near term sales trend is extremely negative
Net Sales (JPY MM)
Pre-Tax Profit
At JPY 24.97 MM has Fallen at -67.95%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 24.05 MM has Fallen at -69.03%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Interest
At JPY 3.79 MM has Grown at 20.39%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 3,651.86
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Sales
Lowest at JPY 961.08 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Interest
Highest at JPY 3.79 MM
in the last five periods and Increased by 20.39% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Pre-Tax Profit
Lowest at JPY 24.97 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Net Profit
Lowest at JPY 24.05 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
EPS
Lowest at JPY 7.24
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (JPY)
Inventory Turnover Ratio
Lowest at 4.51 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 5.4% (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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