SANKO TECHNO CO., LTD. (3435) 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

Fujikura Composite, Inc.

Nichirin Co., Ltd.

Kuriyama Holdings Corp.

Chiyoda Integre Co., Ltd.

SANKO TECHNO CO., LTD.

Sanko Gosei Ltd.

Teikoku Sen-I Co., Ltd.

Muto Seiko Co.

Fukoku Co., Ltd.

LEC, Inc. (Japan)

BALMUDA, Inc.

Why is SANKO TECHNO CO., LTD. ?

Positive results in Jun 26

NET PROFIT(HY) At JPY 940.31 MM has Grown at 160.06%
ROCE(HY) Highest at 9.36%
RAW MATERIAL COST(Y) Fallen by -2.16% (YoY)

With ROE of 5.27%, it has a very attractive valuation with a 0.63 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 9.62%, its profits have fallen by -17.8%

Underperformed the market in the last 1 year

The stock has generated a return of 9.62% 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 hold?

Overall Portfolio exposure to SANKO TECHNO CO., LTD. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is SANKO TECHNO CO., LTD. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

SANKO TECHNO CO., LTD.

-100.0%

0.64

19.76%

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)

3.43%

EBIT Growth (5y)

-1.79%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

1.00

Tax Ratio

27.13%

Dividend Payout Ratio

20.87%

Pledged Shares

Institutional Holding

ROCE (avg)

11.29%

ROE (avg)

7.70%

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

0.63

EV to EBIT

8.37

EV to EBITDA

6.46

EV to Capital Employed

0.62

EV to Sales

0.54

PEG Ratio

Dividend Yield

ROCE (Latest)

7.43%

ROE (Latest)

5.27%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

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

13What is working for the Company

NET PROFIT(HY)

At JPY 940.31 MM has Grown at 160.06%

ROCE(HY)

Highest at 9.36%

RAW MATERIAL COST(Y)

Fallen by -2.16% (YoY

CASH AND EQV(HY)

Highest at JPY 9,852.33 MM

DEBT-EQUITY RATIO (HY)

Lowest at -7.61 %

DEBTORS TURNOVER RATIO(HY)

Highest at 5.14 times

-10What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.26 times

INTEREST(Q)

Highest at JPY 10.28 MM

Here's what is working for SANKO TECHNO CO., LTD.

Net Profit

At JPY 940.31 MM has Grown at 160.06%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 9,852.33 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -7.61 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 5.14 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -2.16% (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 SANKO TECHNO CO., LTD.

Interest

Highest at JPY 10.28 MM

in the last five periods and Increased by 9.91% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Inventory Turnover Ratio

Lowest at 2.26 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio