Why is Sankyo Frontier Co., Ltd. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 12.98%
2
Poor long term growth as Operating profit has grown by an annual rate of -0.29%
3
The company has declared Negative results for the last 8 consecutive quarters
- DEBTORS TURNOVER RATIO(HY) Lowest at 5.51 times
- INTEREST(Q) Highest at JPY 11 MM
4
With ROE of 10.48%, it has a very attractive valuation with a 1.02 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 15.12%, its profits have fallen by -8%
5
Underperformed the market in the last 1 year
- The stock has generated a return of 15.12% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 81.96%
How much should you hold?
- Overall Portfolio exposure to Sankyo Frontier Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Sankyo Frontier Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Sankyo Frontier Co., Ltd.
14.18%
0.51
10.58%
Japan Nikkei 225
81.96%
2.98
27.54%
Quality key factors
Factor
Value
Sales Growth (5y)
2.28%
EBIT Growth (5y)
-0.29%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
1.15
Tax Ratio
30.93%
Dividend Payout Ratio
34.34%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
22.61%
ROE (avg)
12.98%
Valuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
1.02
EV to EBIT
6.31
EV to EBITDA
3.48
EV to Capital Employed
1.03
EV to Sales
0.89
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
16.26%
ROE (Latest)
10.48%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bullish
Technical Movement
5What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -6.25% (YoY
NET SALES(Q)
Highest at JPY 15,086 MM
PRE-TAX PROFIT(Q)
Highest at JPY 2,783 MM
NET PROFIT(Q)
Highest at JPY 1,947 MM
EPS(Q)
Highest at JPY 87.6
-12What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.51 times
INTEREST(Q)
Highest at JPY 11 MM
Here's what is working for Sankyo Frontier Co., Ltd.
Net Sales
Highest at JPY 15,086 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Pre-Tax Profit
Highest at JPY 2,783 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 1,947 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
EPS
Highest at JPY 87.6
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Raw Material Cost
Fallen by -6.25% (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 1,576 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Sankyo Frontier Co., Ltd.
Interest
At JPY 11 MM has Grown at 10%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest
Highest at JPY 11 MM
in the last five periods and Increased by 10% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debtors Turnover Ratio
Lowest at 5.51 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






