Sanrio Co., Ltd. (8136) 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

Komehyo Holdings Co., Ltd.

ITOCHU ENEX CO., LTD.

Nextage Co., Ltd.

Hikari Tsushin, Inc.

G-7 Holdings, Inc.

Sanrio Co., Ltd.

KU Holdings Co., Ltd.

Mie Kotsu Group Holdings, Inc.

IDOM, Inc.

VT Holdings Co., Ltd.

Nitori Holdings Co., Ltd.

Why is Sanrio Co., Ltd. ?

Strong Long Term Fundamental Strength with a 94.35% CAGR growth in Operating Profits

Company has very low debt and has enough cash to service the debt requirements
The company has been able to generate a Return on Capital Employed (avg) of 68.99% signifying high profitability per unit of total capital (equity and debt)

Flat results in Mar 26

DIVIDEND PAYOUT RATIO(Y) Lowest at 84.31%
DEBTORS TURNOVER RATIO(HY) Lowest at 7.68 times
INTEREST(Q) Highest at JPY 52 MM

With ROE of 37.92%, it has a expensive valuation with a 8.07 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 12.48%, its profits have risen by 47.2% ; the PEG ratio of the company is 0.5

Majority shareholders : Non Institution

Underperformed the market in the last 1 year

The stock has generated a return of 12.48% 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 Sanrio Co., Ltd. should be less than 10%
Overall Portfolio exposure to Retailing should be less than 30%

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

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

Is Sanrio Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Sanrio Co., Ltd.

12.48%

67.48

102.45%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

33.91%

EBIT Growth (5y)

94.35%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.73

Sales to Capital Employed (avg)

0.98

Tax Ratio

30.70%

Dividend Payout Ratio

30.44%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

103.32%

ROE (avg)

18.84%

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

8.07

EV to EBIT

13.94

EV to EBITDA

13.45

EV to Capital Employed

22.24

EV to Sales

5.56

PEG Ratio

0.45

Dividend Yield

ROCE (Latest)

159.54%

ROE (Latest)

37.92%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

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

8What is working for the Company

NET SALES(HY)

At JPY 106,412 MM has Grown at 29.62%

DIVIDEND PER SHARE(HY)

Highest at JPY 7.68

RAW MATERIAL COST(Y)

Fallen by -2.01% (YoY

CASH AND EQV(HY)

Highest at JPY 232,635 MM

-13What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 84.31%

DEBTORS TURNOVER RATIO(HY)

Lowest at 7.68 times

INTEREST(Q)

Highest at JPY 52 MM

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

Net Sales

At JPY 106,412 MM has Grown at 29.62%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Dividend per share

Highest at JPY 7.68 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Cash and Eqv

Highest at JPY 232,635 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -2.01% (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 849 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Sanrio Co., Ltd.

Interest

At JPY 52 MM has Grown at 15.56%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 52 MM

in the last five periods and Increased by 15.56% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 7.68 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend Payout Ratio

Lowest at 84.31%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)