Sanyo Industries, Ltd. (5958) 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

Moriya Transportation Engineering & Manufacturing Co., Ltd.

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Fujisash Co., Ltd.

Sanyo Industries, Ltd.

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KVK Corp.

Maezawa Kasei Industries Co., Ltd.

Nihon Flush Co., Ltd.

SE Corp.

Why is Sanyo Industries, Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Poor long term growth as Net Sales has grown by an annual rate of 0.52% over the last 5 years

Flat results in Dec 25

INTEREST(HY) At JPY 3 MM has Grown at 200%
DEBT-EQUITY RATIO (HY) Highest at -29.61 %

With ROE of 7.67%, it has a very attractive valuation with a 0.65 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 52.03%, its profits have fallen by -17.4%
At the current price, the company has a high dividend yield of 0

Market Beating performance in long term as well as near term

Along with generating 52.03% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sanyo Industries, Ltd. should be less than 10%
Overall Portfolio exposure to Building Products should be less than 30%

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

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

Is Sanyo Industries, Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Sanyo Industries, Ltd.

52.03%

1.24

33.19%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.52%

EBIT Growth (5y)

5.31%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.43

Sales to Capital Employed (avg)

1.45

Tax Ratio

30.28%

Dividend Payout Ratio

21.12%

Pledged Shares

Institutional Holding

ROCE (avg)

14.56%

ROE (avg)

7.32%

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

0.65

EV to EBIT

2.25

EV to EBITDA

1.85

EV to Capital Employed

0.39

EV to Sales

0.16

PEG Ratio

Dividend Yield

0.01%

ROCE (Latest)

17.19%

ROE (Latest)

7.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

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

9What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 90,800

RAW MATERIAL COST(Y)

Fallen by -0.07% (YoY

NET SALES(Q)

Highest at JPY 8,654 MM

OPERATING PROFIT(Q)

Highest at JPY 908 MM

OPERATING PROFIT MARGIN(Q)

Highest at 10.49 %

PRE-TAX PROFIT(Q)

Highest at JPY 841 MM

NET PROFIT(Q)

Highest at JPY 591 MM

EPS(Q)

Highest at JPY 203.27

-9What is not working for the Company

INTEREST(HY)

At JPY 3 MM has Grown at 200%

DEBT-EQUITY RATIO (HY)

Highest at -29.61 %

Here's what is working for Sanyo Industries, Ltd.

Interest Coverage Ratio

Highest at 90,800

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at JPY 8,654 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 908 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 10.49 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 841 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 591 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 203.27

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Raw Material Cost

Fallen by -0.07% (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 125 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 Sanyo Industries, Ltd.

Interest

At JPY 3 MM has Grown at 200%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debt-Equity Ratio

Highest at -29.61 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio