Sanyo Trading Co., Ltd. (3176) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Happinet Corp.

Shinsho Corp.

Matsuda Sangyo Co., Ltd.

Fuji Corp. (Miyagi)

Kamei Corp.

KPP Group Holdings Co., Ltd.

Sanyo Trading Co., Ltd.

Tenpos Holdings Co., Ltd.

ADVAN GROUP CO., LTD

Maruka Furusato Corp.

Onoken Co., Ltd.

Why is Sanyo Trading Co., Ltd. ?

Strong Long Term Fundamental Strength with a 10.36% CAGR growth in Net Sales

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 16.60% signifying high profitability per unit of total capital (equity and debt)

Negative results in Jun 25

INTEREST(9M) At JPY 61.24 MM has Grown at 16.95%
ROCE(HY) Lowest at 10.23%
INVENTORY TURNOVER RATIO(HY) Lowest at 4.29%

With ROE of 11.03%, it has a very attractive valuation with a 0.84 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 -4.06%, its profits have risen by 1.1% ; the PEG ratio of the company is 7.2

Below par performance in long term as well as near term

Along with generating -4.06% returns in the last 1 year, the stock has also underperformed 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 Trading Co., Ltd. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

Is Sanyo Trading Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sanyo Trading Co., Ltd.

-7.96%

-0.12

24.86%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.36%

EBIT Growth (5y)

5.02%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.15

Sales to Capital Employed (avg)

2.45

Tax Ratio

33.68%

Dividend Payout Ratio

30.41%

Pledged Shares

Institutional Holding

ROCE (avg)

16.60%

ROE (avg)

11.03%

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

0.83

EV to EBIT

4.99

EV to EBITDA

4.40

EV to Capital Employed

0.81

EV to Sales

0.26

PEG Ratio

7.17

Dividend Yield

ROCE (Latest)

16.15%

ROE (Latest)

11.03%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

No Trend

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

4What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -12.8 %

RAW MATERIAL COST(Y)

Fallen by -6.08% (YoY

CASH AND EQV(HY)

Highest at JPY 22,008.88 MM

-8What is not working for the Company

INTEREST(9M)

At JPY 61.24 MM has Grown at 16.95%

ROCE(HY)

Lowest at 10.23%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.29%

NET SALES(Q)

Lowest at JPY 30,677.35 MM

Here's what is working for Sanyo Trading Co., Ltd.

Debt-Equity Ratio

Lowest at -12.8 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Cash and Eqv

Highest at JPY 22,008.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -6.08% (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 Sanyo Trading Co., Ltd.

Interest

At JPY 61.24 MM has Grown at 16.95%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 30,677.35 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Net Sales

At JPY 30,677.35 MM has Fallen at -7.36%

over average net sales of the previous four periods of JPY 33,116.16 MM

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Inventory Turnover Ratio

Lowest at 4.29%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio