Sapporo Holdings Ltd. (2501) 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

Kirin Holdings Co., Ltd.

Asahi Group Holdings Ltd.

Oenon Holdings, Inc.

Sapporo Holdings Ltd.

St. Cousair Co., Ltd.

Takara Holdings, Inc.

Sato Foods Industries Co., Ltd. /Aichi/

Why is Sapporo Holdings Ltd. ?

Poor Management Efficiency with a low ROCE of 3.49%

The company has been able to generate a Return on Capital Employed (avg) of 3.49% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 2.13% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 3.49% signifying low profitability per unit of total capital (equity and debt)

With a growth in Operating Profit of 1166.29%, the company declared Very Positive results in Dec 25

The company has declared positive results in Jan 70 after 2 consecutive negative quarters
PRE-TAX PROFIT(Q) At JPY 6,023 MM has Grown at 211.23%
NET PROFIT(Q) At JPY 4,161 MM has Grown at 209.76%
RAW MATERIAL COST(Y) Fallen by -8.31% (YoY)

With ROCE of 6.69%, it has a expensive valuation with a 2.04 Enterprise value to Capital Employed

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 2.22%, its profits have fallen by -52.6%
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sapporo Holdings Ltd. should be less than 10%
Overall Portfolio exposure to Beverages should be less than 30%

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

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.13%

EBIT Growth (5y)

16.98%

EBIT to Interest (avg)

4.23

Debt to EBITDA (avg)

6.16

Net Debt to Equity (avg)

1.03

Sales to Capital Employed (avg)

1.28

Tax Ratio

40.15%

Dividend Payout Ratio

52.52%

Pledged Shares

Institutional Holding

0.03%

ROCE (avg)

3.49%

ROE (avg)

5.06%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

104

Industry P/E

Price to Book Value

3.11

EV to EBIT

30.52

EV to EBITDA

15.84

EV to Capital Employed

2.04

EV to Sales

1.42

PEG Ratio

Dividend Yield

0.02%

ROCE (Latest)

6.69%

ROE (Latest)

3.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

Bullish

OBV

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

16What is working for the Company

PRE-TAX PROFIT(Q)

At JPY 6,023 MM has Grown at 211.23%

NET PROFIT(Q)

At JPY 4,161 MM has Grown at 209.76%

RAW MATERIAL COST(Y)

Fallen by -8.31% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 80.5 %

DIVIDEND PER SHARE(HY)

Highest at JPY 5.23

-5What is not working for the Company

NET SALES(Q)

At JPY 124,272 MM has Fallen at -14.41%

INTEREST(Q)

At JPY 496 MM has Grown at 335.09%

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.23 times

Here's what is working for Sapporo Holdings Ltd.

Pre-Tax Profit

At JPY 6,023 MM has Grown at 211.23%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 4,161 MM has Grown at 209.76%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Debt-Equity Ratio

Lowest at 80.5 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Dividend per share

Highest at JPY 5.23

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -8.31% (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 5,803 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 Sapporo Holdings Ltd.

Net Sales

At JPY 124,272 MM has Fallen at -14.41%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (JPY MM)

Interest

At JPY 496 MM has Grown at 335.09%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 5.23 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio