Sata Construction Co., Ltd. (1826) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Meiho Facility Works Ltd.

Gantan Beauty Industry Co., Ltd.

Watanabe Sato Co., Ltd.

Tokura Corp.

Fuji P.S Corp.

Semba Corp.

Wesco Holdings Inc. (Japan)

Nichiryoku Co., Ltd.

Sata Construction Co., Ltd.

Tenox Corp.

Besterra Co., Ltd

Why is Sata Construction Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -2.43% over the last 5 years

Flat results in Jun 25

INTEREST(Q) At JPY 4 MM has Grown at 33.33%
NET PROFIT(Q) At JPY 68 MM has Fallen at -56.28%
INVENTORY TURNOVER RATIO(HY) Lowest at 226.29%

With ROE of 4.01%, it has a very attractive valuation with a 1.10 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 12.53%, its profits have risen by 498.2% ; the PEG ratio of the company is 0.1

Underperformed the market in the last 1 year

The stock has generated a return of 12.53% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 28.54%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Sata Construction Co., Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Sata Construction Co., Ltd.

12.53%

1.67

30.14%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.43%

EBIT Growth (5y)

-9.35%

EBIT to Interest (avg)

92.13

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.82

Sales to Capital Employed (avg)

1.80

Tax Ratio

35.51%

Dividend Payout Ratio

150.64%

Pledged Shares

Institutional Holding

ROCE (avg)

22.43%

ROE (avg)

4.08%

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

1.10

EV to EBIT

4.46

EV to EBITDA

3.78

EV to Capital Employed

1.56

EV to Sales

0.13

PEG Ratio

0.06

Dividend Yield

ROCE (Latest)

34.98%

ROE (Latest)

4.01%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

5What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -20.73% (YoY

NET PROFIT(9M)

Higher at JPY 528.1 MM

CASH AND EQV(HY)

Highest at JPY 28,880 MM

-15What is not working for the Company

INTEREST(Q)

At JPY 4 MM has Grown at 33.33%

NET PROFIT(Q)

At JPY 68 MM has Fallen at -56.28%

INVENTORY TURNOVER RATIO(HY)

Lowest at 226.29%

NET SALES(Q)

At JPY 7,576 MM has Fallen at -6.07%

PRE-TAX PROFIT(Q)

At JPY 153 MM has Fallen at -36.78%

Here's what is working for Sata Construction Co., Ltd.

Cash and Eqv

Highest at JPY 28,880 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -20.73% (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 48 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 Sata Construction Co., Ltd.

Interest

At JPY 4 MM has Grown at 33.33%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

At JPY 68 MM has Fallen at -56.28%

over average net sales of the previous four periods of JPY 155.52 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Net Sales

At JPY 7,576 MM has Fallen at -6.07%

over average net sales of the previous four periods of JPY 8,066 MM

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 153 MM has Fallen at -36.78%

over average net sales of the previous four periods of JPY 242 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Inventory Turnover Ratio

Lowest at 226.29%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio