SCAT, Inc. (3974) 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

SIG Group Co., Ltd

Virtualex Holdings, Inc.

D.I. System Co., Ltd.

AsiaQuest Co., Ltd.

eXmotion Co., Ltd.

SCAT, Inc.

Softfront Holdings

Sharing Innovations Inc.

DIGITAL PLUS, Inc.

Kokopelli, Inc.

Media Kobo, Inc.

Why is SCAT, Inc. ?

Poor Management Efficiency with a low ROE of 5.97%

The company has been able to generate a Return on Equity (avg) of 5.97% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a 5.14% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 5.97% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 1.93% and Operating profit at 5.14% over the last 5 years

With ROE of 6.34%, it has a expensive valuation with a 1.46 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 34.27%, its profits have risen by 83% ; the PEG ratio of the company is 0.4

Underperformed the market in the last 1 year

The stock has generated a return of 34.27% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 61.01%

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 Computers - Software & Consulting)

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

Is SCAT, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

SCAT, Inc.

34.27%

1.62

25.26%

Japan Nikkei 225

59.79%

2.06

29.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.93%

EBIT Growth (5y)

5.14%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.60

Sales to Capital Employed (avg)

1.23

Tax Ratio

35.98%

Dividend Payout Ratio

33.60%

Pledged Shares

Institutional Holding

ROCE (avg)

20.17%

ROE (avg)

5.97%

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

1.46

EV to EBIT

9.57

EV to EBITDA

5.52

EV to Capital Employed

2.03

EV to Sales

0.73

PEG Ratio

0.35

Dividend Yield

ROCE (Latest)

21.19%

ROE (Latest)

6.34%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

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

7What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 11.33

INTEREST COVERAGE RATIO(Q)

Highest at 33,169.68

INVENTORY TURNOVER RATIO(HY)

Highest at 49.41 times

DEBTORS TURNOVER RATIO(HY)

Highest at 11.33 times

PRE-TAX PROFIT(Q)

Highest at JPY 58.63 MM

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for SCAT, Inc.

Interest Coverage Ratio

Highest at 33,169.68

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Dividend per share

Highest at JPY 11.33 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Pre-Tax Profit

Highest at JPY 58.63 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Inventory Turnover Ratio

Highest at 49.41 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 11.33 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at JPY 37.31 MM

in the last five periods

MOJO Watch

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

Depreciation (JPY MM)