Seiko Epson Corp. (6724) 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

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Konica Minolta, Inc.

Sato Holdings Corp.

EIZO Corp.

Canon, Inc.

Riso Kagaku Corp.

Seiko Epson Corp.

Why is Seiko Epson Corp. ?

Weak Long Term Fundamental Strength with a 9.75% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Net Sales has grown by an annual rate of 7.45% and Operating profit at 9.75% over the last 5 years

Negative results in Jun 26

NET PROFIT(HY) At JPY -4,260 MM has Grown at -129.56%
ROCE(HY) Lowest at 2.97%

With ROE of 5.05%, it has a very attractive valuation with a 1.22 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 69.02%, its profits have fallen by -24.8%

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 IT - Hardware)

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

Is Seiko Epson Corp. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Seiko Epson Corp.

69.02%

621.28

35.23%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.45%

EBIT Growth (5y)

9.75%

EBIT to Interest (avg)

18.53

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

1.33

Tax Ratio

63.59%

Dividend Payout Ratio

130.27%

Pledged Shares

Institutional Holding

0.06%

ROCE (avg)

12.66%

ROE (avg)

8.63%

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

1.22

EV to EBIT

12.80

EV to EBITDA

6.49

EV to Capital Employed

1.23

EV to Sales

0.74

PEG Ratio

Dividend Yield

ROCE (Latest)

9.63%

ROE (Latest)

5.05%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

Mildly Bearish

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

INVENTORY TURNOVER RATIO(HY)

Highest at 2.46 times

DEBTORS TURNOVER RATIO(HY)

Highest at 6.15 times

PRE-TAX PROFIT(Q)

At JPY 20,730 MM has Grown at 60.32%

NET PROFIT(Q)

At JPY 12,983 MM has Grown at 96.36%

-10What is not working for the Company

NET PROFIT(HY)

At JPY -4,260 MM has Grown at -129.56%

ROCE(HY)

Lowest at 2.97%

Here's what is working for Seiko Epson Corp.

Pre-Tax Profit

At JPY 20,730 MM has Grown at 60.32%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 12,983 MM has Grown at 96.36%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Inventory Turnover Ratio

Highest at 2.46 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 6.15 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio