Seikoh Giken Co., Ltd. (6834) 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

Nippon Dry-Chemical Co., Ltd.

Freund Corp.

Seikoh Giken Co., Ltd.

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Dainichi Co., Ltd.

Kimura Kohki Co., Ltd.

Kimura Chemical Plants Co., Ltd.

PEGASUS Co., Ltd.

Toyo Machinery & Metal Co., Ltd.

NPC, Inc. (Japan)

Suzumo Machinery Co., Ltd.

Why is Seikoh Giken Co., Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

With a growth in Operating Profit of 31.92%, the company declared Outstanding results in Dec 25

The company has declared positive results for the last 6 consecutive quarters
ROCE(HY) Highest at 16.52%
OPERATING PROFIT(Q) Highest at JPY 2,316.52 MM
PRE-TAX PROFIT(Q) Highest at JPY 2,253.28 MM

With ROE of 15.40%, it has a expensive valuation with a 8.12 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 389.12%, its profits have risen by 180.8% ; the PEG ratio of the company is 0.3

Consistent Returns over the last 3 years

Along with generating 389.12% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Seikoh Giken Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Seikoh Giken Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Seikoh Giken Co., Ltd.

389.12%

9.91

85.12%

Japan Nikkei 225

82.73%

2.99

27.22%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.00%

EBIT Growth (5y)

38.46%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.50

Sales to Capital Employed (avg)

0.67

Tax Ratio

25.70%

Dividend Payout Ratio

26.49%

Pledged Shares

Institutional Holding

ROCE (avg)

12.35%

ROE (avg)

4.83%

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

8.12

EV to EBIT

39.94

EV to EBITDA

34.63

EV to Capital Employed

14.84

EV to Sales

8.87

PEG Ratio

0.29

Dividend Yield

ROCE (Latest)

37.17%

ROE (Latest)

15.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Bullish

OBV

No Trend

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

39What is working for the Company

ROCE(HY)

Highest at 20.09%

OPERATING PROFIT(Q)

Highest at JPY 3,182.93 MM

OPERATING PROFIT MARGIN(Q)

Highest at 32.09 %

PRE-TAX PROFIT(Q)

Highest at JPY 3,026.5 MM

NET PROFIT(Q)

Highest at JPY 2,257.25 MM

RAW MATERIAL COST(Y)

Fallen by -33.73% (YoY

CASH AND EQV(HY)

Highest at JPY 33,167.41 MM

DEBT-EQUITY RATIO (HY)

Lowest at -53.25 %

INVENTORY TURNOVER RATIO(HY)

Highest at 3.75 times

DEBTORS TURNOVER RATIO(HY)

Highest at 4.7 times

DIVIDEND PER SHARE(HY)

Highest at JPY 4.7

NET SALES(Q)

Highest at JPY 9,918.5 MM

EPS(Q)

Highest at JPY 260

-1What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 23.08%

Here's what is working for Seikoh Giken Co., Ltd.

Net Sales

At JPY 9,918.5 MM has Grown at 47.87%

over average net sales of the previous four periods of JPY 6,707.64 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 3,182.93 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 32.09 % and Grown

In each period in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 3,026.5 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 2,257.25 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Net Sales

Highest at JPY 9,918.5 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 3,026.5 MM has Grown at 92.95%

over average net sales of the previous four periods of JPY 1,568.51 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 2,257.25 MM has Grown at 89.15%

over average net sales of the previous four periods of JPY 1,193.38 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 260

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 33,167.41 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -53.25 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 3.75 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 4.7 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at JPY 4.7

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -33.73% (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 293.91 MM

in the last five periods

MOJO Watch

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

Depreciation (JPY MM)

Depreciation

At JPY 293.91 MM has Grown at 28.44%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (JPY MM)

Here's what is not working for Seikoh Giken Co., Ltd.

Dividend Payout Ratio

Lowest at 23.08%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)