Why is Seiwa Electric Mfg. Co., Ltd ?
1
Poor Management Efficiency with a low ROE of 7.19%
- The company has been able to generate a Return on Equity (avg) of 7.19% signifying low profitability per unit of shareholders funds
2
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 7.19%
- Poor long term growth as Net Sales has grown by an annual rate of -0.64% over the last 5 years
- The company has been able to generate a Return on Equity (avg) of 7.19% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of -0.64% over the last 5 years
4
Negative results in Mar 26
- NET PROFIT(HY) At JPY 647.7 MM has Grown at -44.55%
- ROCE(HY) Lowest at 5.58%
- NET SALES(Q) At JPY 5,784.63 MM has Fallen at -8.85%
5
Underperformed the market in the last 1 year
- The stock has generated a return of 20.06% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%
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 Industrial Manufacturing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Seiwa Electric Mfg. Co., Ltd for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Seiwa Electric Mfg. Co., Ltd
-100.0%
1.02
33.57%
Japan Nikkei 225
59.79%
2.03
29.50%
Quality key factors
Factor
Value
Sales Growth (5y)
-0.64%
EBIT Growth (5y)
-3.89%
EBIT to Interest (avg)
23.98
Debt to EBITDA (avg)
2.01
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
1.14
Tax Ratio
31.09%
Dividend Payout Ratio
21.03%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.13%
ROE (avg)
7.19%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
0.47
EV to EBIT
8.40
EV to EBITDA
6.06
EV to Capital Employed
0.53
EV to Sales
0.47
PEG Ratio
NA
Dividend Yield
0.36%
ROCE (Latest)
6.33%
ROE (Latest)
5.21%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
2What is working for the Company
CASH AND EQV(HY)
Highest at JPY 7,646.2 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 4.3 times
-13What is not working for the Company
NET PROFIT(HY)
At JPY 647.7 MM has Grown at -44.55%
ROCE(HY)
Lowest at 5.58%
NET SALES(Q)
At JPY 5,784.63 MM has Fallen at -8.85%
INTEREST(Q)
At JPY 16.07 MM has Grown at 36.15%
RAW MATERIAL COST(Y)
Grown by 9.4% (YoY
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.89 times
Here's what is working for Seiwa Electric Mfg. Co., Ltd
Cash and Eqv
Highest at JPY 7,646.2 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 4.3 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Seiwa Electric Mfg. Co., Ltd
Net Profit
At JPY 647.7 MM has Grown at -44.55%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Net Sales
At JPY 5,784.63 MM has Fallen at -8.85%
over average net sales of the previous four periods of JPY 6,346.41 MMMOJO Watch
Near term sales trend is very negative
Net Sales (JPY MM)
Interest
At JPY 16.07 MM has Grown at 36.15%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debtors Turnover Ratio
Lowest at 1.89 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 9.4% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales






