Sekisui Chemical Co., Ltd. (4204) 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

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ZEON Corp.

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C. Uyemura & Co., Ltd.

KeePer Technical Laboratory Co., Ltd.

Sekisui Chemical Co., Ltd.

Why is Sekisui Chemical Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.82% and Operating profit at 4.23% over the last 5 years

INTEREST(HY) At JPY 586 MM has Grown at 20.82%
ROCE(HY) Lowest at 8.95%
INVENTORY TURNOVER RATIO(HY) Lowest at 2.79%

Underperformed the market in the last 1 year

The stock has generated a return of 15.50% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 38.59%

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 Other Industrial Products)

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

Is Sekisui Chemical Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sekisui Chemical Co., Ltd.

15.5%

1.35

22.73%

Japan Nikkei 225

38.59%

1.45

26.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.82%

EBIT Growth (5y)

4.23%

EBIT to Interest (avg)

97.57

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

1.44

Tax Ratio

29.90%

Dividend Payout Ratio

40.32%

Pledged Shares

Institutional Holding

0.02%

ROCE (avg)

12.63%

ROE (avg)

10.38%

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

1.36

EV to EBIT

9.74

EV to EBITDA

6.50

EV to Capital Employed

1.39

EV to Sales

0.81

PEG Ratio

4.36

Dividend Yield

0.02%

ROCE (Latest)

14.23%

ROE (Latest)

10.69%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JPY 122,640 MM

RAW MATERIAL COST(Y)

Fallen by -0.71% (YoY

-20What is not working for the Company

INTEREST(HY)

At JPY 586 MM has Grown at 20.82%

ROCE(HY)

Lowest at 8.95%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.79%

INTEREST COVERAGE RATIO(Q)

Lowest at 11,893.27

PRE-TAX PROFIT(Q)

Fallen at -41.84%

NET PROFIT(Q)

Fallen at -44.51%

EPS(Q)

Lowest at JPY 31.6

Here's what is working for Sekisui Chemical Co., Ltd.

Operating Cash Flow

Highest at JPY 122,640 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Raw Material Cost

Fallen by -0.71% (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 14,103 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 Sekisui Chemical Co., Ltd.

Interest

At JPY 586 MM has Grown at 20.82%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 11,893.27

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Inventory Turnover Ratio

Lowest at 2.79% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Pre-Tax Profit

Lowest at JPY 19,896 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

Fallen at -41.84%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 13,158.89 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Net Profit

Fallen at -44.51%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 31.6

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)