Shimano, Inc. (7309) 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

Toyota Motor Corp.

Mazda Motor Corp.

Suzuki Motor Corp.

Isuzu Motors Ltd.

Yamaha Motor Co., Ltd.

Subaru Corp.

Honda Motor Co., Ltd.

Hino Motors, Ltd.

Shimano, Inc.

Nissan Motor Co., Ltd.

Mitsubishi Motors Corp.

Why is Shimano, Inc. ?

ROCE(HY) Lowest at 4.29%
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
RAW MATERIAL COST(Y) Grown by 13.43% (YoY)

With ROE of 7.60%, it has a expensive valuation with a 2.28 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 -22.48%, its profits have fallen by -22.9%
At the current price, the company has a high dividend yield of 0

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -22.48% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

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 Automobiles)

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

Is Shimano, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Shimano, Inc.

-22.48%

255.22

38.85%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.65%

EBIT Growth (5y)

1.04%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

0.60

Tax Ratio

26.56%

Dividend Payout Ratio

36.21%

Pledged Shares

Institutional Holding

0.05%

ROCE (avg)

36.52%

ROE (avg)

12.92%

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

2.28

EV to EBIT

21.17

EV to EBITDA

15.40

EV to Capital Employed

3.90

EV to Sales

3.09

PEG Ratio

Dividend Yield

0.00%

ROCE (Latest)

18.43%

ROE (Latest)

7.60%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

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

2What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 10.82

NET SALES(Q)

Highest at JPY 123,870 MM

-20What is not working for the Company

ROCE(HY)

Lowest at 4.29%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 13.43% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -55.76 %

OPERATING PROFIT(Q)

Lowest at JPY 18,574 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 14.99 %

PRE-TAX PROFIT(Q)

Lowest at JPY -1,367 MM

NET PROFIT(Q)

Lowest at JPY -5,811 MM

EPS(Q)

Lowest at JPY -66.46

Here's what is working for Shimano, Inc.

Net Sales

Highest at JPY 123,870 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Dividend per share

Highest at JPY 10.82

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Depreciation

Highest at JPY 6,592 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 Shimano, Inc.

Pre-Tax Profit

At JPY -1,367 MM has Fallen at -106.34%

over average net sales of the previous four periods of JPY 21,565.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -5,811 MM has Fallen at -136.7%

over average net sales of the previous four periods of JPY 15,835.41 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Operating Profit

Lowest at JPY 18,574 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 14.99 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -1,367 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -5,811 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -66.46

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -55.76 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 13.43% (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