SHIMOJIMA Co., Ltd. (7482) 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

Keiwa, Inc.

Toyo Seikan Group Holdings Ltd.

Kohsoku Corp.

SHIMOJIMA Co., Ltd.

Oji Holdings Corp.

The Pack Corp.

Tomoku Co., Ltd.

Asahi Printing Co., Ltd.

W-SCOPE Corp.

Okamoto Industries, Inc.

Hokkan Holdings Ltd.

Why is SHIMOJIMA Co., Ltd. ?

Poor Management Efficiency with a low ROE of 4.12%

The company has been able to generate a Return on Equity (avg) of 4.12% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 4.12%

Poor long term growth as Net Sales has grown by an annual rate of 6.26% over the last 5 years
The company has been able to generate a Return on Equity (avg) of 4.12% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 6.26% over the last 5 years

Flat results in Mar 26

INTEREST(9M) At JPY 1 MM has Grown at inf%
OPERATING PROFIT(Q) Lowest at JPY 577 MM
OPERATING PROFIT MARGIN(Q) Lowest at 3.77 %

With ROE of 7.71%, it has a very attractive valuation with a 0.86 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 8.58%, its profits have risen by 42% ; the PEG ratio of the company is 0.3

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to SHIMOJIMA Co., Ltd. should be less than 10%
Overall Portfolio exposure to Packaging should be less than 30%

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

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

Is SHIMOJIMA Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

SHIMOJIMA Co., Ltd.

-100.0%

0.48

15.72%

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)

6.26%

EBIT Growth (5y)

65.74%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.22

Sales to Capital Employed (avg)

1.71

Tax Ratio

29.14%

Dividend Payout Ratio

50.38%

Pledged Shares

Institutional Holding

ROCE (avg)

8.94%

ROE (avg)

4.12%

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

0.86

EV to EBIT

6.70

EV to EBITDA

5.23

EV to Capital Employed

0.83

EV to Sales

0.38

PEG Ratio

0.27

Dividend Yield

ROCE (Latest)

12.37%

ROE (Latest)

7.71%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

Mildly 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

ROCE(HY)

Highest at 7.61%

RAW MATERIAL COST(Y)

Fallen by -1.3% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 7.15 times

-8What is not working for the Company

INTEREST(9M)

At JPY 1 MM has Grown at inf%

OPERATING PROFIT(Q)

Lowest at JPY 577 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.77 %

PRE-TAX PROFIT(Q)

Lowest at JPY 421 MM

NET PROFIT(Q)

Lowest at JPY 408.04 MM

Here's what is working for SHIMOJIMA Co., Ltd.

Inventory Turnover Ratio

Highest at 7.15 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -1.3% (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

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

Interest

At JPY 1 MM has Grown at inf%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY 577 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 3.77 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 421 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 408.04 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)