Shinagawa Refractories Co., Ltd. (5351) 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

Shinagawa Refractories Co., Ltd.

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Why is Shinagawa Refractories Co., Ltd. ?

High Management Efficiency with a high ROCE of 13.44%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 65.88

With a growth in Operating Profit of 106.42%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
ROCE(HY) Highest at 26.61%
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
PRE-TAX PROFIT(Q) At JPY 7,520 MM has Grown at 170.02%

With ROCE of 9.28%, it has a very attractive valuation with a 0.89 Enterprise value to Capital Employed

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 15.24%, its profits have risen by 173.3% ; the PEG ratio of the company is 0

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Shinagawa Refractories Co., Ltd. should be less than 10%
Overall Portfolio exposure to Building Products should be less than 30%

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

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.60%

EBIT Growth (5y)

12.35%

EBIT to Interest (avg)

65.88

Debt to EBITDA (avg)

0.74

Net Debt to Equity (avg)

0.35

Sales to Capital Employed (avg)

1.10

Tax Ratio

31.84%

Dividend Payout Ratio

41.96%

Pledged Shares

Institutional Holding

ROCE (avg)

13.44%

ROE (avg)

13.42%

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

0.88

EV to EBIT

9.63

EV to EBITDA

5.80

EV to Capital Employed

0.89

EV to Sales

0.70

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

9.28%

ROE (Latest)

26.47%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

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

30What is working for the Company

ROCE(HY)

Highest at 26.61%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

PRE-TAX PROFIT(Q)

At JPY 7,520 MM has Grown at 170.02%

NET PROFIT(Q)

At JPY 5,704 MM has Grown at 199.66%

RAW MATERIAL COST(Y)

Fallen by -4.37% (YoY

CASH AND EQV(HY)

Highest at JPY 58,521 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 3.97 times

DEBTORS TURNOVER RATIO(HY)

Highest at 3.63 times

NET SALES(Q)

At JPY 47,691 MM has Grown at 22.35%

OPERATING PROFIT(Q)

Highest at JPY 6,856 MM

OPERATING PROFIT MARGIN(Q)

Highest at 14.38 %

-9What is not working for the Company

INTEREST(HY)

At JPY 646 MM has Grown at 86.71%

EPS(Q)

Lowest at JPY -85.77

Here's what is working for Shinagawa Refractories Co., Ltd.

Pre-Tax Profit

At JPY 7,520 MM has Grown at 170.02%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 5,704 MM has Grown at 199.66%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Net Sales

At JPY 47,691 MM has Grown at 22.35%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 6,856 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 14.38 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at JPY 58,521 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 3.97 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 3.63 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -4.37% (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 Shinagawa Refractories Co., Ltd.

Interest

At JPY 646 MM has Grown at 86.71%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

EPS

Lowest at JPY -85.77

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)