Why is Shirohato Co., Ltd. ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0.25%
- Poor long term growth as Operating profit has grown by an annual rate 2.10% of over the last 5 years
- The company is Net-Debt Free
2
The company declared negative results in May'26 after flat results in Feb'26
- PRE-TAX PROFIT(Q) At JPY -40.48 MM has Fallen at -132.57%
- NET PROFIT(Q) At JPY -41.13 MM has Fallen at -157.68%
- NET SALES(Q) At JPY 1,340.3 MM has Fallen at -9.92%
3
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 6.39%, its profits have risen by 302.1% ; the PEG ratio of the company is 0
4
Underperformed the market in the last 1 year
- The stock has generated a return of 6.39% 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 E-Retail/ E-Commerce)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Shirohato Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Shirohato Co., Ltd.
6.32%
-0.06
60.36%
Japan Nikkei 225
60.14%
2.04
29.37%
Quality key factors
Factor
Value
Sales Growth (5y)
0.89%
EBIT Growth (5y)
2.10%
EBIT to Interest (avg)
-1.44
Debt to EBITDA (avg)
18.45
Net Debt to Equity (avg)
0.53
Sales to Capital Employed (avg)
1.23
Tax Ratio
9.90%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0.17%
ROE (avg)
4.64%
Valuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.82
EV to EBIT
-22.51
EV to EBITDA
178.01
EV to Capital Employed
0.89
EV to Sales
0.58
PEG Ratio
0.02
Dividend Yield
NA
ROCE (Latest)
-3.94%
ROE (Latest)
11.45%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-19What is not working for the Company
PRE-TAX PROFIT(Q)
At JPY -40.48 MM has Fallen at -132.57%
NET PROFIT(Q)
At JPY -41.13 MM has Fallen at -157.68%
NET SALES(Q)
At JPY 1,340.3 MM has Fallen at -9.92%
RAW MATERIAL COST(Y)
Grown by 7.3% (YoY
INTEREST(Q)
Highest at JPY 8.23 MM
Here's what is not working for Shirohato Co., Ltd.
Pre-Tax Profit
At JPY -40.48 MM has Fallen at -132.57%
over average net sales of the previous four periods of JPY 124.29 MMMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (JPY MM)
Net Profit
At JPY -41.13 MM has Fallen at -157.68%
over average net sales of the previous four periods of JPY 71.31 MMMOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Net Sales
At JPY 1,340.3 MM has Fallen at -9.92%
over average net sales of the previous four periods of JPY 1,487.87 MMMOJO Watch
Near term sales trend is very negative
Net Sales (JPY MM)
Interest
At JPY 8.23 MM has Grown at 10.11%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest
Highest at JPY 8.23 MM
in the last five periods and Increased by 10.11% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Raw Material Cost
Grown by 7.3% (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






