Shoei Co. Ltd. (7839) (7839) 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

ASICS Corp.

Ryohin Keikaku Co., Ltd.

Shoei Co. Ltd. (7839)

ABC-MART, INC.

Mizuno Corp.

Onward Holdings Co., Ltd.

GOLDWIN INC.

TSI Holdings Co., Ltd.

Gunze Ltd.

Wacoal Holdings Corp.

Descente Ltd.

Why is Shoei Co. Ltd. (7839) ?

Positive results in Jun 26

DEBT-EQUITY RATIO (HY) Lowest at -53.48 %
INTEREST COVERAGE RATIO(Q) Highest at 61,133.66
RAW MATERIAL COST(Y) Fallen by -7.8% (YoY)

With ROE of 21.09%, it has a very attractive valuation with a 3.10 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 11.04%, its profits have fallen by -4.2%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Shoei Co. Ltd. (7839) should be less than 10%
Overall Portfolio exposure to Footwear should be less than 30%

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

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

Is Shoei Co. Ltd. (7839) for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shoei Co. Ltd. (7839)

-100.0%

-0.01

26.31%

Japan Nikkei 225

60.14%

2.05

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.76%

EBIT Growth (5y)

10.63%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.47

Sales to Capital Employed (avg)

1.20

Tax Ratio

29.24%

Dividend Payout Ratio

49.91%

Pledged Shares

Institutional Holding

ROCE (avg)

74.01%

ROE (avg)

26.50%

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

3.10

EV to EBIT

8.59

EV to EBITDA

7.42

EV to Capital Employed

5.96

EV to Sales

2.34

PEG Ratio

Dividend Yield

ROCE (Latest)

69.47%

ROE (Latest)

21.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

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

11What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -53.48 %

INTEREST COVERAGE RATIO(Q)

Highest at 61,133.66

RAW MATERIAL COST(Y)

Fallen by -7.8% (YoY

CASH AND EQV(HY)

Highest at JPY 35,474.02 MM

NET SALES(Q)

At JPY 9,345.89 MM has Grown at 13.96%

OPERATING PROFIT(Q)

Highest at JPY 3,276.76 MM

PRE-TAX PROFIT(Q)

Highest at JPY 3,011.84 MM

NET PROFIT(Q)

Highest at JPY 2,055.08 MM

EPS(Q)

Highest at JPY 40.14

-3What is not working for the Company

INTEREST(HY)

At JPY 10.93 MM has Grown at 5.5%

DEBTORS TURNOVER RATIO(HY)

Lowest at 8.87 times

Here's what is working for Shoei Co. Ltd. (7839)

Interest Coverage Ratio

Highest at 61,133.66

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debt-Equity Ratio

Lowest at -53.48 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Net Sales

At JPY 9,345.89 MM has Grown at 13.96%

over average net sales of the previous four periods of JPY 8,201.05 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 3,276.76 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 3,011.84 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 2,055.08 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 40.14

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 35,474.02 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -7.8% (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 Shoei Co. Ltd. (7839)

Interest

At JPY 10.93 MM has Grown at 5.5%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 8.87 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio