Why is Shoei Foods Corp. ?
1
Weak Long Term Fundamental Strength with a 6.30% CAGR growth in Operating Profits over the last 5 years
- The company has been able to generate a Return on Equity (avg) of 5.81% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 5.78% and Operating profit at 6.30% over the last 5 years
3
Negative results in Jul 26
- INTEREST(HY) At JPY 183.86 MM has Grown at 35.96%
- INTEREST COVERAGE RATIO(Q) Lowest at 1,990.19
- RAW MATERIAL COST(Y) Grown by 9.95% (YoY)
4
With ROCE of 8.26%, it has a fair valuation with a 1.22 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 3.87%, its profits have risen by 30.3% ; the PEG ratio of the company is 0.6
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- The stock has generated a return of 3.87% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 43.58%
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 FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Shoei Foods Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Shoei Foods Corp.
4.21%
-0.06
19.02%
Japan Nikkei 225
43.58%
1.48
29.43%
Quality key factors
Factor
Value
Sales Growth (5y)
5.78%
EBIT Growth (5y)
6.30%
EBIT to Interest (avg)
27.62
Debt to EBITDA (avg)
1.42
Net Debt to Equity (avg)
0.20
Sales to Capital Employed (avg)
1.61
Tax Ratio
29.11%
Dividend Payout Ratio
33.09%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.09%
ROE (avg)
5.81%
Valuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
Price to Book Value
1.26
EV to EBIT
14.81
EV to EBITDA
9.85
EV to Capital Employed
1.22
EV to Sales
0.66
PEG Ratio
0.60
Dividend Yield
NA
ROCE (Latest)
8.26%
ROE (Latest)
7.00%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bullish
Technical Movement
5What is working for the Company
ROCE(HY)
Highest at 6.98%
NET PROFIT(9M)
Higher at JPY 3,560.38 MM
CASH AND EQV(HY)
Highest at JPY 23,322.57 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 5.58 times
-11What is not working for the Company
INTEREST(HY)
At JPY 183.86 MM has Grown at 35.96%
INTEREST COVERAGE RATIO(Q)
Lowest at 1,990.19
RAW MATERIAL COST(Y)
Grown by 9.95% (YoY
Here's what is working for Shoei Foods Corp.
Cash and Eqv
Highest at JPY 23,322.57 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debtors Turnover Ratio
Highest at 5.58 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Net Profit
Higher at JPY 3,560.38 MM
than preceding 12 month period ended Jul 2026MOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Profit (JPY MM)
Here's what is not working for Shoei Foods Corp.
Interest
At JPY 183.86 MM has Grown at 35.96%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 1,990.19
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Raw Material Cost
Grown by 9.95% (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
Non Operating Income
Highest at JPY 0.36 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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