SIG Group Co., Ltd (4386) 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

Gooddays Holdings, Inc.

SIG Group Co., Ltd

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AltPlus Inc.

Ubiteq, Inc.

Kokopelli, Inc.

Why is SIG Group Co., Ltd ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 16.05%

Healthy long term growth as Net Sales has grown by an annual rate of 18.08%
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 97.16

With ROE of 18.96%, it has a very attractive valuation with a 1.81 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 13.72%, its profits have risen by 14.1% ; the PEG ratio of the company is 0.7

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to SIG Group Co., Ltd should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is SIG Group Co., Ltd for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

SIG Group Co., Ltd

13.72%

2.29

26.87%

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)

18.08%

EBIT Growth (5y)

15.07%

EBIT to Interest (avg)

80.12

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.24

Sales to Capital Employed (avg)

2.39

Tax Ratio

37.93%

Dividend Payout Ratio

34.33%

Pledged Shares

Institutional Holding

ROCE (avg)

30.90%

ROE (avg)

16.05%

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

1.81

EV to EBIT

5.92

EV to EBITDA

4.77

EV to Capital Employed

2.15

EV to Sales

0.39

PEG Ratio

0.68

Dividend Yield

ROCE (Latest)

36.31%

ROE (Latest)

18.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

No Trend

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

13What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at JPY 7.52

DIVIDEND PAYOUT RATIO(Y)

Highest at 54.87%

RAW MATERIAL COST(Y)

Fallen by -8.33% (YoY

CASH AND EQV(HY)

Highest at JPY 4,740.19 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 7.52 times

NET SALES(Q)

Highest at JPY 2,865.81 MM

OPERATING PROFIT(Q)

Highest at JPY 256.83 MM

-12What is not working for the Company

INTEREST(Q)

Highest at JPY 5.63 MM

Here's what is working for SIG Group Co., Ltd

Dividend per share

Highest at JPY 7.52 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Sales

Highest at JPY 2,865.81 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 2,865.81 MM has Grown at 23.16%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 256.83 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Cash and Eqv

Highest at JPY 4,740.19 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 7.52 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend Payout Ratio

Highest at 54.87%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -8.33% (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

Depreciation

Highest at JPY 47.98 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

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

Interest

At JPY 5.63 MM has Grown at 13.5%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 5.63 MM

in the last five periods and Increased by 13.5% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)