ScoreWhy is Sojitz Corp. ?
1
Poor Management Efficiency with a low ROCE of 5.03%
- The company has been able to generate a Return on Capital Employed (avg) of 5.03% signifying low profitability per unit of total capital (equity and debt)
2
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Operating profit has grown by an annual rate 10.23% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Capital Employed (avg) of 5.03% signifying low profitability per unit of total capital (equity and debt)
3
Negative results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at JPY -10,228 MM
- INTEREST(HY) At JPY 14,030 MM has Grown at 7.59%
- INTEREST COVERAGE RATIO(Q) Lowest at 340.92
4
With ROCE of 4.10%, it has a very attractive valuation with a 0.90 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 54.44%, its profits have risen by 6.6% ; the PEG ratio of the company is 1
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Sojitz Corp. should be less than 10%
- Overall Portfolio exposure to Ferrous Metals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Sojitz Corp. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Sojitz Corp.
54.44%
6077.21
24.39%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.42%
EBIT Growth (5y)
10.23%
EBIT to Interest (avg)
4.49
Debt to EBITDA (avg)
6.86
Net Debt to Equity (avg)
0.94
Sales to Capital Employed (avg)
1.28
Tax Ratio
24.63%
Dividend Payout Ratio
29.20%
Pledged Shares
0
Institutional Holding
0.12%
ROCE (avg)
5.03%
ROE (avg)
11.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.81
EV to EBIT
22.03
EV to EBITDA
13.99
EV to Capital Employed
0.90
EV to Sales
0.67
PEG Ratio
1.03
Dividend Yield
NA
ROCE (Latest)
4.10%
ROE (Latest)
11.87%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
Bearish
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Bullish
Bullish
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
ROCE(HY)
Highest at 11.36%
RAW MATERIAL COST(Y)
Fallen by -0.95% (YoY
-17What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at JPY -10,228 MM
INTEREST(HY)
At JPY 14,030 MM has Grown at 7.59%
INTEREST COVERAGE RATIO(Q)
Lowest at 340.92
CASH AND EQV(HY)
Lowest at JPY 400,500 MM
DEBT-EQUITY RATIO
(HY)
Highest at 114.71 %
NET SALES(Q)
Lowest at JPY 598,901 MM
OPERATING PROFIT(Q)
Lowest at JPY 23,213 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 3.88 %
PRE-TAX PROFIT(Q)
Lowest at JPY 14,145 MM
NET PROFIT(Q)
Lowest at JPY 21,080.58 MM
Here's what is working for Sojitz Corp.
Raw Material Cost
Fallen by -0.95% (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 Sojitz Corp.
Operating Cash Flow
Lowest at JPY -10,228 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (JPY MM)
Interest Coverage Ratio
Lowest at 340.92
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
At JPY 14,030 MM has Grown at 7.59%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Net Sales
Lowest at JPY 598,901 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (JPY MM)
Operating Profit
Lowest at JPY 23,213 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (JPY MM)
Operating Profit Margin
Lowest at 3.88 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at JPY 14,145 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Pre-Tax Profit
At JPY 14,145 MM has Fallen at -34.66%
over average net sales of the previous four periods of JPY 21,647.75 MMMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Net Profit
Lowest at JPY 21,080.58 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
Cash and Eqv
Lowest at JPY 400,500 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 114.71 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Non Operating Income
Highest at JPY 0.63 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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