Solekia Ltd. (9867) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

ONE CAREER, Inc.

Circulation Co., Ltd.

IFIS Japan Ltd.

MicroAd, Inc.

Solekia Ltd.

Fuji Soft Service Bureau, Inc.

Planet, Inc.

Broadband Tower, Inc.

GiXo Ltd.

HEROZ, Inc.

ODK Solutions Co., Ltd.

Why is Solekia Ltd. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 72.22

Poor long term growth as Net Sales has grown by an annual rate of 2.97% over the last 5 years

Flat results in Jun 25

RAW MATERIAL COST(Y) Grown by 106.31% (YoY)
CASH AND EQV(HY) Lowest at JPY 10,447.49 MM
DEBT-EQUITY RATIO (HY) Highest at 0 %

With ROE of 9.74%, it has a expensive valuation with a 0.48 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 67.48%, its profits have risen by 3.5% ; the PEG ratio of the company is 1.4

Market Beating performance in long term as well as near term

Along with generating 67.48% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Solekia Ltd. should be less than 10%
Overall Portfolio exposure to Commercial Services & Supplies should be less than 30%

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

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

Is Solekia Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Solekia Ltd.

67.48%

1.39

34.64%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.97%

EBIT Growth (5y)

10.11%

EBIT to Interest (avg)

72.22

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.67

Sales to Capital Employed (avg)

252.86

Tax Ratio

37.99%

Dividend Payout Ratio

5.20%

Pledged Shares

Institutional Holding

ROCE (avg)

31.42%

ROE (avg)

8.67%

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

0.48

EV to EBIT

-1.25

EV to EBITDA

-1.21

EV to Capital Employed

-0.59

EV to Sales

-0.08

PEG Ratio

1.42

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

9.74%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

Mildly 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

4What is working for the Company

ROCE(HY)

Highest at 21.91%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

-9What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 106.31% (YoY

CASH AND EQV(HY)

Lowest at JPY 10,447.49 MM

DEBT-EQUITY RATIO (HY)

Highest at 0 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0%

DEBTORS TURNOVER RATIO(HY)

Lowest at 0%

PRE-TAX PROFIT(Q)

Lowest at JPY 0 MM

Here's what is not working for Solekia Ltd.

Pre-Tax Profit

At JPY 0 MM has Fallen at -100%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

Lowest at JPY 0 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Cash and Eqv

Lowest at JPY 10,447.49 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 0 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 0%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 0%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 106.31% (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